Compare the Best Home Loans & Interest Rates in Australia

Compare home loans with rates as low as 5.48% (comparison rate^ 6.24%)
How to save on interest over the life of your home loan
How to get your application approved

In our home loans guide:

Written byMegan BirotReviewed byMansour Soltani

Last updated9 December 2023

Australia's Money Matchmaker matching you with your best loans across multiple lenders

When comparing home loans, always use the comparison rate, as well as the interest rate or advertised rate. The comparison rate describes the true cost of the home loan, including both interest and fees.

The table below shows a selection of variable and fixed owner-occupied home loan rates (based on principal & interest repayments) available through a mortgage broker. The table is sorted by lowest interest rate.

Lender	Product	Interest Rate	Comparison Rate	Repayments	Features	Exit Fees	Upfront Fees	Ongoing Fees
Auswide Bank Book a call	Basic Home Loan Owner Occupier	Variable Rate: 5.89%	Variable Rate: 5.91%	Ongoing Repayments: $3,555.00 1 Year Interest Payable: $35,139.00 2 Year Interest Payable: $69,823.00 3 Year Interest Payable: $104,024.00 Total Interest Payable: $679,793.00 Total Amount to be Repaid: $1,280,746.00	Extra Repayment: No Offset: No Partial Offset: No Redraw: No Repayment Holiday: No Splitting: No Maximum LVR - with LMI: N/A	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $300.00 Legal/Solicitor Fee : $303.00 Settlement Fee: $0.00 Valuation Fee: $0.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
Adelaide Bank Book a call	Connective Select - Variable Home Loan	Variable Rate: 6.13% Fixed Rate: 1 year Fixed Rate: 6.44% 2 Year Fixed Rate: 6.44% 3 Year Fixed Rate: 6.49% 4 Year Fixed Rate: 6.59% 5 year Fixed Rate: 6.59%	Variable Rate: 6.16% Fixed Rate: 1 year Fixed Rate: 6.19% 2 Year Fixed Rate: 6.23% 3 Year Fixed Rate: 6.27% 4 Year Fixed Rate: 6.33% 5 year Fixed Rate: 6.37%	Ongoing Repayments: $3,648.00 1 Year Interest Payable: $36,580.00 2 Year Interest Payable: $72,707.00 3 Year Interest Payable: $108,352.00 Total Interest Payable: $713,137.00 Total Amount to be Repaid: $1,313,960.00	Extra Repayment: Yes Offset: No Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: 95%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $299.00 Legal/Solicitor Fee : $0.00 Settlement Fee: $199.00 Valuation Fee: $0.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
Qudos Bank Book a call	No Frills Home Loan	Variable Rate: 6.14% Fixed Rate: 1 year Fixed Rate: 6.14% 2 Year Fixed Rate: 6.04% 3 Year Fixed Rate: 5.94% 4 Year Fixed Rate: 6.29% 5 year Fixed Rate: 6.34%	Variable Rate: 6.14% Fixed Rate: 1 year Fixed Rate: 6.32% 2 Year Fixed Rate: 6.28% 3 Year Fixed Rate: 6.23% 4 Year Fixed Rate: 6.32% 5 year Fixed Rate: 6.34%	Ongoing Repayments: $3,651.00 1 Year Interest Payable: $36,640.00 2 Year Interest Payable: $72,827.00 3 Year Interest Payable: $108,532.00 Total Interest Payable: $714,535.00 Total Amount to be Repaid: $1,314,835.00	Extra Repayment: Yes Offset: No Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: 80%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $0.00 Legal/Solicitor Fee : $0.00 Settlement Fee: $0.00 Valuation Fee: $0.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
ING Book a call	Orange Advantage	Variable Rate: 6.14% Fixed Rate: 1 year Fixed Rate: 6.39% 2 Year Fixed Rate: 6.29% 3 Year Fixed Rate: 6.29% 4 Year Fixed Rate: 6.39% 5 year Fixed Rate: 6.39%	Variable Rate: 6.43% Fixed Rate: 1 year Fixed Rate: 6.19% 2 Year Fixed Rate: 6.19% 3 Year Fixed Rate: 6.21% 4 Year Fixed Rate: 6.25% 5 year Fixed Rate: 6.27%	Ongoing Repayments: $3,651.00 1 Year Interest Payable: $36,640.00 2 Year Interest Payable: $72,827.00 3 Year Interest Payable: $108,532.00 Total Interest Payable: $714,535.00 Total Amount to be Repaid: $1,324,778.00	Extra Repayment: Yes Offset: Yes Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: 95%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $499.00 Legal/Solicitor Fee : $0.00 Settlement Fee: $299.00 Valuation Fee: $225.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $299.00 Annual Package Fee: $0.00
Suncorp Book a call	Back to Basics Home Loan	Variable Rate: 6.14% Fixed Rate: 1 year Fixed Rate: 6.50% 2 Year Fixed Rate: 6.44% 3 Year Fixed Rate: 6.49% 5 year Fixed Rate: 6.39%	Variable Rate: 6.14% Fixed Rate: 1 year Fixed Rate: 6.62% 2 Year Fixed Rate: 6.63% 3 Year Fixed Rate: 6.66% 5 year Fixed Rate: 5.26%	Ongoing Repayments: $3,651.00 1 Year Interest Payable: $36,640.00 2 Year Interest Payable: $72,827.00 3 Year Interest Payable: $108,532.00 Total Interest Payable: $714,535.00 Total Amount to be Repaid: $1,314,885.00	Extra Repayment: Yes Offset: No Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: 95%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $0.00 Legal/Solicitor Fee : $0.00 Settlement Fee: $0.00 Valuation Fee: $0.00 Additional Valuation Fee: $150.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
uBank Book a call	Neat Variable	Variable Rate: 6.14% Fixed Rate: 1 year Fixed Rate: 6.74% 2 Year Fixed Rate: 6.64% 3 Year Fixed Rate: 6.64% 5 year Fixed Rate: 6.74%	Variable Rate: 6.16% Fixed Rate: 1 year Fixed Rate: 6.48% 2 Year Fixed Rate: 6.52% 3 Year Fixed Rate: 6.56% 5 year Fixed Rate: 6.67%	Ongoing Repayments: $3,651.00 1 Year Interest Payable: $36,640.00 2 Year Interest Payable: $72,827.00 3 Year Interest Payable: $108,532.00 Total Interest Payable: $714,535.00 Total Amount to be Repaid: $1,315,085.00	Extra Repayment: Yes Offset: No Partial Offset: No Redraw: Yes Repayment Holiday: Yes Splitting: No Maximum LVR - with LMI: N/A	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $250.00 Legal/Solicitor Fee : $0.00 Settlement Fee: $0.00 Valuation Fee: $0.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
Macquarie Bank Book a call	Offset Home Loan Package	Variable Rate: 6.30% Fixed Rate: 1 year Fixed Rate: 6.75% 2 Year Fixed Rate: 6.65% 3 Year Fixed Rate: 6.65% 4 Year Fixed Rate: 6.69% 5 year Fixed Rate: 6.75%	Variable Rate: 6.54% Fixed Rate: 1 year Fixed Rate: 6.37% 2 Year Fixed Rate: 6.61% 3 Year Fixed Rate: 6.43% 4 Year Fixed Rate: 6.68% 5 year Fixed Rate: 6.52%	Ongoing Repayments: $3,714.00 1 Year Interest Payable: $37,601.00 2 Year Interest Payable: $74,751.00 3 Year Interest Payable: $111,419.00 Total Interest Payable: $736,981.00 Total Amount to be Repaid: $1,345,534.00	Extra Repayment: Yes Offset: Yes Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: 95%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $350.00 Legal/Solicitor Fee : $363.00 Settlement Fee: $0.00 Valuation Fee: $0.00 Additional Valuation Fee: $110.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
St George Bank Book a call	Basic Home Loan	Variable Rate: 6.39% Fixed Rate: 1 year Fixed Rate: 6.69% 2 Year Fixed Rate: 6.59% 3 Year Fixed Rate: 6.69% 4 Year Fixed Rate: 6.69% 5 year Fixed Rate: 6.79%	Variable Rate: 6.40% Fixed Rate: 1 year Fixed Rate: 7.76% 2 Year Fixed Rate: 7.66% 3 Year Fixed Rate: 7.61% 4 Year Fixed Rate: 7.55% 5 year Fixed Rate: 7.53%	Ongoing Repayments: $3,749.00 1 Year Interest Payable: $38,142.00 2 Year Interest Payable: $75,833.00 3 Year Interest Payable: $113,044.00 Total Interest Payable: $749,679.00 Total Amount to be Repaid: $1,350,129.00	Extra Repayment: Yes Offset: No Partial Offset: No Redraw: Yes Repayment Holiday: Yes Splitting: Yes Maximum LVR - with LMI: 95%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $0.00 Legal/Solicitor Fee : $0.00 Settlement Fee: $100.00 Valuation Fee: $0.00 Additional Valuation Fee: $164.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
Bank Of Melbourne Book a call	Basic Home Loan	Variable Rate: 6.39% Fixed Rate: 1 year Fixed Rate: 6.69% 2 Year Fixed Rate: 6.59% 3 Year Fixed Rate: 6.69% 4 Year Fixed Rate: 6.69% 5 year Fixed Rate: 6.79%	Variable Rate: 6.40% Fixed Rate: 1 year Fixed Rate: 7.76% 2 Year Fixed Rate: 7.66% 3 Year Fixed Rate: 7.61% 4 Year Fixed Rate: 7.55% 5 year Fixed Rate: 7.53%	Ongoing Repayments: $3,749.00 1 Year Interest Payable: $38,142.00 2 Year Interest Payable: $75,833.00 3 Year Interest Payable: $113,044.00 Total Interest Payable: $749,679.00 Total Amount to be Repaid: $1,350,129.00	Extra Repayment: Yes Offset: No Partial Offset: No Redraw: Yes Repayment Holiday: Yes Splitting: Yes Maximum LVR - with LMI: 95%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $0.00 Legal/Solicitor Fee : $0.00 Settlement Fee: $100.00 Valuation Fee: $0.00 Additional Valuation Fee: $164.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
Bank SA Book a call	Basic Home Loan	Variable Rate: 6.39% Fixed Rate: 1 year Fixed Rate: 6.69% 2 Year Fixed Rate: 6.59% 3 Year Fixed Rate: 6.69% 4 Year Fixed Rate: 6.69% 5 year Fixed Rate: 6.79%	Variable Rate: 6.40% Fixed Rate: 1 year Fixed Rate: 7.74% 2 Year Fixed Rate: 7.64% 3 Year Fixed Rate: 7.59% 4 Year Fixed Rate: 7.53% 5 year Fixed Rate: 7.51%	Ongoing Repayments: $3,749.00 1 Year Interest Payable: $38,142.00 2 Year Interest Payable: $75,833.00 3 Year Interest Payable: $113,044.00 Total Interest Payable: $749,679.00 Total Amount to be Repaid: $1,350,129.00	Extra Repayment: Yes Offset: No Partial Offset: No Redraw: Yes Repayment Holiday: Yes Splitting: Yes Maximum LVR - with LMI: 95%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $0.00 Legal/Solicitor Fee : $0.00 Settlement Fee: $100.00 Valuation Fee: $0.00 Additional Valuation Fee: $164.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
Bankwest Book a call	Complete Variable Home Loan	Variable Rate: 6.44% Fixed Rate: 1 year Fixed Rate: 6.89% 2 Year Fixed Rate: 6.79% 3 Year Fixed Rate: 6.59% 4 Year Fixed Rate: 6.69% 5 year Fixed Rate: 6.79%	Variable Rate: 6.82% Fixed Rate: 1 year Fixed Rate: 7.36% 2 Year Fixed Rate: 7.32% 3 Year Fixed Rate: 7.25% 4 Year Fixed Rate: 7.25% 5 year Fixed Rate: 7.27%	Ongoing Repayments: $3,769.00 1 Year Interest Payable: $38,442.00 2 Year Interest Payable: $76,434.00 3 Year Interest Payable: $113,947.00 Total Interest Payable: $756,755.00 Total Amount to be Repaid: $1,369,395.00	Extra Repayment: Yes Offset: Yes Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: 95%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $0.00 Legal/Solicitor Fee : $250.00 Settlement Fee: $0.00 Valuation Fee: $0.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $40.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $395.00
Resimac Book a call	Resimac Prime (Flex)	Variable Rate: 6.49%	Variable Rate: 6.80%	Ongoing Repayments: $3,908.00 1 Year Interest Payable: $40,545.00 2 Year Interest Payable: $80,645.00 3 Year Interest Payable: $120,270.00 Total Interest Payable: $806,720.00 Total Amount to be Repaid: $1,416,320.00	Extra Repayment: Yes Offset: Yes Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: 95%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $0.00 Legal/Solicitor Fee : $0.00 Settlement Fee: $0.00 Valuation Fee: $330.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $299.00
Firstmac Book a call	Offset	Variable Rate: 6.54% Fixed Rate: 1 year Fixed Rate: 6.79% 2 Year Fixed Rate: 6.74% 3 Year Fixed Rate: 6.69% 4 Year Fixed Rate: 6.89% 5 year Fixed Rate: 6.94%	Variable Rate: 6.58% Fixed Rate: 1 year Fixed Rate: 7.14% 2 Year Fixed Rate: 7.10% 3 Year Fixed Rate: 7.04% 4 Year Fixed Rate: 7.08% 5 year Fixed Rate: 7.09%	Ongoing Repayments: $3,808.00 1 Year Interest Payable: $39,043.00 2 Year Interest Payable: $77,637.00 3 Year Interest Payable: $115,753.00 Total Interest Payable: $770,954.00 Total Amount to be Repaid: $1,372,574.00	Extra Repayment: Yes Offset: Yes Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: 90%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $0.00 Legal/Solicitor Fee : $200.00 Settlement Fee: $300.00 Valuation Fee: $220.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
Bluestone Book a call	Connective Elevate Prime - Full Doc	Variable Rate: 6.59%	Variable Rate: 6.64%	Ongoing Repayments: $3,828.00 1 Year Interest Payable: $39,343.00 2 Year Interest Payable: $78,239.00 3 Year Interest Payable: $116,656.00 Total Interest Payable: $778,077.00 Total Amount to be Repaid: $1,379,437.00	Extra Repayment: Yes Offset: No Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: N/A	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $590.00 Legal/Solicitor Fee : $400.00 Settlement Fee: $120.00 Valuation Fee: $0.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
ANZ Bank Book a call	Simplicity PLUS	Variable Rate: 6.64% Fixed Rate: 1 year Fixed Rate: 6.69% 2 Year Fixed Rate: 6.54% 3 Year Fixed Rate: 6.59% 4 Year Fixed Rate: 6.74% 5 year Fixed Rate: 6.84%	Variable Rate: 6.65% Fixed Rate: 1 year Fixed Rate: 7.20% 2 Year Fixed Rate: 7.11% 3 Year Fixed Rate: 7.06% 4 Year Fixed Rate: 7.07% 5 year Fixed Rate: 7.08%	Ongoing Repayments: $3,848.00 1 Year Interest Payable: $39,644.00 2 Year Interest Payable: $78,840.00 3 Year Interest Payable: $117,559.00 Total Interest Payable: $785,215.00 Total Amount to be Repaid: $1,385,725.00	Extra Repayment: Yes Offset: No Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: 90%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $0.00 Legal/Solicitor Fee : $0.00 Settlement Fee: $160.00 Valuation Fee: $150.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $50.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
AMP Book a call	AMP Essential Home Loan	Variable Rate: 6.64% Fixed Rate: 1 year Fixed Rate: 6.59% 2 Year Fixed Rate: 6.59% 3 Year Fixed Rate: 6.59% 5 year Fixed Rate: 6.84%	Variable Rate: 6.66% Fixed Rate: 1 year Fixed Rate: 7.26% 2 Year Fixed Rate: 7.20% 3 Year Fixed Rate: 7.15% 5 year Fixed Rate: 7.16%	Ongoing Repayments: $3,848.00 1 Year Interest Payable: $39,644.00 2 Year Interest Payable: $78,840.00 3 Year Interest Payable: $117,559.00 Total Interest Payable: $785,215.00 Total Amount to be Repaid: $1,386,800.00	Extra Repayment: Yes Offset: No Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: 90%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $0.00 Legal/Solicitor Fee : $295.00 Settlement Fee: $0.00 Valuation Fee: $900.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
Commonwealth Bank Book a call	Standard Variable Rate	Variable Rate: 6.69% Fixed Rate: 1 year Fixed Rate: 6.59% 2 Year Fixed Rate: 6.84% 3 Year Fixed Rate: 6.59% 4 Year Fixed Rate: 6.69% 5 year Fixed Rate: 6.69%	Variable Rate: 7.07% Fixed Rate: 1 year Fixed Rate: 8.29% 2 Year Fixed Rate: 8.19% 3 Year Fixed Rate: 8% 4 Year Fixed Rate: 7.92% 5 year Fixed Rate: 7.82%	Ongoing Repayments: $3,868.00 1 Year Interest Payable: $39,944.00 2 Year Interest Payable: $79,442.00 3 Year Interest Payable: $118,463.00 Total Interest Payable: $792,368.00 Total Amount to be Repaid: $1,404,783.00	Extra Repayment: Yes Offset: Yes Partial Offset: No Redraw: Yes Repayment Holiday: Yes Splitting: Yes Maximum LVR - with LMI: 95%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $0.00 Legal/Solicitor Fee : $0.00 Settlement Fee: $200.00 Valuation Fee: $0.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $395.00
MA Money Book a call	MA Money Prime Full Doc	Variable Rate: 6.69%	Variable Rate: 6.76%	Ongoing Repayments: $3,868.00 1 Year Interest Payable: $39,944.00 2 Year Interest Payable: $79,442.00 3 Year Interest Payable: $118,463.00 Total Interest Payable: $792,368.00 Total Amount to be Repaid: $1,393,568.00	Extra Repayment: Yes Offset: Yes Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: 90%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $500.00 Legal/Solicitor Fee : $400.00 Settlement Fee: $0.00 Valuation Fee: $0.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
AXIS Book a call	Axis Origin Standard Variable	Variable Rate: 6.79% Fixed Rate: 2 Year Fixed Rate: 7.39% 3 Year Fixed Rate: 7.39%	Variable Rate: 6.84% Fixed Rate: 2 Year Fixed Rate: 7.29% 3 Year Fixed Rate: 7.35%	Ongoing Repayments: $3,908.00 1 Year Interest Payable: $40,545.00 2 Year Interest Payable: $80,645.00 3 Year Interest Payable: $120,270.00 Total Interest Payable: $806,720.00 Total Amount to be Repaid: $1,408,014.00	Extra Repayment: Yes Offset: Yes Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: No Maximum LVR - with LMI: N/A	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $194.00 Legal/Solicitor Fee : $0.00 Settlement Fee: $0.00 Valuation Fee: $305.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $395.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
NAB Book a call	NAB Base Variable Rate Home Loan	Variable Rate: 6.84% Fixed Rate: 1 year Fixed Rate: 6.74% 2 Year Fixed Rate: 6.64% 3 Year Fixed Rate: 6.64% 4 Year Fixed Rate: 6.79% 5 year Fixed Rate: 6.84%	Variable Rate: 6.88% Fixed Rate: 1 year Fixed Rate: 7.73% 2 Year Fixed Rate: 7.62% 3 Year Fixed Rate: 7.52% 4 Year Fixed Rate: 7.48% 5 year Fixed Rate: 7.43%	Ongoing Repayments: $3,928.00 1 Year Interest Payable: $40,845.00 2 Year Interest Payable: $81,247.00 3 Year Interest Payable: $121,174.00 Total Interest Payable: $813,918.00 Total Amount to be Repaid: $1,414,868.00	Extra Repayment: Yes Offset: Yes Partial Offset: No Redraw: Yes Repayment Holiday: Yes Splitting: Yes Maximum LVR - with LMI: N/A	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $600.00 Legal/Solicitor Fee : $0.00 Settlement Fee: $0.00 Valuation Fee: $0.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
Yellow Brick Road Book a call	Essentials Prime Full Doc	Variable Rate: 7.09%	Variable Rate: 7.12%	Ongoing Repayments: $4,028.00 1 Year Interest Payable: $42,348.00 2 Year Interest Payable: $84,257.00 3 Year Interest Payable: $125,695.00 Total Interest Payable: $850,133.00 Total Amount to be Repaid: $1,451,165.00	Extra Repayment: Yes Offset: No Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: 95%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $0.00 Legal/Solicitor Fee : $402.00 Settlement Fee: $0.00 Valuation Fee: $330.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
Resi Book a call	Essentials Prime Full Doc	Variable Rate: 7.09%	Variable Rate: 7.12%	Ongoing Repayments: $4,028.00 1 Year Interest Payable: $42,348.00 2 Year Interest Payable: $84,257.00 3 Year Interest Payable: $125,695.00 Total Interest Payable: $850,133.00 Total Amount to be Repaid: $1,451,165.00	Extra Repayment: Yes Offset: Yes Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: 95%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $0.00 Legal/Solicitor Fee : $402.00 Settlement Fee: $0.00 Valuation Fee: $330.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
Pepper Money Book a call	Pepper Essential (Full Doc)	Variable Rate: 7.14%	Variable Rate: 7.33%	Ongoing Repayments: $4,048.00 1 Year Interest Payable: $42,648.00 2 Year Interest Payable: $84,859.00 3 Year Interest Payable: $126,600.00 Total Interest Payable: $857,420.00 Total Amount to be Repaid: $1,462,449.00	Extra Repayment: Yes Offset: Yes Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: N/A	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $599.00 Legal/Solicitor Fee : $330.00 Settlement Fee: $0.00 Valuation Fee: $0.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $10.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
La Trobe Book a call	Full Doc Residential - A	Variable Rate: 7.24%	Variable Rate: 7.50%	Ongoing Repayments: $4,198.00 1 Year Interest Payable: $44,827.00 2 Year Interest Payable: $89,223.00 3 Year Interest Payable: $133,155.00 Total Interest Payable: $910,332.00 Total Amount to be Repaid: $1,517,667.00	Extra Repayment: Yes Offset: No Partial Offset: No Redraw: Yes Repayment Holiday: No Splitting: Yes Maximum LVR - with LMI: 95%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $0.00 Legal/Solicitor Fee : $0.00 Settlement Fee: $0.00 Valuation Fee: $305.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $15.00 Annual Service Fee: $0.00 Annual Package Fee: $0.00
Westpac Book a call	Rocket Repay Home Loan	Variable Rate: 7.54% Fixed Rate: 1 year Fixed Rate: 6.69% 2 Year Fixed Rate: 6.59% 3 Year Fixed Rate: 6.69% 4 Year Fixed Rate: 6.69% 5 year Fixed Rate: 6.79%	Variable Rate: 7.86% Fixed Rate: 1 year Fixed Rate: 7.77% 2 Year Fixed Rate: 7.67% 3 Year Fixed Rate: 7.61% 4 Year Fixed Rate: 7.55% 5 year Fixed Rate: 7.53%	Ongoing Repayments: $4,212.00 1 Year Interest Payable: $45,053.00 2 Year Interest Payable: $89,677.00 3 Year Interest Payable: $133,840.00 Total Interest Payable: $916,224.00 Total Amount to be Repaid: $1,528,424.00	Extra Repayment: Yes Offset: Yes Partial Offset: No Redraw: Yes Repayment Holiday: Yes Splitting: Yes Maximum LVR - with LMI: 95%	Discharge Fee: $0.00 Early Repayment Fee: $0.00	Establishment Fee: $0.00 Legal/Solicitor Fee : $0.00 Settlement Fee: $0.00 Valuation Fee: $0.00 Additional Valuation Fee: $0.00 Settlement Administration Fee: $0.00 Title Search Fee: $0.00	Account Service fee: $0.00 Annual Service Fee: $0.00 Annual Package Fee: $395.00

Rates are regularly updated and are based on a loan amount of $600,000 and a property value of $850,000 (giving an LVR of less than 80%), owner-occupied, for purchase of a residential home as a primary residence, with excellent credit. ^Warning: Comparison rates are calculated based on a loan amount of $600,000 repaid over a 25-year term with monthly repayments. Different loan amounts and terms will result in different comparison rates. Check with the provider for full loan details, including rates, fees, eligibility and terms and conditions to make sure the product is right for you. While this is an extensive list of the lowest-rate home loans in Australia, we can't guarantee that all loans available in the market are shown.

The table below shows a selection of the lowest-rate variable and fixed owner-occupied home loans (based on principal & interest repayments) available directly from the lender. The table is sorted by lowest interest rate.

	Australian Mutual Bank - Owner Occupied Fixed
Interest rate	5.48% p.a., fixed for 3 years
Comparison rate^	6.24% p.a.
Features	No monthly or annual fees Additional repayments allowed
Maximum loan to value ratio (LVR)	95%
	Australian Mutual Bank - Owner Occupied Fixed
Interest rate	5.63% p.a., fixed for 2 years
Comparison rate^	6.35% p.a.
Features	No monthly or annual fees Additional repayments allowed
Maximum loan to value ratio (LVR)	95%
	The Mutual Bank - Budget Owner Occupied
Interest rate	5.69% p.a. variable (special offer)
Comparison rate^	5.69% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	80%
	Regional Australia Bank - Introductory Basic Home Loan
Interest rate	5.74% p.a. variable (3-year intro rate)
Comparison rate^	6.23% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	80%
	Unloan - Home Loan Refinance Only
Interest rate	5.74% p.a. variable (including 0.01% p.a. discount in year 1)
Comparison rate^	5.65% p.a.
Features	Check upon application
Maximum loan to value ratio (LVR)	80%
	Illawarra Credit Union - The Works Package Home Loan Fixed
Interest rate	5.79% p.a., fixed for 3 years
Comparison rate^	6.91% p.a.
Features	No annual credit card fee Split loan option
Maximum loan to value ratio (LVR)	95%
	Northern Inland CU - Dream Home Loan
Interest rate	5.84% p.a. variable (special offer)
Comparison rate^	6.00% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	80%
	Summerland Credit Union - Eco Home Loan
Interest rate	5.84% p.a. variable
Comparison rate^	5.58% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	60%
	Pacific Mortgage Group - Owner Occupied
Interest rate	5.89% p.a. variable
Comparison rate^	5.89% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	80%
	Reduce Home Loans - Basic Variable
Interest rate	5.89% p.a. variable
Comparison rate^	5.91% p.a.
Features	Redraw
Maximum loan to value ratio (LVR)	80%
	BCU Bank - Owner Occupied Fixed
Interest rate	5.89% p.a., fixed for 3 years
Comparison rate^	6.18% p.a.
Features	Extra repayments allowed
Maximum loan to value ratio (LVR)	95%
	Horizon Bank - Fixed Rate Home Loan
Interest rate	5.94% p.a., fixed for 3 years
Comparison rate^	6.42% p.a.
Features	Flexible repayments Redraw facility
Maximum loan to value ratio (LVR)	70%
	Hume Bank - liteBlue Variable Home Loan
Interest rate	5.94% p.a. variable
Comparison rate^	5.95% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	60%
	Tiimely Home - Livein Owner Occupied (formerly Tic:Toc)
Interest rate	5.94% p.a. variable
Comparison rate^	5.95% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	90%
	Community First Bank - Basic Home Loan
Interest rate	5.94% p.a. variable
Comparison rate^	5.99% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	95%
	Summerland Bank - Eco Home Loan
Interest rate	5.94% p.a. variable
Comparison rate^	5.99% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	60-80%
	Queensland Country Bank - Fixed Rate Package Home Loan
Interest rate	5.99% p.a., fixed for 3 years
Comparison rate^	6.48% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	80%
	BankVic - Owner Occupied Variable
Interest rate	5.95% p.a. variable
Comparison rate^	5.95% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	95%
	Credit Union SA - Home Loan Package Fixed
Interest rate	5.99% p.a., fixed for 3 years
Comparison rate^	6.61% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	97%
	Police Credit Union - Owner Occupied Fixed
Interest rate	5.99% p.a., fixed for 3 years
Comparison rate^	6.93% p.a.
Features	Extra repayments allowed
Maximum loan to value ratio (LVR)	80%
	MOVE Bank - Complete Package Home Loan Fixed
Interest rate	5.99% p.a., fixed for 3 years
Comparison rate^	7.05% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	95%
	Greater Bank - Great Fixed Rate Home Loan
Interest rate	5.99% p.a., fixed for 3 years
Comparison rate^	7.48% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	90%
	Newcastle Permanent - Premium Plus Package Fixed
Interest rate	5.99% p.a., fixed for 3 years
Comparison rate^	7.59% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	80%
	Qudos Bank - No Frills Home Loan
Interest rate	6.04% p.a. variable
Comparison rate^	6.04% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	70%
	Loans.com.au - Basic Home Loan
Interest rate	6.04% p.a. variable
Comparison rate^	6.06% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	90%
	Easy Street Fin Services - Street Smart
Interest rate	6.04% p.a. variable
Comparison rate^	6.09% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	95%
	G&C Mutual Bank - Owner Occupied
Interest rate	6.04% p.a., fixed for 3 years
Comparison rate^	6.11% p.a.
Features	Extra repayments allowed Redraw facility
Maximum loan to value ratio (LVR)	95%

	Interest rate	Comparison rate^	Features	Maximum loan to value ratio (LVR)
Australian Mutual Bank - Owner Occupied Fixed	5.48% p.a., fixed for 3 years	6.24% p.a.	No monthly or annual fees Additional repayments allowed	95%
Australian Mutual Bank - Owner Occupied Fixed	5.63% p.a., fixed for 2 years	6.35% p.a.	No monthly or annual fees Additional repayments allowed	95%
The Mutual Bank - Budget Owner Occupied	5.69% p.a. variable (special offer)	5.69% p.a.	Extra repayments allowed Redraw facility	80%
Regional Australia Bank - Introductory Basic Home Loan	5.74% p.a. variable (3-year intro rate)	6.23% p.a.	Extra repayments allowed Redraw facility	80%
Unloan - Home Loan Refinance Only	5.74% p.a. variable (including 0.01% p.a. discount in year 1)	5.65% p.a.	Check upon application	80%
Illawarra Credit Union - The Works Package Home Loan Fixed	5.79% p.a., fixed for 3 years	6.91% p.a.	No annual credit card fee Split loan option	95%
Northern Inland CU - Dream Home Loan	5.84% p.a. variable (special offer)	6.00% p.a.	Extra repayments allowed Redraw facility	80%
Summerland Credit Union - Eco Home Loan	5.84% p.a. variable	5.58% p.a.	Extra repayments allowed Redraw facility	60%
Pacific Mortgage Group - Owner Occupied	5.89% p.a. variable	5.89% p.a.	Extra repayments allowed Redraw facility	80%
Reduce Home Loans - Basic Variable	5.89% p.a. variable	5.91% p.a.	Redraw	80%
BCU Bank - Owner Occupied Fixed	5.89% p.a., fixed for 3 years	6.18% p.a.	Extra repayments allowed	95%
Horizon Bank - Fixed Rate Home Loan	5.94% p.a., fixed for 3 years	6.42% p.a.	Flexible repayments Redraw facility	70%
Hume Bank - liteBlue Variable Home Loan	5.94% p.a. variable	5.95% p.a.	Extra repayments allowed Redraw facility	60%
Tiimely Home - Livein Owner Occupied (formerly Tic:Toc)	5.94% p.a. variable	5.95% p.a.	Extra repayments allowed Redraw facility	90%
Community First Bank - Basic Home Loan	5.94% p.a. variable	5.99% p.a.	Extra repayments allowed Redraw facility	95%
Summerland Bank - Eco Home Loan	5.94% p.a. variable	5.99% p.a.	Extra repayments allowed Redraw facility	60-80%
Queensland Country Bank - Fixed Rate Package Home Loan	5.99% p.a., fixed for 3 years	6.48% p.a.	Extra repayments allowed Redraw facility	80%
BankVic - Owner Occupied Variable	5.95% p.a. variable	5.95% p.a.	Extra repayments allowed Redraw facility	95%
Credit Union SA - Home Loan Package Fixed	5.99% p.a., fixed for 3 years	6.61% p.a.	Extra repayments allowed Redraw facility	97%
Police Credit Union - Owner Occupied Fixed	5.99% p.a., fixed for 3 years	6.93% p.a.	Extra repayments allowed	80%
MOVE Bank - Complete Package Home Loan Fixed	5.99% p.a., fixed for 3 years	7.05% p.a.	Extra repayments allowed Redraw facility	95%
Greater Bank - Great Fixed Rate Home Loan	5.99% p.a., fixed for 3 years	7.48% p.a.	Extra repayments allowed Redraw facility	90%
Newcastle Permanent - Premium Plus Package Fixed	5.99% p.a., fixed for 3 years	7.59% p.a.	Extra repayments allowed Redraw facility	80%
Qudos Bank - No Frills Home Loan	6.04% p.a. variable	6.04% p.a.	Extra repayments allowed Redraw facility	70%
Loans.com.au - Basic Home Loan	6.04% p.a. variable	6.06% p.a.	Extra repayments allowed Redraw facility	90%
Easy Street Fin Services - Street Smart	6.04% p.a. variable	6.09% p.a.	Extra repayments allowed Redraw facility	95%
G&C Mutual Bank - Owner Occupied	6.04% p.a., fixed for 3 years	6.11% p.a.	Extra repayments allowed Redraw facility	95%

Rates are current as of 04 December 2023. ^Warning: Comparison rates are calculated based on a loan amount of $150,000 repaid over a 25-year term with monthly repayments. Different loan amounts and terms will result in different comparison rates. Check with the provider for full loan details, including rates, fees, eligibility and terms and conditions to make sure the product is right for you. While this is an extensive list of the lowest-rate home loans in Australia, we can't guarantee that all loans available in the market are shown.

When comparing fixed rate home loans, the comparison rate factors in the rate that will apply to the loan once the fixed term ends, plus the loan fees. If you’re locking in a low fixed interest rate, make sure you have a plan for what happens when that rate ends.

Fixed vs variable interest rate home loans

Home loan interest rates are either fixed, variable or split (a combination of the two).

Variable rate home loan: The interest rate can fluctuate throughout the life of the loan. You can benefit from lower repayments when interest rates drop and you usually have more flexibility to make extra repayments on your loan to pay it off faster. The downside of a variable rate home loan is the unpredictability — if rates go up, so will your repayments. The majority of owner-occupier loans in Australia have a variable interest rate, according to the RBA.
Fixed rate home loan: The interest rate on the loan is fixed for a period of time — typically between one and five years. This gives you certainty over your repayments during the fixed rate period and protection from sudden rate increases. The main downside of a fixed rate loan is that you may not be able to make extra repayments or have access to extra features like redraw.
Split home loan: A portion of your home loan is fixed and the remainder is on a variable interest rate. This can give you the best of both worlds, the certainty of fixed rate repayments and the flexibility of a variable loan. You can choose your split, whether it’s 50/50, 60/40 or 70/30.

How does LVR affect your home loan?

The loan-to-value ratio (LVR) is your loan amount as a percentage of your property's value. For example, if your loan amount is $800,000 and the property you’re buying is valued at $1 million (i.e. your deposit or the equity you have built up is $200,000), your LVR is 80%.

LVR is the most important metric lenders look at when deciding your interest rate. That’s why when you see a rate advertised, you’ll see ‘based on an LVR of X’ in the fine print. See this example from Ubank.

The lower your LVR, generally the lower your rate and vice versa. If your LVR exceeds 80% (which means you have less than a 20% deposit), you’ll have to pay lender’s mortgage insurance (LMI).

“To get the best interest rate on your home loan, your LVR should be 60% or less. Every borrower should aim to lower their LVR to 60% as soon as possible. You can do this by paying down the mortgage when you can or by building the equity in your home by increasing its value.”

Mansour Soltani, Money.com.au's home loan expert

Home loan interest rates

Interest on a home loan is calculated daily but charged monthly based on the outstanding balance. To calculate how much you'll pay in interest per month, the formula is: (daily loan balance x interest rate) ÷ 365 = daily interest. The daily figures for the month are then added together to arrive at the monthly total.

Your interest rate will have a significant impact on your home loan repayments. Even a slightly lower rate could save you thousands of dollars more on your home loan.

Let’s compare a $800,000 home loan with an interest rate of 5.50% vs 6.00% over a 30-year term and principal and interest repayments. Neither home loan has an introductory rate or fees.

Interest rate	5.50%	6.00%
Loan amount	$800,000	$800,000
Loan term	30 years	30 years
Monthly repayments	$4,542	$4,797
Interest over the life of the loan	$835,232	$926,706
Difference over the life of the loan	Save $91,474

1

Increase the frequency of your repayments

Moving your repayments to fortnightly can shave years and tens of thousands of dollars in interest off your home loan. The sooner you chip away at the outstanding balance, the more interest you’ll save.

2

Increase your repayments by 5-10%

For example, increasing your weekly repayment on a $800,000 home loan with an interest rate of 6.00% over a 30-year term by just 5% ($55), you could you save around $130,00 and shave three years off your home loan.

3

Use your offset account

Keep your household income and savings in your offset account to reduce your interest payable. On a $800,000 loan with a rate of 6.00%, if you have $30,000 in your offset account, you could shave more than two years off the life of the loan and save $135,946 in interest.

Principal & interest vs interest-only home loan repayments

Your home loan is made up of two parts: the loan principal (what you borrow) and the interest (not including fees). So, when you apply for a home, you'll generally have two repayment options:

Principal and interest repayments (P&I): You pay both the principal of your home loan and the interest. Your regular repayments will be higher, but you will pay less interest overall over the life of the loan. This is the most common type of loan repayment structure for owner-occupiers.
Interest-only repayments: You only pay the interest component of your loan for a set period (up to five years). This lowers your mortgage repayments during that period, but it means you'll pay more interest over the life of the loan. Interest-only loans are popular among investors because it can free up cash flow and the extra cost will be less of an issue if they can claim a tax deduction on the interest repayments.

Now, let’s compare how each repayment structure can impact the interest payable on a $800,000 home loan over a 30-year term. Neither home loan has fees.

Repayment type	Principal & interest	Interest-only (for five years)
Interest rate	6.00%	6.00%
Loan amount	$800,000	$800,000
Loan term	30 years	30 years
Monthly repayments during interest-only period	N/A	$4,000
Monthly principal & interest repayments	$4,796*	$5,154*
Total payments over the life of the loan	$1,726,706	$1,786,323
Interest over the life of the loan	$926,706	$986,323
Difference over the life of the loan	Save $59,617

Note: Monthly interest may change over time based on variable rate and loan balance*.

Owner-occupier home loan

A home loan to buy a property you want to live in. Owner-occupier home loans generally have lower interest rates.

Investment home loan

A home loan to buy a property you want to rent out (called an investment property). Investment home loans generally have higher interest rates because investors are considered riskier borrowers compared to owner-occupiers.

Refinancing home loan

A refinance home loan is a new loan you can take out to pay out your current mortgage. Refinancing may cost you money, so make sure you know the cost and can weigh it against the benefits before deciding.

Home equity loan

A home equity loan allows you to borrow against the equity in your home.

Guarantor home loan

A guarantor home loan works much like a standard home loan, but includes a guarantor with home equity to secure part of the loan.

Line of credit home loan

A home equity line of credit allows you to borrow against your home equity.

Low doc home loan

A low doc home loan requires minimal documentation when you apply. It’s most commonly used by business owners or self-employed individuals who can’t provide the standard documents most lenders ask for, like payslips.

Construction home loan

Designed for borrowers who want to build a home or investment property. A construction home loan functions a little differently than a regular home loan, allowing you to withdraw funds in stages as you need them to complete construction.

Bridging loan

A bridging loan is a short-term loan designed to cover the financing gap between purchasing a new property and selling an existing one.

SMSF loan

A home loan used by an SMSF to purchase an investment property.

Bad credit home loan

A bad credit home loan allows borrowers with a bad credit score/credit history or those who’ve declared bankruptcy to secure a home loan and purchase property.

Offset account

A 100% offset account is a transaction account linked to your main home loan account to reduce interest payable. The balance is offset against the outstanding balance of your home loan before interest is calculated. This is the best home loan feature to reduce your interest bill. Think of it like a high interest savings account, only instead of earning interest, you're avoiding it.

Extra repayments

Many home loans offer the option to make additional repayments on top of your minimum mortgage repayments. This allows you to pay down your principal loan faster and save on interest.

Redraw facility

Allows you to withdraw any extra repayments you've made on your home loan. You can use your redraw facility for any reason, including emergencies, investments, or other expenses.

You can learn more in our guide to comparing redraw to an offset account.

Portability

The ability to transfer your home loan to another property without incurring fees. This saves you the hassle of refinancing if you move home and allows you to keep your fixed rate without break costs.

Repayment holiday

This is an option to pause your home loan repayments that’s offered by some lenders. This allows you to temporarily suspend or reduce your regular loan repayments, but it will increase your future repayments as accrued interest will be added (capitalised) to your home loan balance.

Interest-only repayments

Switching to interest-only payments reduces your repayment amounts for a set period.

Cashback offers

Some lenders offer cashback deals as incentives to refinance your home loan and attract new customers

Keep in mind some home loan features come with extra fees. Make sure to weigh up fees against the benefits the feature provides.

Application fee

This is an upfront fee to set up your home loan. It’s also known as a loan processing fee or establishment fee.

Service fees

Monthly service fees cover the cost of maintaining your loan.

Annual package fee

A yearly fee charged on a package home loan.

Legal, valuation and settlement fees

These fees cover the lender’s costs for legal paperwork, property valuation and settlement.

Exit fee

You might pay an exit fee (or a discharge fee) when you pay your mortgage in full. Early exit fees or break costs apply when you pay off your home loan early.

Feature fees

Some loans charge a fee to use certain features like your redraw facility or additional repayment option.

Should you use a mortgage broker?

Mortgage brokers facilitate the majority of new residential home loans in Australia. A good mortgage broker takes the guesswork out of shopping for a home loan and may even be able to get you a more competitive rate, although they usually don't work with all lender in the market.

Make sure your mortgage broker gives you 3-5 lender options, and get them to explain why they chose these lenders specifically.

“If you’re refinancing or purchasing a new home and your LVR is less than 70% (in other words you have a deposit or equity of at least 30%), you should be able to get better than the advertised price, especially if your loan amount is under $1 million. Usually, the lender will shave 10-15 basis points off the advertised rate and if they don't, ask why."

Mansour Soltani, Money.com.au's home loan expert

How to apply for a home loan

The home loan application process is similar across lenders and typically looks like this:

Gather your supporting documents: Collect all necessary documents the lender may ask for, including:

Proof of income (e.g. pay slips, tax returns)
Identification documents (e.g. passport, driver's licence)
Bank statements
Details of your assets and liabilities

Complete the lender’s home loan application form: You’ll be asked to provide information about your finances, deposit or equity (if you’re refinancing) and the type of property you want to buy. Based on this information, your lender will estimate how much you can borrow and at what rate. A lending specialist may call you to discuss your application and the fine print.

Conduct a credit assessment: Your lender will conduct a credit check with an external bureau like Equifax or Experian. They will also review your credit history, income, expenses, and existing debts. Your lender should ask for permission before conducting a formal credit check.

Get conditional approval: You will be asked to submit all your supporting documents at this stage. Once the lender has established your financial position and borrowing capacity, you may get conditional approval (pre-approval).

Property valuation: Your lender will arrange for a valuation of the property you want to buy to determine its market value and your LVR. An LVR higher than 80% will generally mean you need to pay for lender’s mortgage insurance (LMI).

Get a loan offer: If your application is approved, your lender will issue you a formal loan offer detailing the terms and conditions of the loan, including your rate. Review the loan offer carefully with your conveyancer and sign it if you accept the terms.

Settlement: Your lender will finalise your loan through to settlement and disburse the funds to the seller. Your conveyancer should manage the transfer of your home loan registration and property title.

Questions your lender will ask you when you apply for a home loan

When you apply for a home loan, be prepared to answer any of the following questions:

Are you taking out a new loan or refinancing?
Are you a first-home buyer?
Do you have at least a 20% deposit or equity?
Are you looking to live in the property or rent it out?
Do you have a self-managed super fund (SMSF)?
What’s your employment status?
Do you have any dependents?
Where is the property located?
How much do you want to borrow?
What kind of interest rate do you want (e.g. fixed rate, variable rate or split rate)?
What’s your preferred repayment type (e.g. principal and interest or interest-only)?
Do you have a good credit score?
Do you have any outstanding debts?
What assets do you own (e.g. a car or shares)?
Are you applying with the help of a guarantor?

What to do after you get your home loan

The work continues after your home loan settlement and home purchase. Generally, you should do a thorough home loan check every couple of years to ensure you’re still on a competitive rate and that your loan still meets your changing needs. If not, you can refinance your home loan.

Your mortgage broker should review pricing with your lender every 12 months. You can refinance your home loan with your current lender or another bank.

1

Give yourself time to save for a deposit

Save a larger deposit if you can, as this can increase your chance of getting your home loan approved and your borrowing capacity. You need at least a 20% deposit to avoid paying LMI, but some lenders accept home loan applications with a 5-10% deposit if you are applying through a government first-home buyer scheme.

2

Check out government first-home buyer schemes

There are various federal and state government initiatives available that help eligible first-home buyers get on the property ladder sooner. Check out the First Home Guarantee (FHBG) and your state government’s website for first-home buyer grants and stamp duty concessions.

3

Tidy up your finances

Assess your income, expenses, and existing debts. Can you rein in your spending and pay off smaller debts? Every $10,000 of debt you clear can increase your borrowing capacity by $100,000. Most lenders want to see a track record of responsible spending and three months of living expenses to ensure you can comfortably repay your home loan.

4

Check your credit score

Get a free copy of your credit report and work on improving your credit score if necessary. A higher credit score can mean you’re eligible to apply with more lenders and may open up better loan offers.

5

Set a budget

Calculate your current living expenses and work out a budget that includes home loan repayments if you’re approved for a home loan. As a general rule, home loan repayments should ideally be less than 30% of your household’s gross income. Paying more than this amount can lead to mortgage stress.

6

Do your home loan research

Take the time to learn about home loans, interest rate types, fees, repayment structures, etc. Learn the home loan terminology to understand everything your lender discusses during your loan application.

7

Consider a mortgage broker

You may have a better chance of getting a home loan approved if you work with a mortgage broker. A broker can also help with your property search by running reports on the properties and suburbs you're looking at.

8

Understand the additional costs

There are a lot more costs involved when buying your first home than just the mortgage. You'll need to factor in upfront costs like your deposit, LMI (if applicable), stamp duty, conveyancing fees, insurance, etc.

9

Gather your paperwork

Prepare all your necessary documents like proof of income (e.g. payslips), bank statements, and details about your assets and liabilities. These will be required for the home loan application process.

10

Get pre-approval

Submit an online application for pre-approval to get an indication of how much you can borrow for a home loan based on the information you provide. You can then choose to proceed with the application or keep shopping around.

What is a home loan?

A home loan or mortgage is used to finance a home or investment property. Home loans are usually 'secured' against the property you're buying. You can choose between a variable or fixed rate. Mortgage terms in Australia range up to 30 years.

Am I eligible for a home loan?

The minimum eligibility requirements for a home loan include:

Australian citizenship or permanent residency (or married or in a de facto relationship with an Australian citizen or permanent resident)
You must be over 18 years of age
Meet the minimum income requirements
Have a deposit or equity to contribute towards the purchase
A good credit history

What’s the best home loan?

The home loan that’s best for you will depend entirely on your goals and circumstances, but it should ideally have the trifecta:

A competitive interest rate
Features you want or need (e.g. offset, redraw, additional repayments)
Affordable fees

How much can I borrow?

How much you can borrow with a home loan will depend on how much of a deposit you have (or equity in your existing property if you’re refinancing), plus your income, expenses, liabilities (including outstanding debts) and if you have any existing assets like an investment property with equity. To assess your borrowing capacity, lenders will consider your financial situation and credit profile.

How long can I fix my home loan for?

You can typically fix your home loan for a period of one to five years. Compare interest rates on fixed rate home loans:

Who offers home loans?

There are hundreds of home loan lenders in Australia, including retail banks (like the Big Four banks), credit unions, non-bank lenders and mortgage brokers. Each type of lender has pros and cons to be aware of. The majority of home loans are taken out through retail banks, while non-bank lenders may offer more competitive rates and specialist products. Meanwhile, mortgage brokers can help borrowers find home loans with different lenders and get paid a commission for the products they sell.

How much will the repayments be on my home loan?

Your home loan repayments will depend on your loan amount, your interest rate, your loan term and how frequently you make repayments (monthly, fortnightly or weekly).

To help you understand what your repayment could be, we've compared the repayments on different loan amounts based on on loans from a wide range of lenders:

What's the next step on your property journey? Our home loan guides will help you navigate the road ahead, whether you're buying, building or looking to save on an existing loan.

Compare the best home loans in Australia

Compare home loans available through a broker