More than one in five borrowers are looking to refinance their home loan in the near future, new figures show.
A survey conducted by Galaxy Research, on behalf of LJ Hooker Finance, found Australians are watching the movements of the banks closer than ever before, thanks to the various rate movements that occurred at the end of last year.
“Our research has shown that new home owners are concerned about interest rates and are very much aware that a spike in the cost of living could affect their home loan repayments," LJ Hooker chief executive L. Janusz Hooker said.
Of those planning to refinance their home loans, 20 per cent cited interest rates as their primary concern, with a further 17 per cent needing to refinance to consolidate their debts.
Forty-two per cent claimed they were living within their means but felt that an unexpected large bill would put pressure on their finances.
Mr Hooker said new home owners are clearly feeling increased pressure to stay on top of bills and mortgage payments.
“A lot can happen to a family’s living and financial circumstances over two years. New home owners should aim to meet with their broker or lender every 12 months to ensure that their loan product still suits their needs.”