Why 2026 is a smart year to review your loan
If your fixed term is ending or you’ve ridden a few RBA moves on a variable rate, 2026 is a pivotal time to reassess your home loan. Many borrowers are still rolling off ultra-low fixes taken in 2020–21 into today’s higher rates, which can add hundreds of dollars a month without careful planning. The RBA has noted that a large cohort of fixed loans taken during the pandemic continues to transition to variable, keeping refinancing on the agenda for households through 2026.
At the same time, lenders are competing hard for refinancers with sharper pricing and occasional cashback promotions. Choosing the right refinance mortgage broker means someone is actively shopping this competition for you, and turning it into real savings. Independent consumer guidance and industry data both highlight that comparing multiple lenders and shaving even small rate differences can add up to thousands over the life of a mortgage loan home loan.
What is refinancing and why do it?
Refinancing replaces your current home loan with a new one (either with your existing bank or a different lender). You might refinance to:
- Lower your interest rate and repayments (or switch from variable to fixed, and vice versa)
- Access equity for renovations, investments or strategic debt consolidation
- Change features (offset account, redraw, split loan, extra repayments)
- Restructure your term to better match cash flow or goals
Even modest reductions in rate or fees can deliver meaningful savings if you plan to hold your home loan refinance for years. Some analyses show borrowers who refi smartly can save tens of thousands over time, provided the reduction more than offsets switching costs (valuation, discharge, application fees).
How a mortgage broker helps you refinance (and saves you time)
A great mortgage broker doesn’t just “find a rate.” They run a process that most households simply don’t have the hours or access to run themselves:
- Compare multiple lenders and products
Brokers canvas a broad panel: major banks, second-tier and specialist lenders. They filter options based on your credit profile, LVR, income type, and goals, so you’re not stuck with a one-size-fits-all offer. Consumer sites and the government’s Moneysmart service emphasise that comparing more than one lender can save you thousands over time. - Access broker-only pricing and cashback deals
Lenders routinely sharpen rates for broker-originated refinances and run limited-time cashback offers for eligible loans, often worth thousands. Roundups show multiple cashback deals live in January 2026 (always read the conditions). A broker can tell you when a “bonus” genuinely improves your overall outcome. - Negotiate on your behalf
Experienced brokers know which lenders trade on price vs. policy flexibility and where there’s room to move on fees. Independent explainers note brokers can often negotiate better deals and streamline costs while handling the paperwork. - Do the heavy lifting
Application packs, supporting docs, valuations, product switching, discharge requests. Brokers coordinate the lot. That saves you hours and reduces the risk of delays. - Act in your best interests
Australia’s Best Interests Duty requires mortgage brokers to act in your best interests when providing credit assistance, one reason broker market share has climbed to record levels in recent years. Industry reporting for 2024–25 shows brokers writing roughly three-quarters of new home loans.
Why work with a Melbourne mortgage broker in 2026
When you search “mortgage broker near me”, you’re not just after convenience, you’re looking for context. A Melbourne mortgage broker understands:
- Local lender appetites and policies (which banks are currently friendlier to your profession, LVR band, or property type)
- Valuation dynamics by suburb, which can swing your LVR and therefore your pricing tier or LMI position
- Face-to-face support to structure your refinance correctly (splits, offset, redraw, repayment settings), then revisit it as rates and life change
With refinancing volumes still elevated and lender policies shifting, local knowledge shortens decision time and helps you avoid “policy traps” that can derail approvals. Media and industry coverage throughout 2025 pointed to strong refi activity as borrowers chased better pricing, another reason to have a local expert on your side.
Where the savings come from (it’s more than just rate)
1) Rate improvement
Even 0.25%–0.50% off a $600k loan can translate to thousands over a few years, provided switching costs are sensible. Government and consumer sources stress that small rate differences compound substantially across a long-term debt.
2) Structure and features
An offset account paired with disciplined cash-flow can outperform a bare-bones low rate. Your broker models the net benefit of features vs. package fees so you don’t pay for bells you won’t ring.
3) Policy fit
If your income is non-standard (self-employed, contractor, bonuses, Airbnb), the broker’s lender map is often the difference between “computer says no” and an approval at a competitive rate.
4) Cashback (used wisely)
Cashbacks can fast-track the “break-even” on switching, but they mustn’t distract from the comparison rate and ongoing costs. Independent lists show multiple cashback deals active as of January 2026, your broker filters which ones really stack up after fees and conditions.
The MKS Lending refinance process
As a Melbourne-based brokerage, MKS Lending turns a complex market into a clear plan:
- Goal + data check
We clarify your objectives (lower repayments, shorten term, equity release) and collect documents like: bank statements, income, rates notice, so we can price you accurately. - Shortlist & scenarios
We compare a wide panel and present side-by-side scenarios: rate, fees, features, monthly repayment, and five-year cost (including any cashbacks). Where relevant, we also model split-loan structures. - Negotiation & approval
We push lenders for sharper pricing, package fee waivers, or valuation re-orders if the first one is out of line. We also manage any credit policy queries to keep your application on track. - Settlement & setup
We coordinate discharge from your current lender, line up settlement dates, and set your offset/redraw and repayments correctly from day one. - Post-settlement check-ins
Rates and policies move. We diarise reviews so you don’t leave money on the table. (Pro tip: schedule a check every 6–12 months or at life events.)
2026 refinance FAQs
Will I pay fees to use a broker?
Generally, the lender pays the broker; you shouldn’t pay a separate advice fee for standard refinancing. Always ask your broker how they’re paid and whether any lender rebates or clawbacks affect recommendations. ASIC and Moneysmart encourage borrowers to clarify broker remuneration and compare options.
Are cashback offers worth it?
Sometimes. They can help offset switching costs, but the comparison rate and total five-year cost matter more. Many 2026 offers exist, each with conditions (minimum loan size, LVR caps, settlement windows). Your broker will calculate whether the deal truly reduces your out-of-pocket cost.
Can a broker really get a lower rate than I can?
Often, yes! Either via broker-only pricing or by negotiating with your current lender to retain you. Independent guides and consumer resources note brokers can help negotiate and handle most of the process for you.
My fixed rate ends in 2026. Should I act now?
Don’t wait for the last statement. A broker can model your repayments under different rate paths and, if suitable, line up a refinance so you roll straight into a sharper product when the fix ends—avoiding reversion rates. The RBA’s data shows there are still fixed borrowers transitioning off 2020–21 rates; planning ahead matters.
What if I’m self-employed or my income is non-standard?
That’s exactly when a broker adds value. Lender policies vary widely on how they assess BAS, add-backs, distributions and variable income. We’ll steer you to lenders that align with your paperwork and timing.
Your 10-minute refinance checklist
- I know my current interest rate, comparison rate and fees
- I know my current loan balance and LVR (a new valuation might help pricing)
- I’m clear on priorities: lower repayment, pay it off faster, access equity, or flexibility
- I’ve gathered documents: ID, payslips or BAS/financials, recent statements
- I’m open to switching banks if the numbers stack up
- I’ve allowed for switching costs (valuation, discharge, application)
- I’ve considered a split loan or offset to suit my cash-flow
- I have a plan for post-settlement reviews (set a reminder now)
Why choose MKS Lending as your refinance mortgage broker
- Melbourne-based, client-first: Local insight into lender appetites, valuations and policy trends
- Transparent comparisons: We show side-by-side options, including your current lender’s best retention offer
- Negotiation power: We push on pricing and fees, and we know where cashbacks genuinely help
- Less admin, more progress: We manage the paperwork, policy questions and settlement so you don’t have to
- Ongoing care: We check back in as markets move so you keep more of your money
Next steps (and handy tools)
- Run the numbers with our Mortgage Calculator and Borrowing Power Calculator.
- Learn more about our Refinancing and Home Loan services.
- Ready to get started? Book your refinance chat.
General information only. This content isn’t personal credit advice. Consider your circumstances and seek appropriate guidance before making decisions.