Is it worth thinking about moving to a different home loan lender? Towards the end of 2025, there was a large lift in the number of people who moved from one home loan provider to another, as some main banks campaigned for new customers with attractive cashback offers.

It can be sensible to consider, from time to time, whether a move might be appropriate. However, switching lenders isn’t always the right answer for everyone. Before making any decisions, it’s worth speaking with your SHARE mortgage adviser, who can help you assess your current lending arrangements, understand potential costs and benefits of moving, and consider whether a change is appropriate for your circumstances.

Here are a few things to think about as part of that conversation.

Interest rates and overall borrowing costs

While you might see a range of interest rates on offer from home loan providers, the lowest advertised rate can change over time. The lowest advertised rate is therefore only one part of the decision.

What may be more important is the total cost of borrowing. Your SHARE mortgage adviser can help you to look at what different lenders and loan structures may offer based on your circumstances. If you’re someone who wants to make regular lump sum payments, for example, we can help you to find a lender who can offer a structure that will allow you to do that. Or perhaps you want to bump up your regular repayments? We can advise on which lender might allow that.

In some cases, individual circumstances may mean that some lenders offer lower interest rates to specific borrowers. That might be the case, for instance, for people who have higher levels of equity in their property. Again, we can help you to look at your options.

Cashback offers and repayment conditions

Cashback offers have been a key point of competition for banks, and borrowers have been offered anything up to 1.5 percent of their home loan value for moving banks.

This can be appealing if you don’t mind moving your business to a new bank. Cashback offers usually come with conditions, including a period during which some or all of the cashback may need to be repaid if you refinance or repay the loan.

It is also good to bear in mind that retention payments are sometimes offered for those who agree to stay put with their current lender. We can help you to understand the terms of any incentive you are considering.

Break fees, legal fees and valuation costs

If you’re considering moving your home loan before it comes to the end of its fixed term, you may need to pay a break fee. Any break cost will depend on the lender’s terms and calculation at the time. We can help you understand what costs might apply.

Moving to a new home loan provider will usually also incur some legal costs and you may have to pay for a valuation of your property if the new lender requests it.

Loan options

As part of your decision about whether a switch is appropriate, you might need to think about the wider picture. Will a new lender offer you a more suitable structure for your loan, that better fits your financial plans? Or does your existing lender offer more of the flexibility that you value? Different lenders may offer different features and it’s helpful to understand what is available – benefits as well as limitations.

Assessment

If you decide to go ahead with a move to a new lender, you’ll need to be prepared to go through an application process. Your SHARE adviser will help you with what is required. The new lender will look at your income, commitments and the property that you’re financing.

The full picture

It’s important to look at the full context of any borrowing arrangement, not just a headline interest rate or a cashback incentive.

Before making the decision to switch lenders, seek advice from your SHARE mortgage adviser.

We can help you compare your options, understand any costs or implications of moving, and consider what may be most suitable based on your circumstances and plans.

If you have any questions about your home loan, whether you’re refinancing or just starting out, the SHARE team is here to help.

Disclaimer: Please note that the content provided in this article is intended as an overview and as general information only. While care is taken to ensure accuracy and reliability, the information provided is subject to continuous change and may not reflect current developments or address your situation. Before making any decisions based on the information provided in this article, please use your discretion and seek independent guidance.