Fix your rate and plan your budget effectively with a Commonwealth Bank Fixed Rate Home Loan.
A fixed rate loan from the Commonwealth Bank lets buyers and investors set their repayments in place for a certain period of time. This means that you won't be surprised by your repayments suddenly going up.
$2,000 refinance cashback offer
If you refinance to the Commonwealth Bank from another lender you could be eligible for a $2,000 cashback. The offer applies to principal and interest owner occupier home loans and all investment and Viridian line of credit loans. You need to refinance a loan amount of at least $250,000 and apply before 03 August 2020 and have your loan funded by 09 October 2020.
| Product Name | Commonwealth Bank Fixed Rate Home |
|---|---|
| Interest Rate Type | Fixed |
| Comp Rate^ (p.a.) | |
| Minimum Loan Amount | $10,000 |
| Minimum Loan Term | 1 year |
| Maximum Loan Term | 30 years |
| Maximum LVR | 80% |
| Maximum Insured LVR | 95% |
| Loan Redraw Facility | No |
| Split Loan Facility | Yes |
| Loan Portable | Yes |
| Suitable for Investment | Yes |
| Extra Repayment | Yes |
| Available as equity loan/line of credit | No |
| Repayment Type | Principal & Interest and Interest Only Options |
| Application Fee | $600 |
|---|---|
| Lender's Legal Fee | $0 |
| Valuation Fee | $0 |
| Ongoing Fees | $8 monthly ($96 p.a.) |
| Settlement Fee | $200 |
| Discharge Fee | $350 |
Pros
- You can pay extra payments during the fixed term without penalty
- You can borrow up to 95% of the property value
Cons
- There is a $600 application fee
- There is an $8 per month account fee
- A discharge fee of $350 applies when you close your home loan account
What do I need to know about this loan?
This loan is available to those wishing to buy a home and investors purchasing an investment property. This is a fixed rate loan. At the end of the fixed period the interest rate will revert to the Commonwealth Bank's Standard Variable Rate loan.
Features of the Commonwealth Bank Fixed Rate Loan
A Fixed Rate Loan from the Commonwealth Bank allows borrowers to fix their interest rate on their home loan. Other features include:
- Interest-only payments: The combination of fixed interest and interest-only payments can be good for investors looking to maximise their cash flow for other investments.
- Deposit size: You can borrow up to 95% of your property's value, depending on your loan purpose. Keep in mind that if your deposit is below 20% you may need to pay lenders mortgage insurance.
- Split Loan: you have the option to use this loan for part of the total amount borrowed and another loan for the remaining amount.
- Extra repayments: You can make additional payments on this loan in order to pay it off more quickly.
- Loan portable. The loan is portable, meaning you can keep this mortgage even when switching to a new property.
What fees and charges come with this loan?
The Commonwealth Bank Fixed Rate Loan has several fees you should be aware of.
- Service fee: $8. This fee is charged monthly.
- Application fee: $600. This fee is charged during the application.
- Settlement fee: $200. This fee covers settlement costs.
- Discharge fee: $350. You pay this fee when exiting the loan.
Can my $100 000 blue chip shares be used an equity for a $300 000 investor home loan
Hi Katy,
Thanks for getting in touch!
You can use your blue-chip share to boost your application strength and borrowing power but it cannot be used as a deposit for the investor home loan.
Hope this helps and feel free to reach out to us again for further assistance.
Best,
Nikki