Ensure you never miss an issue of the
real estate business bulletin
2011: the year of refinancing

2011: the year of refinancing

by Reporter 0 comments

Staff Reporter

Refinancing activity will run hot in 2011, a national survey has found.

According to a recent poll by Loan Market Group, 54 per cent of mortgage brokers believe refinancing will dominate the home finance market this year.

Loan Market chief operating officer Dean Rushton said of the 137 brokers surveyed, 39 per cent thought investors would be the dominant force in 2011, while just 6 per cent believed first home buyers would be most active and just 1 per cent thought finance for construction/renovation would surge.

“Our brokers clearly don’t see any re-emergence of first home buyers, who were highly active during late 2008 and 2009 while there were greater government incentives on offer,” Mr Rushton said.

He said the decision by the RBA to buck international financial trends and lift official interest rates up to 4.75 per cent during 2010 plus moves to make it easier to switch banks was influencing home owners.

“Australians traditionally are reluctant to change lenders but events of the past 12 months have changed their outlook,” he said.

“Home owners on an average $300,000 mortgage can save up to $3,000 a year if they can be bothered switching lenders to get a better home loan deals.

“There can be as much as a percentage point difference between the variable home mortgage rates currently on offer and people are starting to realise it’s worth shopping around.”

le>.b-autolinks{text-decoration:underline}.b-autolinkshadowbox { display: inline; position: relative; cursor: pointer; color: #428bca;} .b-autolinkshadowbox:hover > span { display: block !important; } .b-autolinkshadowbox__links { white-space: nowrap; z-index: 999; display: none; left: 0; border: 1px solid #bfbfbf; border-radius: 5px; font-size: 12px; top: 12px;color: #000; padding: 10px; position: absolute; background-color: #FFF; box-shadow: 0px 0px 20px 1px #bfbfbf; } .b-autolinkshadowbox__links > a { display: block; padding: 3px 0; }
2011: the year of refinancing
lawyersweekly logo
promoted content
Recommended by Spike Native Network
Listen to other installment of the Real Estate Business Podcast
reb top 100 agents 2017

The REB Top 100 Agents ranking is the foremost ranking of agents in Australia. It has set the bar for excellence in Australian real estate. To be ranked as an REB Top 100 Agent is the standard real estate professionals strive for. See the full 2018 ranking here!

featured podcast

featured podcast
An industry where the resilient succeeds

Tim Heavyside believes that a strong support team and good foundations are paramount to success in the real estate industry, and with regu...

View all podcasts

Would you consider working for Purplebricks or a similar 'DIY' model?

Yes (7.2%)
No (80.9%)
Perhaps - make me an offer (12%)

Total votes: 209
The voting for this poll has ended on: July 13, 2018
Do you have an industry update?