When your fixed-rate home loan is about to expire, it’s tempting to chase the lowest rate you can find. But the cheapest rate isn’t always the smartest choice. At Best Mortgages, we help Tauranga homeowners refix strategically — balancing cost, flexibility, and peace of mind.

1) How long do you plan to stay?

Before locking in another fixed term, think about what’s ahead.

• Are you planning to sell in the next year or two?
• Could you outgrow your current property and move?
• Might you renovate, refinance, or buy an investment property soon?

If you fix for too long and then need to sell or restructure, you could face a break cost, which can be expensive if rates have fallen. Choose a term that fits your likely timeline. A shorter term rolls sooner (good if rates drop, risky if they rise); a longer term gives stability but less flexibility. Local example: A Papamoa client fixed for five years during a low-rate window, then changed jobs and moved 18 months later. The break fee wiped out most of the savings. Plans matter as much as rates.

2) How much certainty do you need?

Ask yourself: do you value stability or flexibility right now? If predictable repayments help you sleep better, a longer fixed term can bring certainty. If you expect income or lifestyle changes, a shorter term may suit you better. The “best” rate is the one that suits your goals — not just the lowest number.

3) Consider splitting your loan

You don’t need to refix the whole mortgage on one term. Splitting into two or three parts — each with a different term — can smooth out rate changes and reduce pressure when one portion rolls over.

• For example: one-third fixed for 1 year, one-third for 2 years, one-third for 3 years.

This structure means only part of your lending refixes each year. If rates rise, you won’t feel the full impact at once. If rates fall, it takes longer to benefit — it’s a trade-off. We can model both scenarios before you decide.

4) Don’t wait until the last minute

Many people only start thinking about refixing a few weeks before expiry. That can limit your choices. Ideally, review options 6–8 weeks ahead so there’s time to compare lenders, negotiate, and set the right structure for your budget.

5) Use a broker’s expertise

Refixing looks simple on paper, but the best result comes from strategy. Brokers handle these negotiations daily and understand how small details — term lengths, timing, repayment settings, split structures — affect your finances long term. A quick conversation can prevent over-committing to the wrong term and help you avoid unnecessary fees later.

6) Think beyond the rate

The structure often matters more than the headline number. Ask:

• Do you want flexibility for renovations or a future purchase?
• Should you keep an offset or revolving credit facility?
• Would switching lenders secure better conditions or cash-back incentives?

7) A Tauranga example

A Bethlehem family couldn’t decide between a one- or two-year refix. Their bank suggested two years at a competitive rate. After mapping their budget and likely renovations, we recommended a split: part for one year, part for two. When the shorter term rolled, they captured a lower rate, saving interest without losing overall stability.

8) Your next steps

1. Review your goals and likely changes over the next 12–24 months.
2. Check options early — don’t wait for the lender’s expiry letter.
3. Talk through term lengths and structures that fit your plan.
4. Choose a mix that balances certainty and flexibility.

Refixing doesn’t have to be stressful. With a clear plan, you can make your lending work smarter for you — not the other way around.

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