Fixed-Rate Expiry: Your Next Home Loan Decision
Prepare for your fixed rate ending, compare the actual revert rate and include fees and quoted break costs before choosing a new loan.
Get the actual end date and revert rate
When a fixed period ends, a loan usually moves to the lender’s variable rate unless you switch or fix again. Read your own loan terms: the advertised new-customer rate may not be your revert rate.
Ask your lender for the maturity date, remaining balance, quoted revert rate, any product fees and the terms of re-fixing or switching internally. Start the review early enough to allow for valuation and settlement delays.
Compare the same balance and remaining term
A new 30-year loan can lower monthly repayments but add years of interest. Keep the remaining term consistent when comparing your current lender, an internal product switch and a refinance.
Fixed and variable loans have different offset, redraw and extra-payment rules. Match features to how you actually use your money rather than choosing a rate alone.
Breaking early is a separate calculation
Ask for a current written break-cost quote if switching before maturity. Do not assume a rate increase means there is no break cost, or that an online calculator can reproduce the lender’s contractual calculation.
Include discharge, application, registration and valuation costs, annual fees and any LMI before deciding. The cash-flow break-even calculator estimates payback using your quote; a broker can compare the broader trade-offs.
This page is general information only and not financial advice. Lending criteria, rates and government schemes change — speak to an XLOANS broker for advice tailored to your situation. XLOANS is a Melbourne-based mortgage broking service.
Check the right option for your situation
Book a free 15-minute chat with an XLOANS broker. Eligibility and lender approval still apply.