Compare
Best Home Loan Rates
Posted May 1st, 2011
and last modified April 26th, 2012
How to Find the Best Home Loan Rates
When you are applying for a home loan it is important to consider what type of interest rate will suit you. This article will explain what interest rates are available with home loans, who they are suited to and what are the benefits of each type of the home loan.
What Types of Interest Rates are on Offer
There are usually two types of interest rates that are available with home loans. These interest rates are:
- Fixed. One of the interest rates that are available with home loans is the fixed interest rate. The fixed interest rate allows you to lock in an interest rate for a designated period of time. This means that even if the interest rates are increased your repayments will stay the same.
- Variable. The other interest rate that is available with home loans is the variable interest rate. With the variable interest rate your repayments can either rise or fall depending on what the interest rate is doing. If the interest rate falls you will end up saving money when compared to those on the fixed interest rate.
Featured Low Rate Home Loan
Borrow up to 80% of your loan value with a low variable interest rate. Plus no application fee for a limited fee.
- Interest Rate of 5.85%
- Comparison Rate of 6.21%
- Application Fee of $0
- Maximum LVR With LMI: 80%
- Minimum Borrowing: $50,000
- Maximum Borrowing: $750,000
Featured Variable Rate 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 low rate home loan with no application and service fee | 5.85% | 6.21% | $0 / $375 | 80% | $50,000 / $750,000 |
 
|
 Bankwest Online Home Loan |
Secure one of the best low rate home loans in market with this online exclusive offer. | 5.97% | 5.97% | $0 / $0 | 80% | $100,000 / $1,000,000 |
|
 ME Bank Members Package – Eligible members with a Member Package |
A low rate home loan with a low ongoing fee and 100% offset facility. | 6.19% | 6.19% | $0 / $395 | 80% | $50,000 / $2,500,000 |
|
 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 |
A low interest rate home loan with a bonus rate drop of 0.20% after 5 years. | 6.02% | 6.23% | $0 / $345 | 95% | $150,000 / $1,000,000 |
|
Loans.com.au – Dream Loan Express – Variable Home Loan (80.01% -95%) |
Dream Loan Express Home Loan offers unlimited redraw and the ability make extra repayments. | 6.20% | 6.22% | $0 / $0 | 80.01% – 95% | $50,000 / $750,000 |
|
 HomeStar Advantage Loan |
No fees and unlimited redraw | 6.28% | 6.28% | $0 / $0 | 95% | $150,000 / $2,000,000 |
|
 UBank UHomeLoan (Variable Rate) |
One of the low interest rate home loan with a low application fee. | 5.83% | 5.83% | $0 / $0 | 80% | $100,000 / $1,000,000 |
|
Featured FixedRate Home Loans
| Home Loan | Details | Interest Rate (p.a.) | Comp Rate^ (p.a.) | App Fee / Ongoing Fee | Max LVR | Min & Max Borrowing | |
|---|---|---|---|---|---|---|---|
 Aussie Optimizer Fixed Rate Home Loan – 3 Year Fixed Rate |
Take advantage of this low fixed rate option from Aussie Home Loans. | 5.99% | 6.80% | $500 / $0 | 90% | $100,000 / $2,000,000 |
|
Loans.com.au – Dream Loan Express – 2 Year Fixed Rate |
A home loan offer with $0 application fee and one of the lowest available home loan interest rates in the market. | 5.68% | 6.07% | $0 / $0 | 80% | $50,000 / $750,000 |
|
Illawarra Home Loans Bank Beater Home Loan |
A low interest rate with a bonus rate drop of 0.05% after 5 years. Plus no application and ongoing fee. | 6.07% | 6.35% | $0 / $345 | 90% | $250,000 / $1,000,000 |
|
HomeStar Fixed Rate Loan – 3 Year Fixed Rate |
No application and ongoing fee with a low interest rate. | 6.05% | 6.22% | $0 / $0 | 95% | $150,000 / $2,000,000 |
|
What are the Benefits of Each of the Interest Rates
Each of the interest rates will benefit different people. This section will explain the benefits of each of the different types of interest rates that are available. These are:
- Fixed. The fixed rate home loans have few features that will benefit you and save you money. However, if the interest rates rise while you will be saving a lot of money during the fixed period. The main feature of the fixed rate home loans is the stability that is offered with the loan. Furthermore, if the interest rates go up in the future the fixed rate home loan could potentially save you thousands.
- Variable. The variable rate home loans usually come with a variety of features. The additional features that will usually be offered with the variable rate loans are the ability to make additional repayments, the ability to draw upon your loan, a mortgage offset account and the ability to be flexible with your repayments. With all the features and the low interest rates of the variable rate home loans you can be sure that you will save money while you are paying off your loan.
Who is Suited to Each of the Interest Rates.
Because the different interest rates come with different features the loans may be suited to different people. This section will explain who is suited to the different interest rates. These are:
- Fixed. The fixed rate loan is a general home loan that is suited to many people. The fixed rate interest loans are suited to people who would like to know what their repayments will be. Furthermore, the fixed rate loans would be suited to people who are on a limited income and cant afford to pay any extra with their repayments. The fixed rate home loan can ensure that the person on the limited income will be able to make all their repayments because the interest rates will not rise.
- Variable. The variable rate home loans are suited to people who would like to save money in times when the interest rates are lowered. Furthermore, the fixed rate interest rate loans are suited to people who are able to take advantage of all the additional features that are offered with the home loans.
When applying for a home loan the home loan rates must be thought about. If you choose the right interest rate with your loan you can have a loan that will work with you and that will save you money.
Related posts:
- ANZ Three Year Fixed Rate Home Loan
- Finding The Best Home Loan Rates
- Home Loan Interest Rates
- IMB Fixed Rate Home Loan
- Who is Suited to a Variable Rate Home Loan
- Basic Variable Home Loans
- bankmecu Fixed Home Loan
- ANZ Five Year Fixed Loan
- HSBC Home Loan Rates
- NAB Three Years Fixed Rate Home Loan
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 |
|
Ask A Question