Refinancing is having a moment. Data shared by Commonwealth Bank shows that refinancers accounted for 44% of mortgage market share in April 2025, with the banking major anticipating sustained growth throughout the rest of 2025. ANZ, meanwhile, highlights that refinancing volumes have surged by up to 40%, with a 20-30% increase in the number of transactions, per Australian Bureau of Statistics data. No prizes for guessing why with Reserve Bank of Australia rate cuts in the bag and more (probably) to come, customers are making a move. "We've certainly seen a shift in momentum," Natalie Smith, ANZ's general manager, retail broker, said. Brokers are reporting that customers are becoming more active in reviewing their home loans, "particularly as interest rates begin to ease".

The significant uptick in refinancing market share "reflects a growing confidence among homeowners and investors to take advantage of the lower interest rates," said Baber Zaka, CommBank's general manager, third party banking.

"This trend suggests that the refinancing market is continuing to pick up pace, with more individuals seeking to benefit from the current rate conditions,"

Meanwhile, at ING Australia, "we've seen a noticeable increase in refinancing activity, and we expect this trend to continue throughout the year," said the non-major's national sales manager, Sergio Delvescovo.

Factors such as potential rate reductions, a rise in market confidence (particularly among investors), increasing cost of living pressures and the expiration of customers' fixed loans "will likely contribute to ongoing refinancing demand", Delvescovo said.

While banks have their own thoughts about what the RBA is planning next, they all agree on one thing – more cuts are likely on the way. And that means the refinancing market can only get hotter.

But while this presents opportunities for brokers and banks alike, market saturation on both sides of the transaction makes for a hotly competitive refinancing environment.