Commonwealth Bank No Fee Variable Rate Home Loan
Posted March 7th, 2011
and last modified May 10th, 2012
What happens when I click Enquire Now?
- Clicking Enquire Now will take you to the lender's website
- After completing the contact form, a mortgage expert will contact you
- The mortgage expert will ensure you find the right loan, calculate your repayments, and explains all the associated fees
- After going through the enquiry process you will be able to know how much you can borrow, begin your application when you are ready to apply and be approved for a home loan
Commonwealth Bank No Fee Loan Review
With so many different types of loans available it can get quite confusing when you’re in the market for home financing. The Commonwealth Bank no fee variable rate home loan is one that is gaining a lot of attention for its transparency as well as its clarity.
The Absence of Fees
Fees play a huge role in the amount of money you eventually pay for your home loan. The Commonwealth Bank no fee variable rate home loan takes the big question mark out of the fees you’ll end up paying (at least as far as bank fees are concerned) for your loan. The Commonwealth Bank has eliminated some of the common fees you’ll see with other lenders as well as with other types of loans like: establishment fees, valuation fees, voucher fees, deferred establishment fees, drawing fees, administrative fees, top up fees, switching fees, security guarantee fees, loan service fees, settlement fees, and countless other fees banks like to tack on to home loans for whatever reason banks add these fees.
No matter where you sit, it’s hard to find fault with a policy that eliminates all these fees so that you know what you’re paying and why you’re paying it. If you’re the type of person who needs to understand the ins and outs of a loan before diving in then this might be a good choice for you because it is so transparent.
Getting the Basics
There are many details to understand before you decide whether or not the Commonwealth Bank no fee variable rate home loan is the perfect loan for you. When you know the rest of the story you’ll be able to make an informed decision. Here are a few of the basics you’ll want to know about before you sign your name on the dotted line.
There is minimum loan amount of $150,000 though there is no maximum amount for the loan. There is a maximum term for the loan of 30 years though there are mitigating factors such as retirement age that could impact this number.
Repayments can be made weekly, monthly, or fortnightly and borrowers are permitted to make higher repayments as well as extra repayments, which are ideal for those interested in repaying the loan early.
The Interest Rate Wars
The one concern that many people have with the Commonwealth Bank no fee variable rate home loan is the fact that it is a variable rate loan. After the real estate market has gone through a little bit of upheaval, particularly in the subprime market, it is understandable that there are those who have learned to fear variable rate loans. But there are quite a few benefits to consider as well.
The first benefit is to homeowners who may not otherwise be able to afford higher interest fees on the front ends of their loans. What this means is that it is easier to make the initial payments on your existing salary. The general assumption by lenders is that if or when an increase does occur you will have had a little time to improve your economic condition and will be in a better situation to afford those potentially higher fees. The other benefit you’ll want to keep in mind is that variable rate loans usually offer more options and incentives to borrowers like flexible repayments.
Regardless of the type of loan you ultimately choose for your mortgage there are plenty of reasons to give the Commonwealth Bank no fee variable rate home loan a second glance. When you’re trying to work out which bank you’re going to do business with for your home loan you may discover this is the best choice for you.
Read the Commonwealth Bank No Fee Variable Rate terms and conditions.
| Minimum Loan Amount | $150,000 | |
|---|---|---|
| Maximum LVR | 80% | |
| Maximum Insured LVR | 80% | |
| Mortgage Offset Account | No | |
| Loan Redraw Facility | No | |
| Split Loan Facility | No | |
| Fixed Interest Option | No |
| Interest Rate Type | Fixed | |
|---|---|---|
| Interest Rate | 6.31% | |
| Comparison Rate | 6.31% | |
| Repayment Type | Interest Only | |
| Repayment Frequency | Weekly | |
| Extra Repayments | No |
| Application Fee | $0 | |
|---|---|---|
| Legal Fee | $0 | |
| Valuation Fee | $0 | |
| Service Fee | $0 |
Top Home Loans
| Home Loan | Details | Interest Rate (p.a.) | Comp Rate^ (p.a.) | App Fee / Ongoing Fee | Max LVR | Min & Max Borrowing | |
|---|---|---|---|---|---|---|---|
 Loans.com.au - Dream Catcher​ | A home loan offer with a $0 application fee and one of the lowest available home loan interest rates. | 5.85% | 6.21% | $0 / $375 | 80% | $50,000 / $750,000 |
 
|
 Bankwest Online Home Loan | A low interest rate home loan with a $0 application fee and ongoing maintenance fees. This offer is exclusively available by applying online. | 5.97% | 5.97% | $0 / $0 | 80% | $100,000 / $1,000,000 |
|
 Illawarra Home Loans Bank Beater Home Loan | A low variable rate, beaten down even further by 0.05% p.a. after 5 years. | 6.07% | 6.35% | $0 / $345 | 90% | $250,000 / $1,000,000 |
|
 State Custodians Mortgage Company Standard Variable Offset Loan | Awarded the 2011 Non bank Lender of the Year this feature-packed loan rewards customers with a bonus rate drop of 0.25% after 5 years. | 6.02% | 6.23% | $0 / $345 | 95% | $150,000 / $1,000,000 |
|
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