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.


Calculating the cost of refinancing your home loan

Like with a lot of big financial decisions, there are some costs to refinancing that you’ll want to consider before switching loans.

Refinancing fees can put a lot of homeowners off from switching loans. That’s why we’re going to break down the different cost considerations you should think about before applying.

What are the costs from the outgoing lender?

Discharge costs

Your outgoing lender is likely to charge you a discharge cost. This is a fee that you’ll pay if you’re switching from one lender to another. It also covers the costs of getting any documentation sorted out to help with the switch.

Break costs

If you’re on a fixed loan and want to end it early (or refinance it) then you are likely to incur a break cost. There’s no set amount for your break cost – the final fee amount will depend on any losses your current lender might have because of your early exit.

What are the costs from the incoming lender?

Loan application fee

Your new lender will charge you an application fee. This is a one-off fee that you’ll pay so the lender you’re refinancing to can set up your new home loan. These fees can vary from lender to lender, so it’s a good idea to contact your new bank or lender to see how much this might cost when refinancing.

Title search fee

If your new lender needs to look up the title of your property, you might have to pay a title search fee for this service. This helps the lender find information about your property so they can work out how much to lend you.

Lenders Mortgage Insurance (LMI)

You might have to pay Lenders Mortgage Insurance (LMI) if you have less than 20 per cent of equity in your current home. This can be a costly fee, so it’s always a good idea to ensure you have the right amount of equity ready to go before refinancing.

Property valuation

Your new lender will have to value the property – and you might have to pay them to do so. A lender needs to look at the property so they can get a proper picture of your equity before they give you the stamp of approval.

How can you prepare for these costs?

These costs can seem overwhelming – we get it! There are some nifty ways to make covering your refinancing fees simple.

Make a budget

See where you can make changes in your spending and saving habits. Our budget planning calculator can help you map out your finances so you can plan for your refinancing costs.

Chat to your lender

As some of these costs might already be absorbed by the lender, it’s a good idea to chat to them for further information.

Ask yourself some questions

Answering these thought-starters can help you decide if refinancing is the right choice for you:

  • Are the fees associated with refinancing worth going through the process?
  • Will refinancing put you in a better position?
  • How will refinancing help you achieve your goals?
  • Are you in a good position to refinance now?
  • How much can you save by refinancing?

Quick tip: We have a refinancing repayments calculator you can use to work out how much you’ll be paying back with your new loan.

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
Which refinancing option is right for you?

With so many different refinancing options out there, it might be tricky to pick the right one. But fear not – we explain the different options in our article.

Read more
Switch to a better home loan
  • The Boost can help you pay off your loan as you spend3
  • Fee-free extra repayments
  • Free redraw2
  • Flexible repayment options

Explore home loans

Basic Variable Home Loan
Discounted rates from
Comparison rate^
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.

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
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.
Within 3 months
In 3+ months
Are you a Great Southern Bank customer?
Great Southern Bank was previously known as CUA.
Do you have a home loan with Great Southern Bank?
Great Southern Bank was previously known as CUA.
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.
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.