rbaThe RBA has announced a reduction to the official cash rate. We will be reducing interest rates across all variable rate products by 0.25%, more information coming soon!

How to Refinance Your Home Loan in Frankston

Kate Hughes
by Kate Hughes
3 min read
Dec 23, 2025 10:21:31 AM

How to Refinance Your Home Loan in Frankston

If you’re a homeowner in Frankston and considering refinancing, you are not alone. Rising interest rates, changing loan terms, and fluctuations in income, especially for self-employed borrowers, have prompted many Australians to explore smarter loan options.

Refinancing may help you reduce repayments, consolidate debt, access equity for renovations or business purposes, or switch to a loan that better suits your circumstances.

This guide is tailored for Frankston homeowners, particularly those who are self-employed, tradies, or small business operators.

Why Frankston Homeowners Are Exploring Refinancing

Frankston has become one of Victoria’s most in-demand coastal communities, with steady property performance and growth over recent years.

A few key market insights:

  • Frankston’s median house price has shown long-term growth, supported by coastal demand and infrastructure investment (Source: CoreLogic Market Trends, 2024)
  • The Mornington Peninsula and bayside region continue to attract families and self-employed workers relocating for lifestyle and affordability (Source: ABS Population and Migration Data – Victoria, 2023)
  • Interest rate changes between 2022 and 2024 encouraged many Australians to reassess their loan structure (Source: RBA Cash Rate Data)

For many locals, refinancing is not just about chasing a lower interest rate. It may also provide opportunities to improve cashflow, reduce stress, and make a home loan more suited to your situation.

What Does Refinancing Mean?

Refinancing is the process of replacing your existing mortgage with a new one, either with your current home loan provider or a different one.

Homeowners may refinance to:

  • Lower monthly repayments
  • Access equity
  • Switch from variable to fixed rates or vice versa
  • Consolidate personal or business debt
  • Adjust loan features such as offset accounts, redraw facilities, or repayment frequency
  • Improve cashflow when income changes

For self-employed Frankston homeowners, refinancing may also allow the use of alternative documentation when traditional tax returns are not typical.

Steps to Refinance Your Home Loan in Australia

Refinancing does not have to be complicated. Here is a clear process for homeowners in Frankston:

1. Understand Your Current Loan

Review:

  • Your current interest rate
  • Remaining loan term
  • Break or discharge fees
  • Loan features you are or are not using

This may help you compare refinancing options more effectively.

2. Check Your Equity and Property Value

Your home’s value may play a significant role in refinancing. Frankston homeowners have experienced steady property growth over the past decade.

Having more equity may provide greater refinancing opportunities.

3. Organise Your Financial Documents

For self-employed borrowers, home loan providers may review:

  • Business bank statements
  • BAS statements
  • Profit and loss summaries
  • Accountant declarations
  • Personal bank statements
  • Tax Returns

Full tax returns are not always required if a home loan provider uses loan options designed for self-employed applicants.

4. Compare Refinancing Options

When exploring refinancing, it may help to review options that consider:

  • Self-employed income
  • Seasonal or fluctuating earnings
  • Business expenses that reduce taxable income
  • Mixed PAYG and business income streams

The goal is not only a potentially lower interest rate but also a loan better suited to your circumstances.

5. Submit Your Application

Once your documents are prepared, a refinancing application is lodged and assessed. This process may be faster for refinancers than for first-home buyers.

6. Switch Your Loan

If approved, your home loan provider pays out your existing loan. You begin repayments under the new structure, which may give more flexibility and comfort in your repayments.

Benefits of Refinancing for Self-Employed Frankston Homeowners

Self-employed borrowers may feel overlooked by traditional banks, which often rely heavily on rigid paperwork. Working with a specialist may open up options tailored to your situation.

Refinancing may help self-employed homeowners:

  • Improve cashflow
  • Reduce total interest paid over time
  • Smooth business-related expenses
  • Access equity for tools, equipment, or renovations

It may be a useful financial strategy for small business owners, contractors, and tradies across bayside Melbourne.

Want Help Refinancing Your Home Loan?

If you are in Frankston, Frankston South, Langwarrin, Seaford, or the wider bayside corridor, Rate Money Frankston may be able to assist.

We specialise in self-employed home loans and can help structure refinancing so you have a better chance of approval.

Explore refinancing options here:

https://ratemoney.com.au/existing-loan-refinancing

Book a free, obligation-free chat. We can review your current loan, calculate your equity, and explore whether refinancing may improve your financial position.

References