Two-thirds of borrowers could save by refinancing: report

Home owners hoping for July rate relief may be disappointed, but refinancing your home loan in 2025 could cut rates. Despite this, plenty of borrowers are sticking to an old loan – and it could be costing them.

Rate cuts aren’t certain until the Reserve Bank of Australia (RBA) finishes its board meeting.

We saw this in July, when a long line of pundits predicted a rate cut was almost a sure thing, only to see the RBA keep rates on hold due to concerns about an uncertain economic outlook.

Still, that hasn’t stopped tens of thousands of home owners from securing their own rate cut by refinancing.

Refinancing ramps up in 2025

Recent figures from property settlement firm PEXA, show refinance volumes have rebounded, rising 12.5% over the year to March 2025 as borrowers chase lower rates.

That’s seen thousands of home owners land a rate cut of their own, with the Australian Bureau of Statistics reporting over 65,000 home loans were refinanced in the first three months of 2025 alone.

But it seems many are still missing out. A survey by Compare the Market shows 65% people who’ve had the same home loan for 3-plus years haven’t refinanced. In today’s shifting market, a loan that was once competitive may no longer be the right fit for your needs

Why think about switching?

As we saw this month, there are no guarantees the RBA will bring future rate relief. That’s why it’s smart to contact us and compare your home loan options early. This matters if your loan’s a few years old – the mortgage market has changed a lot recently.

Mozo reports that some lenders have introduced rate cuts on their own, others have held back on official rate cuts, and a growing number are offering fixed-rate options starting with a ‘4’ (now there’s something we haven’t seen for a while!).

Is refinancing right for you?

Loyalty is a great quality – just perhaps not when it comes to home loans. Sticking with an old loan could mean paying more interest or missing out on better features.

If your loan’s getting old, our Lending Experts can help you check it still suits your needs – or switch.

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