Financial
Roadmap
A clear, personalised path to your financial goals.
27 February, 2023
Paying off your mortgage faster
First Financial Team
Successful property investment advice can yield significant returns.
However, cost of living increases and rising interest rates necessitate a more focused approach when you’re trying to pay off your mortgage faster.
Identify your goal first
Before we jump straight into tips to pay off your mortgage faster, the first point to consider is – what is your long term goal… paying off your mortgage, or investing?
We understand that for many people, they simply want peace of mind… and being mortgage free will undoubtedly help to achieve that.
Also, paying off your home loan as quickly as possible will help reduce the total amount you spend on interest, but it’s not necessarily a bad thing to maintain your mortgage for its full term if you put those additional funds to good use.
See this insightful article about investing vs paying off your mortgage. Once your goal is clear, and you’ve decided that paying off your mortgage as quickly as possible is your strategy, then read on for some tips on how to achieve that.
1. Consider bi-weekly payments
Most home-owners pay their mortgage on a monthly basis, but making fortnightly payments can be an effective way to reduce the amount of interest you pay over time. By paying half of your mortgage payment every fortnight, you’ll end up making an extra month’s worth of payments each year.
This method works because you’re essentially making one additional mortgage payment per year, which can reduce the life of your loan and save you thousands in interest. In addition having more money sitting in your loan for longer reduces your interest cost.
2. Refinance to a shorter-term loan
Refinancing to a shorter-term loan can can be a tempting way to pay off your mortgage faster and save you thousands of dollars in interest. But remember if you do refinance to a shorter-term you will be locked into making higher repayments and if your financial circumstances change you might find making those repayments difficult.
Instead, use an online mortgage calculator to work out what repayments you should make to repay your loan over your desired time period. Then voluntarily make those repayments, you could potentially save thousands of dollars in interest.
3. Redraw facilities and offset accounts
If you already have a stop spending – start saving attitude, this part won’t be hard at all!
Redraw facilities and offset accounts are similar home loan features that enable you to reduce interest charges on your loan balance by offsetting your loan with extra funds.
A redraw facility allows you to make additional repayments and withdraw the funds later, while an offset account is a separate transaction account linked to your home loan, which offsets the balance of your loan.
Keep in mind that while the balance of a redraw facility reduces your loan balance, the funds in an offset account are separate, and your lender will calculate the interest charged on your loan balance minus the offset account balance.
4. Fixed vs variable rate loans
Both variable and fixed-rate loans have their advantages and disadvantages. For those who wish to repay their loan faster, a variable rate loan may be preferred due to its flexibility, allowing unlimited extra repayments at no cost.
While those with a fixed-rate loan can switch to a variable rate after the fixed term ends, early exit fees may apply.
Another option is to split your home loan between fixed and variable rates. However, be aware of possible limits on extra payments for fixed loans.
Need mortgage and financial planning advice?
At First Financial, it is our passion to help Australians save money when times are tough, and support their journey to a happy retirement.
When planning your retirement, aiming to pay off your mortgage as fast as possible is a great strategy.
Contact us to discuss your unique goals, and we’ll help you make the right decisions to achieve them.
YOUR FINANCIAL JOUNEY
Building your financial future
Every client journey begins with a conversation. We look closely at where you are now, what matters to you, and what’s possible. Then we structure our advice to match.
Financial
Tax
Efficiency
Proactive strategies to maximise your tax savings.
Personalised
Investing
Tailored plans aligned with your goals and risk profile.
Ongoing
Support
Regular guidance to keep your plan on track.
CLIENT STORY
Tim and Adam
Life Stage:
Early retirement and working professional
Background:
When Tim received an overseas medical settlement, he and Adam had just 14 days left in a 90-day window. They needed clear guidance, fast. A referral led them to First Financial.
- Only two weeks left to meet urgent legal and financial deadlines
- Wanted to preserve capital while setting up income for the future
- Needed a plan that supported both retirement and ongoing work
- Hoped to find advice that felt personal, not transactional
- Managed every moving piece, from legal documents to super rollovers
- Designed a strategy that supported both Tim’s retirement and Adam’s career
- Offered clear guidance with steady follow-through, with no stress or pressure
- Built in ethical investing and flexibility, without sacrificing performance
“We’re in totally different life stages, but First Financial built a strategy that supports us both. From urgent legal steps to ethical investing, they handled every detail with calm, care, and real expertise. It’s financial freedom without compromise, and we couldn’t have done it without them.”
CLIENT STORY
Graeme and Craig
Life Stage:
Retired and semi-retired
Background:
Referred by friends helped through aged care, Craig sought secure financial guidance after inheriting funds.
- Invest inheritance securely without high risk
- Maintain a modest lifestyle with confidence
- Building trust for someone new to advice
- Accessible, personalised advice
- Provided a low-risk strategy with regular income
- Reassured with steady, market-aware updates
- Established trust through responsiveness and warmth
- Delivered calm, expert support through all transitions
“We feel very secure with First Financial, the income just comes in, and we know everything is being looked after. It’s not just safe, it’s smart. We’ve recommended them to others because we genuinely believe in the team.”
CLIENT STORY
John
Life Stage:
Retired business owner
Background:
After decades of running a successful pharmacy, John sought financial guidance to simplify decision-making and support long-term planning.
- Navigated the sale of a long-held business
- Wanted simple, honest advice after burnout
- Needed a hands-on adviser he could talk to
- Desired financial guidance aligned with lifestyle goals
- Crafted a strategy that supports relaxed, post-work life
- Offered approachable, plain-English advice
- Maintained an ongoing, trustworthy relationship
- Provided flexibility with investments and cash flow
“I feel genuinely supported by First Financial. I can ask anything, and there’s no pressure, just clear advice and real care. The money’s growing, I’m not stressed about it, and I feel completely at ease for the first time. I don’t miss work, but I’d miss the support I get from First Financial.”
CLIENT STORY
Larry and Virginia
Life Stage:
Newly retired
Background:
As retirement neared, Larry and Virginia were ready to enjoy travel, family, and freedom, without uncertainty. A friend recommended First Financial, and from the first meeting, they had a clear plan, a safety net, and people they trusted.
- Wanted to travel and enjoy retirement without second-guessing finances
- Needed a structured income plan with buffers for the unexpected
- Valued guidance that felt honest and human, not overcomplicated
- Needed people they could call and count on
- Created a reliable income stream with a set-aside safety net for the unexpected
- Gave them the freedom to travel and spend meaningfully with family
- Kept advice simple, thoughtful, and tailored to what mattered to them
- Built a lasting partnership based on trust
“We’ve travelled the world, Europe, Sri Lanka, Vietnam, without once stressing about the money. They made everything feel simple and gave us the confidence to live well. We feel secure because we know exactly where we stand, and that peace of mind means everything.”
CLIENT STORY
Jan
Life Stage:
Retired
Background:
Jan's husband managed the finances until entering aged care. Jan gradually stepped into the financial picture with First Financial’s support.
- Needed financial guidance after business sale
- Lacked experience managing complex finances
- Sought consistent income and long-term structure
- Wanted a familiar, reliable relationship
- Provided long-term support through several transitions
- Helped structure income reliably for retirement
- Empowered Jan through education and reassurance
- Delivered calm advice through both grief and growth
“The money just comes in. I don’t have to think about it. And I know they’re always there. They’ve always been there in the background, just quietly making things work.”
CLIENT STORY
Lyn
Life Stage:
Retired widow
Background:
Lyn stepped into financial management for the first time after her husband's passing. With patience and care, First Financial supported her through grief, learning, and empowerment.
- Had never managed finances before
- Was overwhelmed after her husband’s passing
- Needed plain-English explanations and patience
- Sought emotional support and practical clarity
- Offered caring, respectful advice at her pace
- Rebuilt confidence with diagrams, stories, and reassurance
- Supported gradual decision-making around retirement
- Remained a trusted constant through major transitions
“After my husband passed, I was completely unsure where to start. First Financial gave me the space to learn, to ask questions, to grow confident. They drew a diagram that I still have. And now, I sleep well at night knowing I’ve got someone in my corner.”
Meet our advisers
