Your browser is out of date. From Thu 28 April 2022, the Great Southern Bank website will not support your current browser, and you may have a degraded experience or be unable to connect. Update your browser to secure your online experience.

Search
Close

How do you know you’re eligible to refinance your home loan?

Refinancing can work for all sorts of homeowners. But are you eligible to switch home loans?

To be successful in your refinancing application, there are a few eligibility boxes you need to tick. Plus, you’ll need to get your ducks in a row to make the process smooth.

We’re going to explain how you can get ready for, and get clever about, the refinancing process.

What are the eligibility criteria?

If you’ve wondered if you can refinance your home loan with Great Southern Bank, the simple answer is that you can. But there are eligibility criteria you’ll have to meet.

You must be:

  • at least 18 years old.
  • an Australian citizen or a permanent resident of Australia.

While not mandatory, it’s ideal if you have more than 20 per cent of equity in the home. This can help you avoid paying Lenders Mortgage Insurance (LMI), which can be costly to pay.

And if you’re planning to refinance with a partner – like a spouse, family member or friend – then you will both need to be present when you apply. This includes if you apply online.

What documents do you need?

There are certain documents you’ll need for the refinancing process – getting them sorted out early can go a long way to keep your application on track. Before you visit your lender in person or apply online, here are some documents to collect first:

  • Identification documents, like your driver’s licence or passport.
  • Proof of income and employment, like a recent payslip.

You’ll also need to outline your financial liabilities and expenses. You can do this verbally by telling the new lender roughly how much you spend each month in certain categories, such as bills.

If you have a budget, then you can use this as a guide and to make this part easier. And when it comes to your financial liabilities, your lender will verify what you’ve said against a credit report.

What do lenders look for in a refinancing application?

Lenders will be keeping their eye out for a few positive signs on your application to boost your chance of refinancing success.

Good credit score

Having a good credit score shows the lender that you’ve managed your current and past debts well and have responsible credit behaviour.

Your reason for refinancing

When you know why you want to refinance, and you share that with your lender, they can help you find the best loan possible. For example, if your goal is to consolidate your debt and have clever features to pay it off, then your lender can find a suitable home loan to meet those needs.

Your loan to value ratio (LVR)

Your loan-to-value (LVR) ratio is a percentage that shows how much money you want to borrow compared to the value of your home. In the context of refinancing, having a LVR of less than 80 per cent is a positive sign that you can successfully refinance. The lower your LVR, the lower the risk your new loan is to the lender.

How can you be ready to refinance before applying?

If you’re ready to take the plunge and refinance your home loan, then there are some things you can do to be in the best position possible before applying.

Understand your current financial situation

If your financial situation has changed between when you first took out the loan and when you decide to refinance, it might affect how much a lender will loan you. So, knowing where you’re at with your money currently can help you become refinance-ready.

Are you still earning enough income to pay off your loan? Have you taken out other loans that you’ll need to factor in? Answering these questions and painting a picture of your finances can help you decide if it’s the right time to refinance or not.

Check your borrowing power

Understanding your borrowing power can give you an indication of how much a lender might loan to you in case you want to cash out the equity at the same time. By checking how much you can borrow, you can manage your expectations.

We have a borrowing calculator that you can use to help you estimate your borrowing power based on a few factors, such as your income, expenses and other loans you might have.

Tidy up your finances

Getting on top of your finances can help make the refinancing process smoother. One way to get ahead is to make a budget to factor in the costs of switching loans, which can catch you off guard if you’re not prepared for them.

Another thing you can do is manage your debt, so you have a few less loans in the basket when you refinance. You can also consolidate your debt as part of refinancing – there are heaps of options when it comes to managing your credit while refinancing.

More from the refinance hub

Discover the property investment essentials that all beginners need to know.

The dos and don'ts of refinancing a home loan

When it comes to refinancing your home loan, there are some common mistakes people might make. Discover the do's and don'ts of refinancing in our article.

Read more
Why you might refinance your home loan

Is refinancing your home loan the right thing for you? There are many reasons why you might refinance your home and you can learn about them in our article.

Read more
Cost of refinancing your home loan

Refinancing often means you can get a sweet deal on your interest rate. But how much does it cost? We break down the cost considerations to factor in, so you know if it's worth it.

Read more
HOME LOANS
Switch to a better home loan
  • The Boost can help you pay off your loan as you spend2
  • Fee-free extra repayments
  • Free redraw1
  • Flexible repayment options

Explore your home refinancing options

Basic Variable Home Loan
Discounted rates from
6.14
%
p.a.
Comparison rate^
6.20
%
p.a.
Find out more
Owner occupier, principal & interest. Includes discount on new and additional lending, LVR 70% or less. Minimum loan amount applies.1,2,3
Connect to a Home Loan Specialist
We are here to help.

Speak to one of our Home Loan Specialists via live online chat.

Fill out our online enquiry form and one of our Home Loan Specialists will get back to you to start the process.

Mon - Fri: 9:30am - 4:00pm (AEST)

Important Information

Rates are current as at 9 June 2024 and subject to change.

This is general information and does not take into account your objectives, financial situation or needs. Consider the appropriateness of the information, including the Terms and Conditions (T&Cs) booklet, before acting on it. The Financial Claims Scheme may apply to this product; refer to the T&Cs for more information.

Great Southern Bank, a business name of Credit Union Australia Ltd ABN 44 087 650 959, AFSL and Australian Credit Licence 238317. Lending criteria, limits, conditions, and fees apply. Applications are subject to credit approval.

1 A $200 minimum withdrawal amount applies for redraws conducted in-branch.

2 The Boost is not available on business accounts.

Speak to a Home Loan Specialist
Back
1 of 8
Speak to a Home Loan Specialist
Tell us what you're looking for and we'll be in touch
I'm buying a property
I'm building or renovating
I'm refinancing
Discuss my Great Southern Bank Home Loan
None of these
What stage are you at?
I'm ready to apply for a home loan
I'm applying for pre-approval
I want to know if I qualify
I'm researching my options

Applying for pre-approval allows you to know the maximum amount you can borrow while you look for a property.

Pre-approval means that a lender has agreed to lend you an amount of money in-principle, but the loan hasn't been proceeded to full or final approval.

While pre-approval is not a fully approved loan it can help you narrow your search, negotiate, and make an offer with certainty and confidence.

How much would you like to borrow?
If you are unsure, please enter an approximate amount.
The minimum amount you can borrow is $100,000
When would you like to borrow?
If unsure, please select an approximate timeframe.
Now
Within 3 months
In 3+ months
Are you a Great Southern Bank customer?
Great Southern Bank was previously known as CUA.
Yes
No
Do you have a home loan with Great Southern Bank?
Great Southern Bank was previously known as CUA.
Yes
No
Would you like to tell us anything else?
For security, never include any bank account or card details in your enquiry. You can provide this information later if it's needed.
Next
Skip this step
Tell us a little more about your plans
I'm planning to build
I'm planning to renovate
What stage are you at?
I'm ready to refinance
I want to know if I qualify
I'm researching my options
How much is your current mortgage?
Please enter a numeric value
What are your plans?
I want to increase my existing home loan
I want to switch or restructure my existing home loan
I want to discuss my existing home loan
What would you like to discuss?
Please provide a little information so we can best answer your query.
For security, never include any bank account or card details in your enquiry. You can provide this information later if it's needed.
How would you like to connect?
Request a call back
Call us on 133 282
Chat with us online
Speak to a Home Loan Specialist
First Home Guarantee
Family Home Guarantee
Regional First Home Buyer Guarantee

The Australian Government has introduced initiatives to support eligible Australians to build or purchase a new home sooner: the First Home Guarantee, Family Home Guarantee and Regional First Home Buyer Guarantee.

Thanks [Name], we'll speak to you soon
One of our Home Loan Specialists will call you on [0413 456 789] at your preferred time.
To help you get the most out of your call, we recommend having some details ready:
  • Identification details
  • Details of your income and expenses
  • Financial details, including what you own and what you owe
In the meantime, if you have any questions, we’d be happy to help.
Call us on 133 282
Mon - Fri: 9:30am - 4:00pm (AEST)
Visit us
Visit your nearest Great Southern Bank branch.
There was an error processing your submission
Please try again
How can we reach you?
Please enter your first name
Please enter your last name
Please enter your state
Please enter valid email address
We’ll email you if we’re unable to contact you by phone
When would you prefer to be contacted?
Opening hours:
Mon - Fri: 9:30am - 4:00pm (AEST)
Great Southern Bank collects personal information on this form for the purpose of assisting with your enquiry. If you don’t provide this information we may not be able to help you. Our Privacy Policy contains information on how we manage personal information, how you may access and seek correction of information we hold on you, how to complain if you believe we’ve breached our privacy obligations, and how we deal with complaints. We store some information in a secure environment in "the cloud" – our privacy policy sets out which countries this information may be hosted in.