Guide to Refinancing Multiple Properties

Understanding Multi-Property Refinancing

If you're a Queensland public sector employee with more than one property in your portfolio, you might be sitting on opportunities to save thousands of dollars. Refinancing multiple properties involves reviewing all your home loans simultaneously to potentially access a lower interest rate, release equity, or improve your loan features across your entire portfolio.

Many property investors find themselves with loans at different interest rates, often stuck on high rates from years ago. When you refinance mortgage products across multiple properties, you're essentially conducting a comprehensive loan review that could transform your financial position.

Why Refinance Multiple Properties?

There are several compelling reasons to consider mortgage refinancing for your property portfolio:

• Save on interest rates: You could be paying too much interest on older loans while current refinance rates might offer significant savings
• Access equity: Unlock equity from your existing properties to fund your next investment or other financial goals
• Consolidate loan structures: Bring all your properties under one lender with consistent features like offset accounts and redraw facilities
• Improve cashflow: Lower interest rates and better loan structures can reduce your monthly repayments
• Lock in rate stability: If you're concerned about variable interest rate movements, you might switch to fixed rates across your portfolio

When to Refinance Your Property Portfolio

Timing matters when you're looking at refinancing multiple properties. Here are some key moments to consider:

Fixed rate period ending: If several of your investment properties are coming off fixed rate terms around the same time, this presents an ideal opportunity to review all loans together. Many property owners find themselves stuck on revert rates that are significantly higher than what's currently available in the market.

Property values have increased: When your properties have appreciated in value, you can potentially access better interest rates due to improved loan-to-value ratios. You might also release equity to buy the next property or expand your portfolio further.

Income has improved: As a public sector employee with secure employment, increases in your salary can improve your borrowing capacity and help you access more favourable loan terms.

Portfolio has grown: Once you own multiple properties, you have more negotiating power with lenders and may qualify for portfolio discounts or professional package rates.

The Refinance Process for Multiple Properties

Refinancing more than one property is more complex than a single home loan refinance, but the potential rewards make it worthwhile. Here's what the refinance process typically involves:

1. Loan health check: Review all your current loans, including loan amounts, interest rates, features, and fees
2. Property valuation: Lenders will assess current values across all properties
3. Compare refinance rates: Evaluate what different lenders offer for your complete portfolio
4. Refinance application: Submit applications for all properties, which can often be processed together
5. Settlement: Coordinate the switch of all loans to your new lender

Working with a mortgage broker who understands investment property portfolios can streamline this process significantly. At Public Home Loans, we specialise in helping Queensland public sector employees navigate multi-property refinancing.

Accessing Equity Across Multiple Properties

One of the most powerful strategies when refinancing multiple properties is accessing equity for investment purposes. This approach, sometimes called a cash out refinance, allows you to tap into the equity you've built up in one or more properties without selling them.

For example, you might release equity in your property portfolio to:

• Purchase additional investment properties
• Renovate existing properties to increase their value and rental returns
• Consolidate high-interest debts into your mortgage at a lower rate
• Fund other investments or business opportunities

The key is understanding how much equity you can safely access while maintaining a healthy loan-to-value ratio and sustainable repayments.

Fixed vs Variable Across Your Portfolio

When refinancing multiple properties, you don't need to choose the same interest rate type for every loan. Many sophisticated investors mix their approach:

Switch to variable: Variable interest rates offer flexibility with features like offset accounts and unlimited additional repayments. If you believe rates may decrease or you want maximum flexibility, variable loans might suit some properties.

Switch to fixed: Locking in fixed interest rates on some or all properties provides repayment certainty and protection against rate rises. This can be particularly valuable for investment properties where you want predictable cashflow.

Split loans: You could also split individual loans between fixed and variable, giving you some protection while maintaining flexibility.

Reducing Loan Costs and Improving Features

Beyond potentially accessing better interest rates, refinancing multiple properties can give you access to superior features that reduce loan costs over time:

• Offset accounts: Link transaction accounts to your investment loans to reduce interest charged
• Redraw facilities: Access additional repayments when needed for property maintenance or opportunities
• Lower fees: Package deals for multiple properties often include reduced or waived ongoing fees
• Interest-only options: Structure loans to maximise tax deductibility and improve cashflow

These features can be particularly valuable for Queensland public sector employees building long-term wealth through property investment.

Getting Started with Multi-Property Refinancing

If you're ready to explore what refinancing could do for your property portfolio, start by gathering information on all your current loans. You'll need details on loan amounts, interest rates, remaining loan terms, property values, and rental incomes.

Consider booking a loan health check to understand exactly where you stand. This comprehensive review will identify opportunities to save money refinancing and potentially release equity to expand your portfolio.

For Queensland public sector employees looking at investment loan refinancing, your stable employment and regular income can work in your favour when negotiating with lenders.

Whether you're interested in expanding your property portfolio or simply want to reduce what you're paying across your existing properties, the time to review your situation is now. Even small reductions in your interest rate can translate to thousands of dollars saved when multiplied across multiple properties.

Ready to see what's possible with your property portfolio? Call one of our team or book an appointment at a time that works for you. We'll help you understand your options and create a refinancing strategy tailored to your goals as a Queensland public sector employee.