A new year naturally brings a fresh sense of motivation. It’s the time many of us think about health goals, career plans and lifestyle changes. But one area that often gets left on autopilot is our financial plan.
The New Year is the perfect opportunity to step back and take a holistic view of your finances. Your mortgage doesn’t exist in isolation. It’s connected to your broader financial goals, your future plans, and even how protected your family is if life throws a curveball.
Looking at the Bigger Picture
A strong financial plan isn’t just about having a home loan in place. It’s about making sure every piece of the puzzle still fits together as your life evolves.
That means regularly reviewing:
- Your mortgage structure and interest rate
- Your short- and long-term financial goals
- Your cash flow and buffers
- Your insurances
- Your personal protection, including wills and estate planning
Life changes quickly—growing families, new jobs, investments, or business ventures can all impact whether your current setup is still right for you.
Reviewing Your Mortgage: More Important Than Ever
With interest rates remaining higher than many borrowers have been used to, reviewing your mortgage is no longer a “nice to have”—it’s essential.
Even if rates don’t rise further, staying on the wrong loan can quietly cost you thousands over time. A review can help identify:
- Whether your rate is still competitive
- If your loan features still suit your lifestyle
- Opportunities to reduce repayments or improve cash flow
- Whether your loan structure will hold up if rates stay higher for longer
A regular review ensures your mortgage continues to support your goals, rather than holding you back.
Planning Ahead in a Changing Rate Environment
While many borrowers are hoping for relief, the reality is that interest rates may remain elevated for some time yet. Planning ahead—rather than reacting later—puts you in control.
This could include:
- Building or maintaining a cash buffer
- Stress-testing your repayments
- Reviewing fixed vs variable options
- Making sure your loan is flexible enough to adapt as conditions change
The goal isn’t to predict the future perfectly—it’s to be prepared, whatever happens next.
The Perth Housing Market: Opportunity and Pressure
Here in Perth, the property market has continued to show strength, driven by population growth, tight housing supply and strong demand. While this has been great for existing homeowners in terms of equity growth, it also means affordability and competition remain key considerations for buyers.
For homeowners, rising property values can open doors—whether that’s refinancing, consolidating debt, or planning future investments. But these opportunities only make sense when they align with your broader financial plan.
Australian Insurance Gap
🏠 Home & Contents Insurance
- A survey from the Insurance Council of Australia reported that around he Insurance Council of Australia (ICA) estimates that 23 percent of Australian households do not have building or contents insurance, meaning that approximately 1.8 million residential households are not protected and 83 % of Australian households believe they are underinsured for home and contents cover — meaning their policy may not cover the actual cost to rebuild or replace what they own.
👤 Life & Income Protection Insurance
- Research by the Financial Services Council estimated:
- ~1 million Australians are underinsured for death and total & permanent disability (TPD) cover
- ~3.4 million Australians are underinsured for income protection (i.e., their cover is less than they likely need).
📊 Other Personal Insurance Gaps
- Separate surveys suggest large gaps in life insurance coverage overall — e.g., many Australians have little or no life insurance — but underinsurance as a precise percentage depends on the category (death cover, income protection, TPD, etc.).
Key takeaway: Underinsurance is very common — for home and for personal risk cover — with many surveys showing the large majority of households may be underinsured in at least one category of personal insurance.
Don’t Forget Wills and Estate Planning
A truly holistic approach goes beyond the numbers. Having your wills and estate planning in place is a crucial part of protecting what you’ve worked hard to build.
Your mortgage, property and debts all form part of your estate. Making sure these are aligned with your wishes can:
- Provide clarity and certainty for your family
- Reduce stress during difficult times
- Ensure your assets are distributed as intended
It’s not always an easy topic, but it’s one of the most important pieces of long-term financial planning. We are fortunate enough to have a specialist in Paul Coombs from Coombs Legal available to do appointments at our office, click here to get in touch with him.
Make Reviews a Regular Habit
One of the biggest mistakes people make is setting up a plan—and then never revisiting it. Your financial position should be reviewed regularly, not just when something goes wrong.
An annual check-in can help ensure:
- Your mortgage still suits your goals
- Your financial plan keeps pace with life changes
- You’re positioned to handle uncertainty with confidence
Start the Year with a Clear Plan
A new year is about momentum. Taking the time now to review your mortgage and your broader financial plan can set the tone for the next 12 months—and beyond.
If you’d like to take a fresh look at where you’re at and where you’re heading, the team at Fox Mortgage Services is here to help. Because the best plans aren’t just about today—they’re about building confidence in your future.