{"id":5398,"date":"2026-04-02T21:52:23","date_gmt":"2026-04-02T13:52:23","guid":{"rendered":"https:\/\/gicl.com.hk\/?p=5398"},"modified":"2026-04-23T22:15:57","modified_gmt":"2026-04-23T14:15:57","slug":"mortgage-refinancing-guide-2026","status":"publish","type":"post","link":"https:\/\/gicl.com.hk\/en\/mortgage-refinancing-guide-2026\/","title":{"rendered":"\u8f49\u6309 2026 \u5168\u653b\u7565\uff1a\u6bd4\u8f03\u7269\u696d\u8f49\u6309\u5957\u73fe\u5229\u7387\u3001\u56de\u8d08\u512a\u60e0\u8207\u96b1\u85cf\u6210\u672c\uff08\u9644 GICL \u74b0\u7403\u4fe1\u8cb8 \u66ff\u4ee3\u65b9\u6848\uff09"},"content":{"rendered":"<div class=\"wp-block-group gicl-post2\"><div class=\"wp-block-group__inner-container is-layout-flow wp-block-group-is-layout-flow\">\n<figure class=\"wp-block-image size-large\"><img loading=\"lazy\" decoding=\"async\" width=\"1024\" height=\"264\" src=\"https:\/\/gicl.com.hk\/wp-content\/uploads\/2026\/04\/finance-ads-970-x-250px-1024x264.png\" alt=\"Refinancing\" class=\"wp-image-1470\" srcset=\"https:\/\/gicl.com.hk\/wp-content\/uploads\/2026\/04\/finance-ads-970-x-250px-1024x264.png 1024w, https:\/\/gicl.com.hk\/wp-content\/uploads\/2026\/04\/finance-ads-970-x-250px-300x77.png 300w, https:\/\/gicl.com.hk\/wp-content\/uploads\/2026\/04\/finance-ads-970-x-250px-768x198.png 768w, https:\/\/gicl.com.hk\/wp-content\/uploads\/2026\/04\/finance-ads-970-x-250px-1536x396.png 1536w, https:\/\/gicl.com.hk\/wp-content\/uploads\/2026\/04\/finance-ads-970-x-250px-2048x528.png 2048w, https:\/\/gicl.com.hk\/wp-content\/uploads\/2026\/04\/finance-ads-970-x-250px-18x5.png 18w\" sizes=\"auto, (max-width: 1024px) 100vw, 1024px\" \/><\/figure>\n\n\n\n<p>Upon the expiration of a property's mortgage penalty period, many homeowners often receive recommendations from friends to \"refinance.\" What exactly is refinancing, and why are so many property owners enthusiastic about undergoing this process?<\/p>\n\n\n\n<p>Simply put, refinancing refers to the practice of transferring an existing property mortgage loan from your original bank or financial institution to a new lender. This article provides the most comprehensive guide to refinancing in 2026, offering an in-depth breakdown of the benefits, application procedures, and key considerations, alongside a guide on how to bypass stringent bank stress tests by partnering with GICL.<\/p>\n\n\n\n<p class=\"translation-block\">Since <a href=\"https:\/\/www.wuchatprop.com.hk\/-\/\" target=\"_blank\" rel=\"noopener\">the Hong Kong Monetary Authority (HKMA) <\/a>officially suspended the mortgage stress test requirement on February 28, 2024, the threshold for refinancing in Hong Kong has significantly lowered. Property owners now only need to pass the \"Debt Servicing Ratio (DSR) of 50%\" requirement, without having to undergo the stress test that assumed a 2% interest rate hike. This allows more owners to qualify for refinancing. According to the latest HKMA data, total outstanding mortgage loans in Hong Kong reached HK$1.884 trillion in 2025, reflecting a massive property mortgage market. It is a wise move for every property owner to regularly review their refinancing options.<\/p>\n\n\n\n<p>Table of Contents:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><a href=\"#\u4ec0\u9ebc\u662f\u8f49\u6309\uff1f\u5e73\u624b\u8f49\u6309 vs \u8f49\u6309\u5957\u73fe\">Pure Refinancing vs. Cash-Out Refinancing<\/a><\/li>\n\n\n\n<li><a href=\"#\u89c0\u5ff5\u91d0\u6e05\uff1a\u8f49\u6309 vs \u52a0\u6309 \u6709\u4ec0\u9ebc\u5206\u5225\uff1f\">What is the Difference Between Refinancing and Top-up Mortgages?<\/a><\/li>\n\n\n\n<li><a href=\"#\u696d\u4e3b\u70ba\u4ec0\u9ebc\u8981\u8f49\u6309\uff1f\u62c6\u89e3 4 \u5927\u597d\u8655\">Why Do Homeowners Refinance? Breakdown of 4 Major Benefits<\/a><\/li>\n\n\n\n<li><a href=\"#\u3010\u771f\u5be6\u6848\u4f8b\u3011\u4e00\u6309\u4e8c\u6309\u5408\u4f75\u8f49\u6309\uff0c\u771f\u6b63\u6173\u606f\u65b9\u6848\" data-type=\"internal\" data-id=\"#\u3010\u771f\u5be6\u6848\u4f8b\u3011\u4e00\u6309\u4e8c\u6309\u5408\u4f75\u8f49\u6309\uff0c\u771f\u6b63\u6173\u606f\u65b9\u6848\">\u3010Real Case Study\u3011 First &amp; Second Mortgage Consolidation: The True Money-Saving Solution<\/a><\/li>\n\n\n\n<li><a href=\"#2026 \u8f49\u6309\u6700\u65b0\u5f62\u52e2\uff1a\u91d1\u7ba1\u5c40\u66ab\u505c\u58d3\u529b\u6e2c\u8a66\u6709\u4f55\u5f71\u97ff\uff1f\">2026 Refinancing Landscape: Impact of HKMA Suspending the Stress Test<\/a><\/li>\n\n\n\n<li><a href=\"#\u8f49\u6309\u6d41\u7a0b 5 \u90e8\u66f2\uff1a\u7531\u4f30\u50f9\u5230\u653e\u6b3e\">The 5-Step Refinancing Process: From Valuation to Drawdown<\/a><\/li>\n\n\n\n<li><a href=\"#\u7533\u8acb\u8f49\u6309\u8cbb\u7528\u8981\u591a\u5c11\uff1f\u6ce8\u610f\u7f70\u606f\u671f\u9677\u9631\uff01\" data-type=\"internal\" data-id=\"#\u7533\u8acb\u8f49\u6309\u8cbb\u7528\u8981\u591a\u5c11\uff1f\u6ce8\u610f\u7f70\u606f\u671f\u9677\u9631\uff01\">How Much Does Refinancing Cost? Beware of the Penalty Period Trap!<\/a><\/li>\n\n\n\n<li><a href=\"#\u9280\u884c\u8f49\u6309\u88ab\u62d2\uff1f\u5165\u606f\u4e0d\u8db3\uff1fGICL \u74b0\u7403\u4fe1\u8cb8 \u8f49\u6309\u66ff\u4ee3\u65b9\u6848\">Refinancing Rejected by Banks? Insufficient Income? GICL Alternative Solutions<\/a><\/li>\n\n\n\n<li><a href=\"#faq-refinance\">FAQ<\/a><\/li>\n<\/ul>\n\n\n\n<div style=\"height:40px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"\u4ec0\u9ebc\u662f\u8f49\u6309\uff1f\u5e73\u624b\u8f49\u6309 vs \u8f49\u6309\u5957\u73fe\">Pure Refinancing vs. Cash-Out Refinancing<\/h2>\n\n\n\n<div class=\"wp-block-group gicl-summary-box\"><div class=\"wp-block-group__inner-container is-layout-flow wp-block-group-is-layout-flow\">\n<p><strong>Key Takeaways<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Refinancing involves transferring an existing mortgage from the original institution to a new one in order to optimize interest rates, terms, or cash flow.<\/li>\n\n\n\n<li>The focus of \"breakeven refinancing\" (refinancing without cashing out) is saving on interest; the focus of cash-out refinancing is releasing capital.<\/li>\n\n\n\n<li>The two differ in loan-to-value (LTV) ratios, approval times, and available cash.<\/li>\n<\/ul>\n<\/div><\/div>\n\n\n\n<p>To help you quickly understand the differences, we have prepared the following comparison table:<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><thead><tr><th class=\"has-text-align-center\" data-align=\"center\"><strong>Comparison Item<\/strong><\/th><th class=\"has-text-align-center\" data-align=\"center\"><strong>Pure Refinancing (\u5e73\u624b\u8f49\u6309)<\/strong><\/th><th class=\"has-text-align-center\" data-align=\"center\"><strong>Cash-Out Refinancing (\u8f49\u6309\u5957\u73fe)<\/strong><\/th><\/tr><\/thead><tbody><tr><td class=\"has-text-align-center\" data-align=\"center\"><strong>Definition<\/strong><\/td><td class=\"has-text-align-center\" data-align=\"center\">Transferring the exact outstanding loan balance to a new lending institution without borrowing extra funds.<\/td><td class=\"has-text-align-center\" data-align=\"center\">Re-evaluating the property to borrow an amount higher than the outstanding loan balance.<\/td><\/tr><tr><td class=\"has-text-align-center\" data-align=\"center\">Primay Purpose<\/td><td class=\"has-text-align-center\" data-align=\"center\">To secure a lower interest rate (e.g., switching from P-plan to H-plan) and earn cash rebates from the new institution.<\/td><td class=\"has-text-align-center\" data-align=\"center\">Deducting the old loan balance and \"cashing out\" the difference for business turnover or clearing credit card debt.<\/td><\/tr><tr><td class=\"has-text-align-center\" data-align=\"center\">Max. Loan-to-Value (LTV) Ratio (2026)<\/td><td class=\"has-text-align-center\" data-align=\"center\">Depends on the outstanding loan balance, usually not exceeding the LTV cap at the time of the original purchase.<\/td><td class=\"has-text-align-center\" data-align=\"center\">The maximum LTV ratio for self-occupied residential properties is generally capped at 70%.<\/td><\/tr><tr><td class=\"has-text-align-center\" data-align=\"center\">Approval Time<\/td><td class=\"has-text-align-center\" data-align=\"center\">Traditional Banks: 2 to 8 weeks<\/td><td class=\"has-text-align-center\" data-align=\"center\">GICL: As fast as 1 to 3 working days<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<div style=\"height:40px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"\u89c0\u5ff5\u91d0\u6e05\uff1a\u8f49\u6309 vs \u52a0\u6309 \u6709\u4ec0\u9ebc\u5206\u5225\uff1f\">What is the Difference Between Refinancing and Top-up Mortgages?<\/h2>\n\n\n\n<div class=\"wp-block-group gicl-summary-box\"><div class=\"wp-block-group__inner-container is-layout-flow wp-block-group-is-layout-flow\">\n<p><strong>Key Takeaways<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Refinancing means \"changing banks\/institutions\"; a top-up mortgage means \"staying with the original institution.\"<\/li>\n\n\n\n<li>Refinancing usually requires a complete reassessment and legal procedures; the top-up mortgage process is relatively simpler.<\/li>\n\n\n\n<li>It is easier to secure new rebates and flexible terms with refinancing; top-up mortgages are limited by the original bank's policies.<\/li>\n<\/ul>\n<\/div><\/div>\n\n\n\n<p>Many people confuse refinancing with top-up mortgages; however, there are distinct operational differences between the two:<\/p>\n\n\n\n<figure class=\"wp-block-table\"><table class=\"has-fixed-layout\"><thead><tr><th>Comparison Item<\/th><th>Refinancing (\u8f49\u6309)<\/th><th><a href=\"https:\/\/gicl.com.hk\/en\/mortgage-refinancing-cash-out-2026\/\">Top-up Mortgage<\/a> (Top-up)<\/th><\/tr><\/thead><tbody><tr><td>Lending Institution<\/td><td>Switching to a brand new bank or lending institution<\/td><td>Staying with the original bank or lending institution<\/td><\/tr><tr><td>Complexity of Procedures<\/td><td>Requires signing a new mortgage deed and must be handled by a law firm<\/td><td>Procedures are simpler; usually does not require hiring a new lawyer<\/td><\/tr><tr><td>Welcome Offers<\/td><td>Usually enjoys brand new cash rebates and welcome offers<\/td><td>Depends on the original bank's policy; offers are generally fewer<\/td><\/tr><tr><td>Flexibility of Choice<\/td><td>Free to compare institutions across Hong Kong to select the best plan<\/td><td>Can only accept the terms offered by the original bank<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n<div style=\"height:40px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"\u696d\u4e3b\u70ba\u4ec0\u9ebc\u8981\u8f49\u6309\uff1f\u62c6\u89e3 4 \u5927\u597d\u8655\">Why Do Homeowners Refinance? Breakdown of 4 Major Benefits<\/h2>\n\n\n\n<div class=\"wp-block-group gicl-summary-box\"><div class=\"wp-block-group__inner-container is-layout-flow wp-block-group-is-layout-flow\">\n<p><strong>Key Takeaways<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Can cash out property value to acquire lower-cost capital for managing turnover.<\/li>\n\n\n\n<li>Provides the opportunity to remove mortgage insurance and guarantors, improving medium- to long-term financial flexibility.<\/li>\n\n\n\n<li>Allows switching away from high-interest mortgage plans, alleviating monthly repayment pressure.<\/li>\n<\/ul>\n<\/div><\/div>\n\n\n\n<p>Although processing refinancing procedures requires time, it can bring tremendous financial benefits to homeowners:<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li><strong>Cash Out Large Sums:<\/strong>&nbsp;As mentioned above, refinancing is the optimal method for unlocking \"brick and mortar\" value, helping you secure low-interest capital to meet urgent needs.<\/li>\n\n\n\n<li><strong>Remove Mortgage Insurance (Delinking Mortgage Insurance):<\/strong>&nbsp;If you initially purchased your property with a high loan-to-value (LTV) ratio of 80\u201390% and paid expensive mortgage insurance premiums, once the property value has appreciated, you can use refinancing to lower the LTV ratio back to within 70%. Subsequently, you can apply to the Mortgage Corporation for a partial refund of the mortgage insurance premium.<\/li>\n\n\n\n<li><strong>Remove Guarantors:<\/strong>&nbsp;If you required parents, relatives, or friends to act as guarantors when initially getting on the property ladder, and your current income has since increased, you can undergo refinancing for reassessment. This naturally allows you to \"remove their names,\" freeing up the guarantors so they can conveniently purchase their own properties in the future.<\/li>\n\n\n\n<li><strong>Escape Developer \"Breathing Plans\" (High-Interest Mortgages):<\/strong>&nbsp;Many owners who purchased new developments initially utilized high-interest mortgages provided by the developer. When the \"honeymoon period\" ends after a few years (and interest rates spike), owners must refinance and transfer back to traditional banks or large financial companies to alleviate their interest burden.<\/li>\n<\/ol>\n\n\n\n<div style=\"height:40px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"\u3010\u771f\u5be6\u6848\u4f8b\u3011\u4e00\u6309\u4e8c\u6309\u5408\u4f75\u8f49\u6309\uff0c\u771f\u6b63\u6173\u606f\u65b9\u6848\">\u3010Real Case Study\u3011 First &amp; Second Mortgage Consolidation: The True Money-Saving Solution<\/h2>\n\n\n\n<div class=\"wp-block-group gicl-summary-box\"><div class=\"wp-block-group__inner-container is-layout-flow wp-block-group-is-layout-flow\">\n<p><strong>Key Takeaways<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>The case transitioned from a bank first mortgage plus a high-interest second mortgage to a single, consolidated mortgage plan.<\/li>\n\n\n\n<li>After consolidation, the loan-to-value (LTV) ratio is approximately 31%, with noticeable improvements in both approval speed and cash flow.<\/li>\n\n\n\n<li>Monthly repayments decreased, and annual interest expenses were significantly reduced.<\/li>\n<\/ul>\n<\/div><\/div>\n\n\n\n<p>When in urgent need of funds, many property owners overlook their overall interest expenses. Here is a real-life case where GICL helped a client save significantly on interest through a \"Consolidation Refinancing\" plan:<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Background &amp; Pain Points:<\/h3>\n\n\n\n<p>Mr. Chan (pseudonym) owns a private property with a market value of approximately HK$8 million. Previously, due to an urgent need for cash turnover, he took out a HK$1 million second mortgage with another finance company at a high annual interest rate of 15% without comparing rates. He failed to realize that his existing first mortgage balance with the bank was only about HK$1.5 million. If he had cashed out by restructuring his \"first mortgage,\" the interest would have been much more cost-effective.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">The GICL Solution:<\/h3>\n\n\n\n<p>When Mr. Chan approached GICL, our Customer Service Manager conducted a comprehensive financial assessment for him. Instead of advising him to take out another high-interest loan, we tailor-made a \"First and Second Mortgage Consolidation Refinancing\" plan.<\/p>\n\n\n\n<p>We assisted Mr. Chan in consolidating his original HK$1.5 million bank first mortgage and the HK$1 million high-interest second mortgage into a single HK$2.5 million GICL first mortgage (with an LTV ratio of only ~31% and extremely fast approval).<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Results:<\/h3>\n\n\n\n<ul class=\"wp-block-list\">\n<li class=\"translation-block\"><strong>Massive Reduction in Monthly Repayments:<\/strong> Before consolidation, the combined monthly repayment for both mortgages was approximately $24,000. After consolidation, the monthly repayment dropped to roughly $14,000, freeing up $10,000 in monthly cash flow.<\/li>\n\n\n\n<li class=\"translation-block\"><strong>Significant Interest Savings:<\/strong>By escaping the exorbitant second mortgage, Mr. Chan saved over $100,000 in interest expenses annually.<\/li>\n<\/ul>\n\n\n\n<p>We also mapped out a clear repayment roadmap for him, helping him maintain a healthy credit record so he can easily refinance back to a traditional bank in the future.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p>\"After understanding my situation, the GICL manager recommended the most suitable plan for me. They didn't push me to take another second mortgage just to earn more interest. Instead, they planned for my long-term financial health, drastically reducing my monthly burden. They are a genuinely honest and reliable company.\"<\/p>\n<cite>Mr. Chan (pseudonym)<\/cite><\/blockquote>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button is-style-outline is-style-outline--1\"><a class=\"wp-block-button__link wp-element-button\" href=\"\/en\/WhatsApp GICL\/\" target=\"_blank\" rel=\"noopener\"><strong>Want to know if your property is suitable for consolidation refinancing? \ud83d\udc49  Contact GICL now for a free refinancing assessment<\/strong><\/a><\/div>\n<\/div>\n\n\n\n<div style=\"height:40px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"2026 \u8f49\u6309\u6700\u65b0\u5f62\u52e2\uff1a\u91d1\u7ba1\u5c40\u66ab\u505c\u58d3\u529b\u6e2c\u8a66\u6709\u4f55\u5f71\u97ff\uff1f\">2026 Refinancing Landscape: Impact of HKMA Suspending the Stress Test<\/h2>\n\n\n\n<div class=\"wp-block-group gicl-summary-box\"><div class=\"wp-block-group__inner-container is-layout-flow wp-block-group-is-layout-flow\">\n<p><strong>Key Takeaways<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Following the suspension of the mortgage stress test, the overall threshold for refinancing has decreased.<\/li>\n\n\n\n<li>The current key assessment metric is whether the Debt Servicing Ratio (DSR) meets requirements.<\/li>\n\n\n\n<li>Even with relaxed policies, bank valuations remain conservative, which impacts the amount that can be cashed out.<\/li>\n<\/ul>\n<\/div><\/div>\n\n\n\n<p class=\"translation-block\">The mortgage market has seen significant changes recently. The most notable is the <a href=\"https:\/\/www.hkma.gov.hk\/gb_chi\/news-and-media\/speeches\/2024\/02\/20240228-2\/\" target=\"_blank\" rel=\"noopener\">official suspension of the HKMA guideline<\/a> requiring a stress test that assumes a 200 basis point (2%) rise in mortgage rates. This policy remains in effect in 2026.<\/p>\n\n\n\n<p>How does this impact owners planning to refinance?<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li class=\"translation-block\"><strong>Lower Income Threshold:<\/strong> Homeowners no longer need to pass the \"+2% interest rate\" hypothetical test. You only need to meet the basic requirement where your Debt Servicing Ratio (DSR) does not exceed 50%. This means that with the same monthly income, you have a higher chance of being approved for a larger refinancing loan amount.<\/li>\n\n\n\n<li class=\"translation-block\"><strong>Bank Valuations Remain Conservative:<\/strong> Despite the relaxed stress test, traditional banks remain highly cautious regarding property valuations during refinancing applications, especially for older buildings (like Tong Lau \/ tenement buildings) or village houses. If the bank undervalues your property, it will directly reduce your cash-out amount.<\/li>\n<\/ul>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button is-style-outline is-style-outline--2\"><a class=\"wp-block-button__link wp-element-button\" href=\"\/en\/WhatsApp GICL\/\" target=\"_blank\" rel=\"noopener\"><strong>Worried about low bank valuations? \ud83d\udc49 Contact GICL for a free property valuation<\/strong><\/a><\/div>\n<\/div>\n\n\n\n<div style=\"height:40px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"\u8f49\u6309\u6d41\u7a0b 5 \u90e8\u66f2\uff1a\u7531\u4f30\u50f9\u5230\u653e\u6b3e\">The 5-Step Refinancing Process: From Valuation to Drawdown<\/h2>\n\n\n\n<div class=\"wp-block-group gicl-summary-box\"><div class=\"wp-block-group__inner-container is-layout-flow wp-block-group-is-layout-flow\">\n<p><strong>Key Takeaways<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>First, conduct a comparison of valuations and interest rates to confirm whether refinancing yields an actual net gain.<\/li>\n\n\n\n<li>The completeness of documentation will directly affect approval speed and success rates.<\/li>\n\n\n\n<li>The critical juncture for fund disbursement lies in the law firm's handling of the title deed and the repayment process of the old mortgage.<\/li>\n<\/ul>\n<\/div><\/div>\n\n\n\n<p>Ready to apply for refinancing? For traditional banks, the process generally takes about 1 to 1.5 months:<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li class=\"translation-block\"><strong>Free Property Valuation &amp; Comparison:<\/strong> Seek updated property valuations from different banks or mortgage companies like <strong>GICL<\/strong>. Compare refinancing rates, cash rebates, and terms. (Tip: <a href=\"https:\/\/gicl.com.hk\/en\/mortgage-comparison-hidden-fees-2026\/\" data-type=\"link\" data-id=\"https:\/\/gicl.com.hk\/mortgage-comparison-hidden-fees-2026\/\" target=\"_self\">Refer to our 2026 Mortgage Comparison Guide for more details.<\/a>)<\/li>\n\n\n\n<li class=\"translation-block\"><strong>Prepare Application Documents:<\/strong> Prepare your Hong Kong Identity Card (HKID), income proof for the last three months (payslips\/bank statements), existing mortgage contract, and recent repayment records.<\/li>\n\n\n\n<li class=\"translation-block\"><strong>Submit Application &amp; Approval: <\/strong>Submit your application to the new lender. They will review your TransUnion (TU) credit report and income proof to ensure you meet the 50% DSR requirement.<\/li>\n\n\n\n<li class=\"translation-block\"><strong>Sign the Facility Letter:<\/strong> Once approved, visit the new lender to sign the Facility Letter confirming the loan terms.<\/li>\n\n\n\n<li class=\"translation-block\"><strong>Law Firm Procedures &amp; Drawdown: <\/strong> The new lender will instruct a law firm to handle the transfer of the title deed. Once completed, the new lender will pay off your old mortgage. Any remaining cash-out balance will be deposited directly into your bank account.<\/li>\n<\/ol>\n\n\n\n<div style=\"height:40px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"\u7533\u8acb\u8f49\u6309\u8cbb\u7528\u8981\u591a\u5c11\uff1f\u6ce8\u610f\u7f70\u606f\u671f\u9677\u9631\uff01\">How Much Does Refinancing Cost? Beware of the Penalty Period Trap!<\/h2>\n\n\n\n<div class=\"wp-block-group gicl-summary-box\"><div class=\"wp-block-group__inner-container is-layout-flow wp-block-group-is-layout-flow\">\n<p><strong>Key Takeaways<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Before refinancing, you should calculate legal fees and other necessary costs.<\/li>\n\n\n\n<li>Refinancing within the penalty period may incur additional costs of 1% to 3%.<\/li>\n\n\n\n<li>It is recommended to calculate the net return first before deciding whether to refinance immediately.<\/li>\n<\/ul>\n<\/div><\/div>\n\n\n\n<p class=\"translation-block\">Before calculating how much cash rebate you can earn, you must <strong>deduct the following refinancing costs<\/strong>:<\/p>\n\n\n\n<ol class=\"wp-block-list\">\n<li class=\"translation-block\"><strong>Refinancing Legal Fees:<\/strong> Generally ranging from a few thousand to ten thousand Hong Kong dollars, depending on the property condition and loan amou<\/li>\n\n\n\n<li class=\"translation-block\"><strong>Original Mortgage Penalty Period:<\/strong> The vast majority of bank mortgages have a penalty period of 2 to 3 years. If you refinance within this period, you will be required to pay the original bank a penalty fee of 1% to 3% of the loan amount. It is strongly advised to officially proceed with refinancing only after the penalty period has expired.<\/li>\n<\/ol>\n\n\n\n<p class=\"translation-block\"><strong>Tangible Financial Returns with GICL<\/strong>: Rather than pursuing bank rebates that come with exceptionally high thresholds and are subject to deductions, it is wiser to choose GICL. We provide eligible refinancing clients with substantial benefits, including \"zero handling fees, zero legal fees, and zero valuation fees.\" This translates directly into real cash savings of over ten thousand dollars!<\/p>\n\n\n\n<div style=\"height:40px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"\u9280\u884c\u8f49\u6309\u88ab\u62d2\uff1f\u5165\u606f\u4e0d\u8db3\uff1fGICL \u74b0\u7403\u4fe1\u8cb8 \u8f49\u6309\u66ff\u4ee3\u65b9\u6848\">Refinancing Rejected by Banks? Insufficient Income? GICL Alternative Solutions<\/h2>\n\n\n\n<div class=\"wp-block-group gicl-summary-box\"><div class=\"wp-block-group__inner-container is-layout-flow wp-block-group-is-layout-flow\">\n<p><strong>Key Takeaways<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Bank channels may not cover all situations, especially cases involving older properties or insufficient proof of income.<\/li>\n\n\n\n<li>Depending on your needs, you can choose a \"property first mortgage refinance\" or a \"retain first mortgage and add second mortgage\" plan.<\/li>\n\n\n\n<li>The key is to match cash flow needs, repayment capability, and medium- to long-term arrangements for transferring back to a bank.<\/li>\n<\/ul>\n<\/div><\/div>\n\n\n\n<p class=\"translation-block\">While cash-out refinancing offers many benefits, bank approvals are notoriously strict. If you are self-employed without tax returns(<a href=\"https:\/\/gicl.com.hk\/en\/self-employed-mortgage-guide-2026\/\" target=\"_self\">\u81ea\u50f1\u4eba\u58eb\u7533\u8acb\u653b\u7565<\/a>), have a poor credit grade (TU), or own an older property (such as a Tong Lau), banks are highly likely to reject your refinancing application or significantly slash the approved loan amount.<\/p>\n\n\n\n<p>In these situations, GICL provides more flexible and faster alternative solutions:<\/p>\n\n\n\n<p><strong>Plan A: \"First Mortgage\" Refinancing without Income Proof<\/strong><\/p>\n\n\n\n<p>If you are dissatisfied with your original bank's terms or urgently need a large sum of capital, consider transferring your entire mortgage to GICL.<\/p>\n\n\n\n<p class=\"translation-block\">Advantage: We offer  <a href=\"https:\/\/gicl.com.hk\/en\/first-mortgage\/\" data-type=\"link\" data-id=\"https:\/\/gicl.com.hk\/first-mortgage\/\" target=\"_self\">First Mortgage loans<\/a> with no income proof and no stress test required. Enjoy preliminary approval at lightning speed, with cash in hand in as fast as 24 hours to solve your urgent financial needs.<\/p>\n\n\n\n<div style=\"height:15px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<p><strong>\u65b9\u6848 B\uff1a\u4fdd\u7559\u9280\u884c\u4e00\u6309\u7684\u300c\u7269\u696d\u4e8c\u6309\u300d\u5957\u73fe<\/strong><\/p>\n\n\n\n<p>If you do not want to give up your original bank's low-interest first mortgage but need extra funds (e.g., to clear credit card debt), a second mortgage is your best choice.<\/p>\n\n\n\n<p class=\"translation-block\">The Advantage: GICL's Property <a href=\"https:\/\/gicl.com.hk\/en\/second-mortgage\/\" target=\"_self\">Second Mortgage<\/a> does not require you to submit your title deed, nor does it affect your existing bank first mortgage. Loan amounts can reach up to 80% of the property's valuation. The process is simple, making it an excellent tool for capital turnover(Read our <a href=\"https:\/\/gicl.com.hk\/en\/\" target=\"_self\">First vs. Second Mortgage Guide<\/a> to learn more.)<\/p>\n\n\n\n<p>\"Refinancing\" is a vital strategy for flexibly leveraging your property assets. Before proceeding with a refinance, it is essential to accurately calculate the associated costs and penalty periods, as well as understand the latest requirements set by the Hong Kong Monetary Authority (HKMA). Should bank approvals fail to meet your capital requirements, the diverse property loan solutions offered by GICL provide a dependable financial safeguard you can trust.<\/p>\n\n\n\n<p><strong>Whether you want cash-out refinancing or are looking for a second mortgage solution, GICL can tailor the most suitable loan plan for you.<\/strong><\/p>\n\n\n\n<div style=\"height:15px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<div class=\"wp-block-buttons is-layout-flex wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button is-style-outline is-style-outline--3\"><a class=\"wp-block-button__link wp-element-button\" href=\"\/en\/WhatsApp GICL\/\" target=\"_blank\" rel=\"noopener\"><strong>\ud83d\udc49  WhatsApp us now to get a FREE preliminary approval quote<\/strong><\/a><\/div>\n<\/div>\n\n\n\n<div style=\"height:40px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"faq-refinance\">FAQ<\/h2>\n\n\n\n<div data-wp-context=\"{ &quot;autoclose&quot;: false, &quot;accordionItems&quot;: [] }\" data-wp-interactive=\"core\/accordion\" role=\"group\" class=\"wp-block-accordion is-layout-flow wp-block-accordion-is-layout-flow\">\n<div data-wp-class--is-open=\"state.isOpen\" data-wp-context=\"{ &quot;id&quot;: &quot;accordion-item-4&quot;, &quot;openByDefault&quot;: false }\" data-wp-init=\"callbacks.initAccordionItems\" data-wp-on-window--hashchange=\"callbacks.hashChange\" class=\"wp-block-accordion-item is-layout-flow wp-block-accordion-item-is-layout-flow\">\n<h4 id=\"faq-q1\" class=\"wp-block-accordion-heading\"><button aria-expanded=\"false\" aria-controls=\"accordion-item-4-panel\" data-wp-bind--aria-expanded=\"state.isOpen\" data-wp-on--click=\"actions.toggle\" data-wp-on--keydown=\"actions.handleKeyDown\" id=\"accordion-item-4\" type=\"button\" class=\"wp-block-accordion-heading__toggle\"><span class=\"wp-block-accordion-heading__toggle-title\">Q1: How long does the refinancing process take before drawdown?<\/span><span class=\"wp-block-accordion-heading__toggle-icon\" aria-hidden=\"true\">+<\/span><\/button><\/h4>\n\n\n\n<div inert aria-labelledby=\"accordion-item-4\" data-wp-bind--inert=\"!state.isOpen\" id=\"accordion-item-4-panel\" role=\"region\" class=\"wp-block-accordion-panel is-layout-flow wp-block-accordion-panel-is-layout-flow\">\n<p>A: Refinancing through a traditional bank generally takes 4 to 6 weeks. If you apply through a licensed money lender like GICL, the procedures are drastically simplified. Approval and drawdown can be completed in as fast as 24 hours.<\/p>\n<\/div>\n<\/div>\n\n\n\n<div data-wp-class--is-open=\"state.isOpen\" data-wp-context=\"{ &quot;id&quot;: &quot;accordion-item-5&quot;, &quot;openByDefault&quot;: false }\" data-wp-init=\"callbacks.initAccordionItems\" data-wp-on-window--hashchange=\"callbacks.hashChange\" class=\"wp-block-accordion-item is-layout-flow wp-block-accordion-item-is-layout-flow\">\n<h4 class=\"wp-block-accordion-heading\"><button aria-expanded=\"false\" aria-controls=\"accordion-item-5-panel\" data-wp-bind--aria-expanded=\"state.isOpen\" data-wp-on--click=\"actions.toggle\" data-wp-on--keydown=\"actions.handleKeyDown\" id=\"accordion-item-5\" type=\"button\" class=\"wp-block-accordion-heading__toggle\"><span class=\"wp-block-accordion-heading__toggle-title\">Q2: Since the HKMA suspended the stress test, am I guaranteed to get approved for refinancing?<\/span><span class=\"wp-block-accordion-heading__toggle-icon\" aria-hidden=\"true\">+<\/span><\/button><\/h4>\n\n\n\n<div inert aria-labelledby=\"accordion-item-5\" data-wp-bind--inert=\"!state.isOpen\" id=\"accordion-item-5-panel\" role=\"region\" class=\"wp-block-accordion-panel is-layout-flow wp-block-accordion-panel-is-layout-flow\">\n<p>A: Suspending the stress test only lowers the income requirement threshold. Banks will still strictly review your Debt Servicing Ratio (DSR), TransUnion (TU) credit rating, and the latest property valuation. If any of these fall short, your application may still be rejected.<\/p>\n<\/div>\n<\/div>\n\n\n\n<div data-wp-class--is-open=\"state.isOpen\" data-wp-context=\"{ &quot;id&quot;: &quot;accordion-item-6&quot;, &quot;openByDefault&quot;: false }\" data-wp-init=\"callbacks.initAccordionItems\" data-wp-on-window--hashchange=\"callbacks.hashChange\" class=\"wp-block-accordion-item is-layout-flow wp-block-accordion-item-is-layout-flow\">\n<h4 class=\"wp-block-accordion-heading\"><button aria-expanded=\"false\" aria-controls=\"accordion-item-6-panel\" data-wp-bind--aria-expanded=\"state.isOpen\" data-wp-on--click=\"actions.toggle\" data-wp-on--keydown=\"actions.handleKeyDown\" id=\"accordion-item-6\" type=\"button\" class=\"wp-block-accordion-heading__toggle\"><span class=\"wp-block-accordion-heading__toggle-title\">Q3: Are there any restrictions on how I use the cash-out refinancing funds?<\/span><span class=\"wp-block-accordion-heading__toggle-icon\" aria-hidden=\"true\">+<\/span><\/button><\/h4>\n\n\n\n<div inert aria-labelledby=\"accordion-item-6\" data-wp-bind--inert=\"!state.isOpen\" id=\"accordion-item-6-panel\" role=\"region\" class=\"wp-block-accordion-panel is-layout-flow wp-block-accordion-panel-is-layout-flow\">\n<p>A: No. The funds obtained through cash-out refinancing can be freely used for business turnover, clearing high-interest credit card debts, funding your children's overseas education, or home renovations.<\/p>\n<\/div>\n<\/div>\n\n\n\n<div data-wp-class--is-open=\"state.isOpen\" data-wp-context=\"{ &quot;id&quot;: &quot;accordion-item-7&quot;, &quot;openByDefault&quot;: false }\" data-wp-init=\"callbacks.initAccordionItems\" data-wp-on-window--hashchange=\"callbacks.hashChange\" class=\"wp-block-accordion-item is-layout-flow wp-block-accordion-item-is-layout-flow\">\n<h4 class=\"wp-block-accordion-heading\"><button aria-expanded=\"false\" aria-controls=\"accordion-item-7-panel\" data-wp-bind--aria-expanded=\"state.isOpen\" data-wp-on--click=\"actions.toggle\" data-wp-on--keydown=\"actions.handleKeyDown\" id=\"accordion-item-7\" type=\"button\" class=\"wp-block-accordion-heading__toggle\"><span class=\"wp-block-accordion-heading__toggle-title\">Q4: Can I still refinance if my property is very old (e.g., over 45 years)?<\/span><span class=\"wp-block-accordion-heading__toggle-icon\" aria-hidden=\"true\">+<\/span><\/button><\/h4>\n\n\n\n<div inert aria-labelledby=\"accordion-item-7\" data-wp-bind--inert=\"!state.isOpen\" id=\"accordion-item-7-panel\" role=\"region\" class=\"wp-block-accordion-panel is-layout-flow wp-block-accordion-panel-is-layout-flow\">\n<p>A: Traditional banks are very strict when approving refinancing for aging properties and will often lower the LTV ratio or reject the application outright. However, GICL accepts refinancing and second mortgage applications for all types of older properties, village houses, and even Tong Lau (tenement buildings), with no age limit restrictions.<\/p>\n<\/div>\n<\/div>\n\n\n\n<div data-wp-class--is-open=\"state.isOpen\" data-wp-context=\"{ &quot;id&quot;: &quot;accordion-item-8&quot;, &quot;openByDefault&quot;: false }\" data-wp-init=\"callbacks.initAccordionItems\" data-wp-on-window--hashchange=\"callbacks.hashChange\" class=\"wp-block-accordion-item is-layout-flow wp-block-accordion-item-is-layout-flow\">\n<h4 class=\"wp-block-accordion-heading\"><button aria-expanded=\"false\" aria-controls=\"accordion-item-8-panel\" data-wp-bind--aria-expanded=\"state.isOpen\" data-wp-on--click=\"actions.toggle\" data-wp-on--keydown=\"actions.handleKeyDown\" id=\"accordion-item-8\" type=\"button\" class=\"wp-block-accordion-heading__toggle\"><span class=\"wp-block-accordion-heading__toggle-title\">Q5. Can I still refinance if my property is undervalued?<\/span><span class=\"wp-block-accordion-heading__toggle-icon\" aria-hidden=\"true\">+<\/span><\/button><\/h4>\n\n\n\n<div inert aria-labelledby=\"accordion-item-8\" data-wp-bind--inert=\"!state.isOpen\" id=\"accordion-item-8-panel\" role=\"region\" class=\"wp-block-accordion-panel is-layout-flow wp-block-accordion-panel-is-layout-flow\">\n<p>A: If a bank's valuation is insufficient, the loan-to-value ratio for refinancing will be significantly discounted. However, GICL's valuation team takes a more proactive approach, capable of uncovering the true potential of your property to help homeowners with undervalued properties successfully complete the refinancing process.<\/p>\n<\/div>\n<\/div>\n\n\n\n<div data-wp-class--is-open=\"state.isOpen\" data-wp-context=\"{ &quot;id&quot;: &quot;accordion-item-9&quot;, &quot;openByDefault&quot;: false }\" data-wp-init=\"callbacks.initAccordionItems\" data-wp-on-window--hashchange=\"callbacks.hashChange\" class=\"wp-block-accordion-item is-layout-flow wp-block-accordion-item-is-layout-flow\">\n<h4 class=\"wp-block-accordion-heading\"><button aria-expanded=\"false\" aria-controls=\"accordion-item-9-panel\" data-wp-bind--aria-expanded=\"state.isOpen\" data-wp-on--click=\"actions.toggle\" data-wp-on--keydown=\"actions.handleKeyDown\" id=\"accordion-item-9\" type=\"button\" class=\"wp-block-accordion-heading__toggle\"><span class=\"wp-block-accordion-heading__toggle-title\">Q6. Do I need to hand over the title deed when refinancing?<\/span><span class=\"wp-block-accordion-heading__toggle-icon\" aria-hidden=\"true\">+<\/span><\/button><\/h4>\n\n\n\n<div inert aria-labelledby=\"accordion-item-9\" data-wp-bind--inert=\"!state.isOpen\" id=\"accordion-item-9-panel\" role=\"region\" class=\"wp-block-accordion-panel is-layout-flow wp-block-accordion-panel-is-layout-flow\">\n<p>A: Yes. Because refinancing involves the transfer of the first creditor, the new institution (such as GICL or a new bank) will redeem the title deed from the old bank on your behalf and retain it within the new institution. If you do not wish to hand over the title deed, you may consider applying for a second mortgage (internal link).<\/p>\n<\/div>\n<\/div>\n<\/div>\n\n\n\n<div style=\"height:40px\" aria-hidden=\"true\" class=\"wp-block-spacer\"><\/div>\n\n\n\n<h2 class=\"wp-block-heading\">  Take Action Now: Don't Be Blinded by Superficial Low-Interest Numbers!<\/h2>\n\n\n\n<p>Want to know how much capital you can cash out from your property through refinancing? Contact the professional team at GICL today, and we will provide a free calculation of your optimal refinancing amount!<\/p>\n\n\n\n<p>GICL\u2019s Promises:<\/p>\n\n\n\n<p>\u2705 No income proof or financial statements required<\/p>\n\n\n\n<p>\u2705 Approval and drawdown in as fast as 24 hours<\/p>\n\n\n\n<p>\u2705 Standby credit line \u2014 interest is only charged on the amount you use<\/p>\n\n\n\n<p>\u2705 No penalty for early repayment (subject to contract terms)<\/p>\n\n\n\n<p>\u26a0\ufe0f Honest Reminder: Compared to bank mortgages, interest rates from financial institutions are generally higher. They are suitable as transitional financing solutions for property owners who cannot secure bank approval or urgently need fast cash-out. GICL promises to formulate a clear \"Route back to the Bank\" roadmap for you, ensuring your long-term financial interests.<\/p>\n\n\n\n<p class=\"translation-block\">\ud83d\udc49 <a href=\"https:\/\/wa.me\/85291741899\" target=\"_blank\" rel=\"noopener\">Contact GICL today<\/a> to experience truly transparent and flexible property mortgage services.<\/p>\n\n\n\n<p>  \ud83d\udcde Call Now: 2111 0998<\/p>\n\n\n\n<p class=\"translation-block\">\ud83c\udf10 Apple Online\uff1ahttps:\/\/gicl.com.hk\/<\/p>\n\n\n\n<p>GICL | Money Lender's Licence No.: 82\/2026, 0403\/2025, 1916\/2025 | Turn your property value into fast cash<\/p>\n\n\n\n<p>Disclaimer: The cases shared in this article are with the consent of the clients, and some details have been anonymized to protect privacy. Warning: You have to repay your loans. Don't pay any intermediaries. GICL reminds you to borrow responsibly and manage your personal finances properly.<\/p>\n<\/div><\/div>","protected":false},"excerpt":{"rendered":"<p>\u7576\u7269\u696d\u7684\u6309\u63ed\u7f70\u606f\u671f\u7d50\u675f\uff0c\u8a31\u591a\u696d\u4e3b\u90fd\u6703\u807d\u5230\u8eab\u908a\u670b\u53cb\u5efa\u8b70\u53bb\u300c\u8f49\u6309\u300d\u3002\u7a76\u7adf\u4ec0\u9ebc\u662f\u8f49\u6309\uff1f\u70ba\u4ec0\u9ebc\u9019\u9ebc\u591a\u696d\u4e3b\u71b1\u8877\u65bc\u8fa6\u7406\u8f49\u6309 [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":1475,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[16,17,7,11,10,15,12,9,13,14],"class_list":["post-5398","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized","tag-16","tag-17","tag-7","tag-11","tag-10","tag-15","tag-12","tag-9","tag-13","tag-14"],"acf":[],"_links":{"self":[{"href":"https:\/\/gicl.com.hk\/en\/wp-json\/wp\/v2\/posts\/5398","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/gicl.com.hk\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/gicl.com.hk\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/gicl.com.hk\/en\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/gicl.com.hk\/en\/wp-json\/wp\/v2\/comments?post=5398"}],"version-history":[{"count":2,"href":"https:\/\/gicl.com.hk\/en\/wp-json\/wp\/v2\/posts\/5398\/revisions"}],"predecessor-version":[{"id":6861,"href":"https:\/\/gicl.com.hk\/en\/wp-json\/wp\/v2\/posts\/5398\/revisions\/6861"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/gicl.com.hk\/en\/wp-json\/wp\/v2\/media\/1475"}],"wp:attachment":[{"href":"https:\/\/gicl.com.hk\/en\/wp-json\/wp\/v2\/media?parent=5398"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/gicl.com.hk\/en\/wp-json\/wp\/v2\/categories?post=5398"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/gicl.com.hk\/en\/wp-json\/wp\/v2\/tags?post=5398"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}