If you have a mortgage on a home in Perth, there is a good chance you have asked yourself this question at least once over the past year.
Between ongoing cost-of-living pressures, interest rates that have finally started to stabilise, and lenders becoming far more competitive again, many Perth homeowners are taking a fresh look at their home loans in early 2026.
The big question is not just whether rates might move again, but whether your current loan still makes sense for where you are now.
Interest Rates in 2026: What You Should Know
One of the biggest traps homeowners fall into is waiting for the “perfect” interest rate.
In reality, that moment is almost impossible to time. Without knowing exactly what the future holds, waiting for a specific rate change can mean waiting indefinitely.
While the Reserve Bank of Australia influences the broader interest rate environment, lenders set their own pricing. This means rates can move even when the RBA stays on hold, and different banks can offer very different deals at the same time.
In 2026, we are seeing:
- More aggressive pricing from lenders trying to win refinancers (source: brokernews.com.au)
- Cashback offers and fee discounts are returning (source: realestate.com.au)
- Bigger differences between advertised rates and what individual borrowers can actually access
That is why headlines only tell part of the story. Two homeowners on the same rate might have very different loan features, fees, or flexibility. Reviewing your specific loan terms is far more important than reacting to the news.
What’s Changed Since 2023
We previously covered the topic of refinancing back in 2023. At the time, refinancing was largely reactive.
Rates were rising quickly (the RBA raised the official cash rate by 425 basis points (4.25%) between May 2022 and December 2023), repayments were jumping, and many people were refinancing simply to escape sharp increases or roll off fixed rates. Decisions were often rushed, driven by fear rather than strategy.
Fast forward to 2026, and the environment looks very different.
Rate movements have slowed, lender competition has increased, and homeowners now have more breathing room to make considered decisions. Refinancing today is less about panic and more about optimisation.
This shift matters if you:
- Refinanced during the chaos of 2023 and have not reviewed your loan since
- Delayed refinancing because everything felt too uncertain
- Locked in a solution that worked at the time, but may no longer suit your longer-term goals
In 2026, refinancing is about making sure your loan aligns with your lifestyle, cash flow, and future plans, not just chasing the lowest headline rate.
Signs It Might Be Time to Review Your Home Loan
Refinancing does not always mean switching lenders, but a review is often overdue if any of the following sound familiar:
Your loan has not been reviewed in over 12 months
Even in a stable market, lender policies and pricing change regularly. A loan that was competitive a year ago may no longer be.
Your interest rate feels noticeably high
If you suspect your rate is significantly higher than what is currently available, it is worth checking. Many borrowers sit on “loyalty tax” rates without realising it.
Your personal or financial circumstances have changed
A new job, higher income, reduced income, a growing family, or new investment plans can all affect whether your loan structure remains sensible.
You are unsure what features your loan actually has
Offset accounts, redraw, extra repayments, and flexibility matter. If you are not confident in your understanding of how your loan works, it may not be suitable for you.
You are not sure your loan supports your long-term goals
Whether that is paying off your home sooner, improving cash flow, or preparing for future investments, your loan should support your plans, not limit them.
When Refinancing May Not Be the Right Move
While reviewing your loan is almost always worthwhile, refinancing is not always the best next step.
It may not make sense if:
- You refinanced very recently and are already on a strong deal
- Fixed-rate break costs would outweigh any potential savings
- Fees and costs cancel out the benefits of switching
- You are planning to sell your property in the near future
This is where personalised advice matters. Sometimes the smartest move is staying put, tweaking your existing loan, or simply waiting until the timing is better.
So, Should You Refinance in 2026?
There is no one-size-fits-all answer.
In 2026, the real value is not in switching lenders for the sake of it, but in understanding your options clearly. For many homeowners, a proper loan review delivers peace of mind even if they decide not to refinance at all.
Market timing matters far less than personal circumstances. The best refinancing decisions are made when your loan matches your life, not when the headlines say it is time to act.
Review Your Home Loan With a Loan Monster Broker
If you are unsure whether refinancing in 2026 is right for you, the first step is simply a conversation.
Our team of mortgage brokers at Loan Monster can help you review your current home loan, explain what options are available, and talk through whether making a change actually benefits you.
There is no pressure to switch and no confusing bank jargon. Just clear guidance, honest answers, and support from someone who is on your side.
If your loan has not been reviewed in a while, now is a great time to take a fresh look. Reach out to Loan Monster today to learn more.
