Are you paying too much on your mortgage?

Our research shows 52% of Australians aren’t confident they’ve found the best home loan deal for them. Could you be paying too much on your mortgage?

UNO customer and co-founder of an IT recruitment business Bloc Technology, Roman Lenio was not afraid to switch lenders to get a better deal on his two mortgages with his partner. After refinancing their home mortgage and the loan on their investment property (both in Sydney), the couple will now save thousands of dollars a year in interest.

Interviewed by The Sydney Morning Herald last week, Lenio, 37, says switching to a better mortgage deal was well worth it: he shaved 0.2 percentage points off both loans to arrive at rates well under 4%.

Many Australians miss out on savings because they are not prepared to refinance. Our new research shows two thirds of Aussie homeowners have never switched their rate and one in seven would never leave their bank – regardless of how big the discount.

We spoke to 1500 mortgage holders about their satisfaction with their home loan and their switching habits and found out some pretty crazy stuff! Turns out we’re a pretty lazy, loyal and scared nation. We compiled the results in this report: ‘Laziness, loyalty and fear: why Aussies don’t switch home loans’.

Our research found Aussies who have switched their rate are paying 13 basis points less on average than those who haven’t, with the common roadblocks to not switching being loyalty to their current bank or lender, the perceived amount of effort required to switch, and the fear of talking about finances.

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“If you’re unhappy with your current home loan deal but stay anyway, you’re effectively paying an inertia tax,” says UNO founder and CEO Vincent Turner, who advises mortgage holders to shop around every year or two to ensure they’re always getting the best rate.

The cost of not switching

A comparison of interest rates revealed that people who have switched pay an average rate of 4.29% versus the 4.42% interest rate being paid by those who haven’t switched. Say what! On an average $500,000 loan, this equates to someone paying $468 more per year – or $14,040 extra over a 30-year loan. That’s a lot of money. You could buy a brand new watch, fly business class to Europe…

Loyalty

Many Australians are fiercely loyal, spending a long time glued to the same rate and opting for well-known lenders. Nearly half have had their home loan for more than five years, two-thirds have been a customer of their lender for more than five years, and three quarters have their loan with a Big Four bank. On top of this, 15% would never leave their lender – regardless of how big the discount. With 70% of all marriages undergoing an affair at some point, turns out Aussies are more loyal to their bank than their spouse.

Laziness

Laziness is a big factor when it comes to not switching. More than two-thirds of Aussies who haven’t switched say they’ve been turned off by the effort. More than three quarters wouldn’t bother leaving their lender for a 20 basis point discount – a saving that would equate to $700 a year on an average $500,000 loan. Get off the couch, people!

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Fear

Amazingly, many Aussies are more driven by a fear of awkward conversations than they are by saving money. Half of those who admit to not switching say the thought of having their finances reviewed by a third party puts them off. And we thought you were all scared of spiders!

Luckily, with UNO you can do almost everything online – sans the awkward convos. Unlike the veil of mystery put up by many banks, with UNO you can unlock some of the sharpest rates out there by taking about 28 seconds out of your life here.

Misinformation

Fees also put many borrowers off switching, with nearly two-thirds saying that exit fees are a deterrent to switching and saving. This is despite the fact that lenders are no longer allowed to charge exit fees on variable rate loans taken out after 30 June 2011.

“In many cases, people estimate exit fees to be higher than they actually are,” says Turner. “Rule changes have meant that exit fees have come down significantly in the last few years and can end up being only a couple of hundred dollars.

interest rates are at historically low levels, so it’s a great time to push through the roadblocks that have prevented you from switching and trade up to a better deal.”

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Are you driven by laziness, loyalty or fear?

If so, it’s possible you’re paying too much for your home loan.

Happily, you can start unlocking potential savings with just a few clicks. So go on – take those 28 seconds we mentioned earlier to plug in a few details to see what you could be saving.

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This information is general in nature and you should always seek professional advice when making financial decisions.



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Patti Jo Mogensen
May 16, 2025
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100% Rockstar. We found Paul and Uno Home Loans from recommendations from people who had used his services. We know understand why he comes so highly recommended. We definitely put Paul and his team under pressure due to an oversight our end which meant that he had to don his superman cape and work miracles for us. We didn't appreciate the very very short window we created for ourselves (think less than two weeks for settlement). Paul was able to wave his magic wand, come up with multiple solutions to our situation and make it all happen seamlessly. It goes without saying then, without reservation that we recommend Paul and his team as our trusted mortgage advisor! Thanks again Paul. *****The limoncello is on route we promise :)
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Lani Wards
May 13, 2025
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Paul Davey worked very hard to get us the mortgage we required for our investment property. He is knowledgeable and approachable. Thanks Paul!
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Michael Badham
May 13, 2025
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Our entire process with Uno went very well. We had a unique set of requirements for our loan and our super friendly broker Mike Parsons managed to secure us the perfect outcome. Mike also worked above and beyond our expectations to make sure the whole process of completing the documentation of switching banks went smoothly.
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Vanessa Koster
May 13, 2025
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The service recieved from Paul was fantastic. He made the whole process stress free & easy. We started the process from NZ & Paul had everything ready for approval as soon as we landed in Aus. I would highly recommend Paul if you require a mortgage. You won't be dissapointed.
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Peta Hemmings
May 13, 2025
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Paul has been amazing throughout our entire home loan process, we have recommended him to many of our family and friends. He has been extremely helpful and professional right from the beginning.
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Ryan Whittle
May 12, 2025
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Highly recommended, Paul and his team made the process very streamlined delivering the best possible results.
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Tiana Perez
May 10, 2025
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Paul and Dalby were incredible to deal with, from the first interaction with Paul a few months prior, to getting approval to purchase, through to the last minute helping us with the final settlement details. Their communication was second to none and they truly went the extra mile. Paul managed to get us more borrowing power than dealing with the bank directly. I couldn't recommend Paul and his team enough. Paul and Dalby, thank you so much for putting hours and hours of work into our application. We really appreciate it!
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Nicholas Violaris
April 14, 2025
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Can not recommend UNO Home Loans enough, Scott Wilkinson and his team have helped us get a home loan in no time and they have been a breeze to deal with, great job guys, looking forward to working together more in the future
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Lahnie Cooper
March 26, 2025
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Jake Wood was a pleasure to work with and made this process extremely easy for me! I highly recommend Jake and the team at Uno.
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Daniel Demosthenous
March 18, 2025
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The team at UNO were absolutely fantastic at helping me set up and organise my new property purchase, Andrew answered all my questions promptly and went over and beyond to reassure me at any stage with his abundance of knowledge of the matter, also a big thank you to Dalby and Jena for helping with the process as well.
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Sheree Tidswell
February 20, 2025
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Scott Wilkinson and the team at Uno Mortgages were exceptional to work with. They were proactive, took the initiative at every stage, and kept us well-informed throughout the process. Their patience and relaxed approach made everything feel seamless, and we truly felt supported in achieving the best outcome for our needs. We highly recommend Scott and the Uno team for their professionalism and dedication!
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Jaio Seto
February 19, 2025
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Paul is great to deal with, he made the whole process super easy!
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