Release equity from a property you already own, with an honest read on timing.
- Indicative assessment within 2 business days, settlement typically 2 to 6 weeks
- Loans up to $2M, secured against residential or commercial property
- Homeowners, self-employed ABN holders, and borrowers with irregular income
- Funds for renovations, an investment deposit, a large one-off cost, or consolidating other debt
- Full-doc (tax returns), low-doc or alt-doc (BAS, bank statements or an accountant's letter instead) options across our 90+ lender panel
If your property has grown in value or your mortgage has come down, the difference is equity. A cash-out refinance replaces your existing loan with a larger one and can release the difference at home loan rates rather than personal loan rates, though over a long term the total cost can still be higher, and the debt is secured against your home. The catch is that lenders care a great deal about what the money is for, and cash-out is one of the areas where policy varies most across the market. Joseph Farhat and his team will tell you what your equity supports, and which lenders will release it for your purpose.
Who we can help access finance
- Homeowners releasing equity for a deposit on an investment property or a second home.
- Owners funding a renovation, where equity prices lower by rate than most other routes, though the total cost depends on the term.
- Borrowers consolidating higher-rate debts into the mortgage at a materially lower rate.
- Self-employed borrowers using equity for a business purpose, which changes both the lender list and the regulatory treatment.
- Owners covering a large one-off cost: a medical procedure, school fees, a legal settlement, or a family commitment.
- Borrowers refinancing off a rate that is now higher than what is available elsewhere, and releasing equity in the same transaction.
- People coming off a fixed term who want to restructure rather than roll onto the lender's standard variable rate.
- Owners whose property has been revalued upward and who want to know what is available.
How Equity Release Works
Your property is revalued. The lender calculates what it will lend against that value, commonly up to 80% without lenders mortgage insurance, and the difference between that figure and your current loan balance is the equity potentially available. A new, larger loan pays out the existing mortgage and the surplus is released to you. Because the whole facility is secured against property, it prices at home loan rates. The two things that most often reduce what is actually available are the valuation coming in below expectation and the lender declining the stated purpose. Joseph Farhat and his team will check both before an application is lodged.
What Lenders Assess for Equity Release
The valuation
the entire calculation rests on it, and lender-ordered valuations are frequently more conservative than online estimates or agent appraisals.
Purpose of the cash-out
this is the single biggest differentiator. Renovation, investment, and debt consolidation are widely accepted. Some purposes require evidence, and a few are excluded by particular lenders.
Amount released without evidence
many lenders allow a modest cash-out, often up to $50,000 to $100,000, on a stated purpose alone, and require documentary evidence above that.
Serviceability on the larger loan
your income has to support the full new balance, not just the increase, and it is tested at a higher rate than you will actually pay.
Loan-to-value ratio (LVR), the loan as a share of the property's value, after release
staying at or under 80% avoids lenders mortgage insurance. Going above it is possible but adds a real cost.
Loan purpose classification
releasing equity for a business purpose can move the loan outside consumer credit regulation, which changes the documentation and the protections that apply.
Property type and location
apartments under a certain size, rural acreage, and single-industry towns attract lower lending limits.
Your credit and repayment history on the existing mortgage.
The Equity Release Process: What to Expect
- Talk to Joseph Farhat and his team about how much you want to release and what it is for. Purpose determines the lender list on this product more than anything else, so it is the first question rather than the last.
- Provide the basics: your current loan statements, income evidence, and details of the property. Where the purpose needs evidence, a quote or contract.
- We estimate your available equity against a realistic valuation, not an optimistic one, and identify which lenders will release it for your stated purpose.
- A valuation is ordered and the lender issues an approval setting out the new balance, the LVR, the rate, and any conditions on how the released funds are used.
- Settlement discharges the old loan and the surplus is released to you. We stay in contact afterwards, particularly if the release was structured as a separate split.
Indicative Finance Options
| Lender Type | Pricing | Max LVR | Typical Cash-Out | Evidence Required | Speed to Settlement |
|---|---|---|---|---|---|
| Bank | Sharpest available pricing | Up to 80% without LMI | $20K to $500K | Often none under $50K to $100K | 3 to 6 weeks |
| Non-Bank Lenders | Priced for flexibility | Up to 80% | $20K to $1M | Varies; often more flexible on purpose | 2 to 4 weeks |
| Private Finance | Not typically used for consumer equity release. Available for unique scenarios only. | ||||
Indicative figures only. Actual terms depend on your circumstances, the property, and lender assessment at the time of application. We quote your rate and comparison rate for your specific loan amount and term before you apply. Terms are subject to change.
Why borrowers choose Settled With Joe for equity release
We represent you, not the lender
Joseph Farhat and his team act in your interest, and on consumer lending that is a legal duty, not a slogan.
Purpose decides the lender
cash-out policy varies more than almost any other area of lending, and a purpose one lender declines outright is routine for another.
Evidence thresholds differ widely
some lenders release a substantial sum on a stated purpose alone, others want a contract for every dollar. Knowing which is which saves weeks.
The valuation is the whole calculation
we set expectations against what a lender-ordered valuation is likely to say, not an online estimate.
Your existing lender is one option among 90+
we compare it alongside the rest of the panel.
Structure matters after settlement
releasing equity as a separate split rather than adding it to the main loan keeps the purpose clean, which matters if any of it is investment or business related.
90+ lenders on one panel
bank, non-bank, and specialist, so a straightforward release goes to a bank at a sharp rate and a complex purpose still has options.
Private finance for unique scenarios
where bank and non-bank lenders are not the right fit, we can introduce you to private finance options.
Usually no direct cost to you
as a broker we are typically paid by the lender on settlement.
An honest answer early
if the equity is not there or the purpose will not be accepted, we will tell you before an application is lodged.
Frequently asked questions
What is equity release and how does a cash-out refinance work?
Equity is the difference between your property value and what you owe. A cash-out refinance replaces your existing loan with a larger one and releases the difference to you in cash. Because the whole facility remains secured against property, it prices at home loan rates rather than personal loan rates, which is why it usually prices lower by rate than other ways to access a large sum, though over a long term the total cost can still be higher. It is not free money: you are increasing your mortgage and generally extending the period over which it is repaid.
How much equity can I actually access?
Most lenders will lend up to 80% of the property value without lenders mortgage insurance. Take 80% of the valuation, subtract your current loan balance, and that is roughly the ceiling before LMI. Two things commonly reduce it: a lender-ordered valuation that comes in below your expectation, and serviceability, since your income has to support the full new balance at a higher rate than you will actually pay. Joseph Farhat and his team will give you a realistic figure before a valuation is ordered.
Does the lender need to know what the money is for?
Yes, and it matters more than most borrowers expect. Cash-out purpose is the single biggest point of difference between lenders on this product. Renovation, investment deposits, and debt consolidation are widely accepted. Some lenders require documentary evidence such as a contract or quote, others accept a stated purpose up to a threshold, commonly $50,000 to $100,000. A few purposes are excluded outright by particular lenders. Telling us the real purpose at the start is what lets us go to the right lender first.
Can I release equity to buy an investment property?
Yes, and it is one of the most common reasons people do this. The released funds form the deposit and costs on the new purchase. Worth knowing: where the purpose is investment, keeping the released amount as a separate loan split rather than merging it into your home loan keeps the borrowing purpose clean, which is generally simpler for your accountant at tax time. That is a structuring point rather than tax advice, and your accountant should confirm how it applies to you.
Will applying affect my credit score?
Every credit application is recorded on your file, and several in a short period read poorly to the next lender. Equity release is an easy place to trip over this, because borrowers often approach several lenders while still working out what is available. We establish which lenders will release the amount for your purpose before anything is lodged, so your file carries one enquiry rather than several.
What is a comparison rate, and why are no rates shown on this page?
A comparison rate combines the interest rate with the standard fees into a single figure so two loans can be compared honestly. An advertised rate on its own can look sharp and still cost more once establishment, annual, and discharge fees are counted, and a comparison rate is only meaningful for a specific amount and term. On a refinance the fees matter more than usual, because you are paying to exit one loan and enter another. We quote your rate and comparison rate for your real numbers instead.
Do you act in my best interests?
Yes. When we provide credit assistance on consumer lending we owe you a best interests duty. We make reasonable enquiries into your financial situation, requirements, and objectives, and we must not suggest or help you apply for a loan that is unsuitable for you. Where our interests and yours conflict, yours come first. Before we provide credit assistance you will receive our Credit Guide, which sets out our licence authorisation, how we are paid, and how to make a complaint.
Do you work with borrowers with bad credit?
Yes, we do. A default, an old arrears listing, or a thin credit file does not rule you out, and it is not something we will make you feel awkward about. Several lenders on our panel weigh the equity and the LVR far more heavily than the credit file, and price for the risk rather than decline it. Telling us early lets us approach the right lender first.
Is releasing equity cheaper than a personal loan?
By interest rate, substantially, because the debt is secured by property. By total cost, not necessarily. Spreading a $40,000 expense across 25 years of mortgage at a low rate can cost more in total interest than a five year personal loan at a much higher one. A common way to get both benefits is to release the equity but keep making a higher repayment so the amount clears in a few years. We will model both so the comparison is on total cost, not just the rate.
Can I release equity if I am self-employed?
Yes. Full-doc lending needs two years of returns and financials. Where those are not available, alt-doc and low-doc lending assesses you on BAS, business bank statements, or an accountant declaration instead, generally at a lower maximum LVR and a higher rate. If the purpose of the release is a business one, the loan may fall outside consumer credit regulation, which changes the documentation and the protections that apply. We will explain that difference clearly before you proceed.
What does a cash-out refinance cost to set up?
Expect a discharge fee from your outgoing lender, an application or establishment fee from the incoming one, a valuation fee, and government registration costs. Some lenders waive several of these to win the refinance. If you are exiting a fixed rate early there may also be a break cost, which can be significant and is worth quantifying before you commit. We will total these against the benefit so the decision is made on a full picture.
Why work with Settled With Joe to release equity?
Because purpose decides this product, and most borrowers never find out how much that varies. Most of the people we help are homeowners, investors, and self-employed borrowers who have built real equity and want to know which lenders will release it for their purpose. Those situations are not unusual to us and there is no judgement in the conversation. What matters is the valuation, your serviceability on the larger balance, and what the money is for. Evidence thresholds and purpose policy differ enormously across the market, and knowing which lender releases what, on what evidence, is not something a borrower can easily find out. Our panel covers 90+ bank, non-bank, and specialist lenders. We are based in Sydney and work with borrowers Australia-wide. Joseph Farhat and his team will tell you honestly and early what is achievable.
Do you give financial advice?
No. We do not guide you on your finances, nor give financial advice. We focus on outcomes and solutions of presenting your unique scenario to the right lender so you can access funding in a timely and compliant manner.
Do you help with equity release outside Sydney?
Yes. Settled With Joe is based in Sydney and arranges equity release and refinancing Australia-wide, covering both metro and regional areas. We work with clients in Sydney, Melbourne, Brisbane, Perth, Adelaide, and Canberra, as well as regional areas including Newcastle, Wollongong, Geelong, Gold Coast, Sunshine Coast, and Toowoomba. Location matters here because lending limits are commonly reduced for rural acreage and smaller regional centres, which directly affects how much equity is accessible. Joseph Farhat and his team will identify which lenders on the panel are the best fit for your property.
