Key takeaways
EOFY can be a useful time to review your home loan, particularly if you have not compared your loan in the past 12 months.
Updated income documents and property valuations may improve refinancing or equity access options for some homeowners.
Borrowers rolling off fixed rates may want to check whether their current variable rate and loan structure still suit their needs.
Investors may benefit from reviewing loan splits, offset accounts, and redraw structures before proposed tax changes begin in 2027.
The end of the financial year is not just relevant for accountants and investors. For many homeowners, June can also be a practical time to review whether their home loan still suits their current financial position.
With the Reserve Bank of Australia (RBA) increasing the cash rate three times in 2026, many borrowers on variable rates are now paying more than they were at the beginning of the year.
The RBA increased the cash rate to 4.35% in May 2026 and noted that future decisions would continue to depend on inflation and economic data.
At the same time, EOFY often gives homeowners a clearer picture of their finances. Updated income information, refreshed property valuations and tax documents can all make it easier to assess whether refinancing, restructuring or simply reviewing your loan may be worth considering.
Rather than treating refinancing as something you only do during financial stress, many borrowers now use EOFY as a regular “mortgage health check” period to compare their current loan against their broader financial goals.
Why EOFY can be a useful time to review your home loan
Several financial factors tend to align around June, which can make EOFY a practical time to review your mortgage position.
Your financial position may be easier to assess
By EOFY, many homeowners have a full year of income, expenses and savings history available. Once your tax return is lodged, lenders may also use your Notice of Assessment as part of the refinancing process.
If your income has increased since you last reviewed your loan, or if you have reduced debts elsewhere, your borrowing position may have changed.
In some cases, this can improve refinancing flexibility or open different loan structure options.
You may also have:
Reduced your outstanding loan balance
Improved your credit position
Increased household income
Built additional savings or equity
These changes may influence the types of loan products available to you.
Property valuations may have been updated
EOFY is also a period when many lenders and property platforms refresh valuation data.
If your property's value has increased since purchase, your loan-to-value ratio (LVR) may have improved.
A lower LVR can sometimes help borrowers:
Potential benefit | Why it matters |
Access more competitive loan options | Lower LVRs may reduce lender risk |
Remove lenders mortgage insurance (LMI) | Generally possible once LVR falls below 80% |
Access usable equity | Equity may be used for approved purposes |
Improve refinancing flexibility | More lenders may become available |
Importantly, property values vary by location and market conditions. EOFY valuations should be treated as estimates until confirmed by a lender valuation.
You can use the Aussie Property Report tool to get a general estimate of your property's current value.
Many fixed-rate periods are ending
A large number of borrowers who fixed their home loan during 2022 and 2023 are now rolling onto variable rates.
In some situations, borrowers may automatically revert to their lender’s standard variable rate at the end of the fixed period. Depending on the lender and product, this rate may differ from newer loan offerings currently available in the market.
EOFY can therefore be a useful time to compare your current loan against available options and understand whether your structure still suits your needs.
You might also be interested in: Fixed rates in focus after RBA move, but fewer borrowers rush to lock in
Reasons some homeowners consider refinancing before 30 June
Refinancing is not a one-size-fits-all decision. However, EOFY can prompt borrowers to review whether their current loan remains competitive and appropriate for their circumstances.
To review whether a different loan could reduce costs
Interest rates remain elevated compared to recent years following multiple RBA increases in 2026.
Rather than relying only on their existing lender, some borrowers choose to compare products across multiple lenders through a broker.
Even relatively small changes in interest rates or loan fees can affect repayments over time, particularly on larger balances.
However, borrowers should also weigh any refinancing costs, loan features, and long-term suitability before making changes.
An Aussie Broker can help compare:
Loan fees and ongoing costs
Repayment flexibility
Equity access options
To access usable equity
If your property value has increased or you have reduced your loan balance over time, you may have built usable equity.
Equity is commonly accessed through refinancing or restructuring a home loan and may be used for purposes such as:
Renovations or home improvements
Purchasing another property
Investment purposes
Debt consolidation
Where borrowed funds are used for investment purposes, the deductibility of interest generally depends on how the funds are used and how the loan is structured.
The ATO notes that interest deductibility is tied to the purpose of the borrowing, not the security property itself. Keeping separate loan splits and clear records may therefore be important for investors.
You might also be interested in: How to use your home’s value to buy your next home
To review loan structures ahead of proposed tax changes
The 2026-27 Federal Budget announced proposed changes to negative gearing arrangements and capital gains tax treatment for some established investment properties purchased after 7:30pm AEST on 12 May 2026.
Under the proposed changes, the 50% CGT discount would be replaced by an inflation-based discount with a minimum 30% tax on gains, and negative gearing would be limited to new builds only.
The proposed measures are intended to commence from 1 July 2027 but are not yet law.
It's worth noting that investors who purchase established residential property after Budget night can still deduct rental losses against other residential property income.
The key change is that those losses can no longer be offset against other income sources, such as salary or wages.
Because of this, some investors may choose to review:
Existing loan splits
Investment loan purpose documentation
Offset and redraw arrangements
Refinancing structures
Future investment plans
This does not mean investors should automatically refinance or restructure immediately. However, EOFY can provide a natural opportunity to review how existing loan structures align with long-term plans.
You might also be interested in: Should you buy an investment property before 1 July 2027?
To consolidate higher-interest debts
With interest rates remaining elevated, debts such as credit cards and personal loans may place additional pressure on household cash flow.
Some homeowners choose to consolidate multiple debts into their home loan through refinancing.
This can reduce monthly repayments in some cases, although it may also extend the repayment period and increase total interest paid over time.
A broker can help model different scenarios, so borrowers understand both the potential benefits and trade-offs.
You might also be interested in: Refinancing for debt consolidation
To review offset and redraw arrangements
EOFY can also be a useful time to check whether your loan structure still works efficiently, particularly if you own or plan to purchase an investment property.
According to the ATO, redraw facilities and mixed-purpose borrowing can affect the deductibility of interest depending on how funds are used.
For example:
Feature | Key consideration |
Offset account | May help separate savings from borrowed funds |
Redraw facility | Personal redraw use may affect deductibility |
Loan splitting | Can help separate owner-occupied and investment debt |
Mixed-purpose loans | May create record-keeping complexity |
Loan structure rules can become complex, particularly for investors, so many borrowers choose to discuss these arrangements with their broker and tax adviser before making changes.
What refinancing can cost
Refinancing is not free, and costs can vary depending on your lender and loan type.
Common refinancing costs may include:
Potential cost | Notes |
Discharge fees | Charged by your current lender |
Application or establishment fees | Charged by the new lender |
Fixed-rate break costs | May apply if exiting a fixed loan early |
LMI | May apply if LVR exceeds 80% |
Valuation fees | Some lenders waive these |
Before refinancing, many borrowers compare whether the potential savings or structural benefits outweigh the upfront costs over the next 12 to 24 months.
This is where a broker can help model different outcomes based on your situation rather than focusing only on headline rates.
What to bring to an EOFY mortgage review
Preparing a few documents before speaking with a broker can make the refinancing process smoother.
You may want to have ready:
Your latest home loan statement
Current repayment information
Recent payslips or your Notice of Assessment
Details of any other debts
A general estimate of your property value
Existing loan split details if you own investment properties
If you are unsure where to start, an Aussie Broker can help you understand what information may be relevant for your situation.
Why now may be a good time to review your loan
EOFY can be a useful checkpoint for homeowners to review whether their current loan still supports their financial goals.
For some borrowers, that review may lead to refinancing. For others, it may simply confirm that their current structure still works well.
What matters is understanding your options clearly, particularly in a higher-rate environment where repayments, equity and loan structures may have changed significantly over the past 12 months.
If you have not reviewed your home loan recently, EOFY may be a practical time to have that conversation.
An Aussie Broker can help you understand your options, compare loan structures, and review whether your current home loan still suits your needs and financial goals.
