A home loan health check involves an evaluation of your current property ambitions, the interest rate associated with your repayment option, and the suitability of your present loan. You can save tens of thousands on the total cost of your mortgage by performing a home loan health check annually or even just sometimes. 

Your total financial health can be improved by the savings you can make, which can also assist you in taking control of your other finances.

By looking at your house loan online, reviewing some of your documentation, or speaking to a lending specialist, you may perform a health check on your home loan in as little as 20 minutes. Make the following examinations your top priority while performing a home loan health check.

Check the Rate on Your Mortgage

It is advisable to assess your mortgage interest rate because it is likely to have the most impact on the health of your loan. 

By moving to a loan with a lower interest rate, you can reduce the burden that your mortgage obligations are bringing you. Switching to a lower-rate credit can still be advantageous if your repayments are manageable.

Analyse If It’s Possible to Raise Your Repayments

There is no doubt that making larger repayments will allow you to end your loan quicker. Even though making smaller payments each month will save you money in the short run, paying more each month towards your mortgage can result in enormous savings over the course of the loan. 

There may be fees associated with paying off your loan early, so talk to your lender before making any changes to your payments.

Check the Costs Associated with Your Mortgage

It’s also possible that you’re paying too much in fees for your mortgage. Regular home loan fees, such as annual and monthly service charges, redraw and offset fees, and late payment penalties, can significantly raise the overall cost every year. 

Standard upfront costs, such as application and appraisal fees, conveyancing fees and registration fees, may be incurred when switching to a new loan. If you pay off your current loan early, you may also be subject to discharge fees and early exit fees.

Look for Greater Features in Mortgages

Your present mortgage might not have some of the more appealing mortgage features—such as offset-redraw capabilities, extra and lump sum repayments, and top-ups—if it is a basic loan. 

These have a big financial impact. If you already have these features, you could switch to a loan that is less expensive but lacks them, or you could discover a loan that has these characteristics but is better.

Determine the Value of Your Property

If the value of your property has gone up, you’ll have more equity in it and be able to sell it for more money. However, if the value of your property has gone down, refinancing can be more difficult. 

This is due to the possibility that your loan-to-value ratio has decreased to the point where you no longer have enough equity for a 20% the health check 

Conduct the Health Check If You’re Renovating or Moving

Using the equity in your house is a smart way to finance renovations. This is important to factor in because if you have enough equity for a 20 per cent deposit, it will be simpler to obtain financing for a construction loan or line of credit to pay for the refurbishment.

If you’re considering selling and moving or if you want to add an investment property to your portfolio, you can also utilise this equity as a down payment on a new home.


If your circumstances have altered, you should get your mortgage health checked. The ideal mortgage can be obstructed by life. You should definitely check your current house loan to determine if there are any modifications you need to make if you’ve experienced any significant life events, such as having a child, getting married or divorced, finding a new career or losing your employment. An excellent strategy to make sure you receive the proper assistance is to be open and honest with your lender about any changes.

Wealthy You provides the best home loans in Sydney. We’re an Australian mortgage company servicing Sydney for almost a decade and offering a range of mortgage options to suit your individual financial requirements. Contact us now to get started on your home loan.