February’s 10 cheapest variable rate home loans

Adam Smith 6 February 2018

dollar stop1More and more borrowers are opting to take a chance on variable rate home loans.

Variable rate home loans have continued to surge in popularity as signs points to a continued period of inactivity from the Reserve Bank of Australia.

New figures from Mortgage Choice show demand for variable rate home loans rose in January, with nearly 78% of borrowers opting for a variable rate.

“We may continue to see more people choose a variable rate home loan, particularly if the Reserve Bank of Australia continues to leave the official cash rate on hold,” Mortgage Choice chief executive John Flavell said.

Variable rates were most popular in Victoria, accounting for more than 85% of all loans written in January. Queensland borrowers were the least likely to choose a variable rate, with slightly less than 74% opting for a variable rate product.

As variable rates grow in popularity, we've put together February's list of the 10 cheapest variable rate home loans on offer through the finder.com.au database. To make sure the home loans presented can offer help to the average borrower, we applied the following criteria:

  • All loans listed are principal and interest loans for owner-occupiers.
  • All loans have a maximum loan-to-value ratio (LVR) of at least 80%.
  • Each loan has a minimum loan amount no more than $150,00 and a maximum amount of more than $500,000.
  • We've excluded line of credit, guarantor and construction loans.
  • Rates are correct as of 5 February 2018.

Check out the table below to see some of the sharpest deals on offer through finder.com.au. It may be time to look for a better rate.

Compare February 2018’s cheapest variable rate home loans at a glance

Rates last updated February 20th, 2018
$
Loan purpose
Offset account
Loan type
Your filter criteria do not match any product
Name Product Interest Rate (p.a.) Comp Rate^ (p.a.) Application Fee Ongoing Fees Max LVR Monthly Payment Short Description
3.52%
3.53%
$0
$0 p.a.
80%
A competitive variable rate product with no application or valuation fees offered by a 100% online lender.
3.59%
3.60%
$0
$0 p.a.
90%
Enjoy a low variable rate with no ongoing fees and borrow up to 90% of the value of the property.
3.59%
4.42%
$600
$0 p.a.
95%
This competitive introductory rate is a limited time offer for new owner-occupiers
3.64%
3.65%
$500
$0 p.a.
95%
A basic home loan with a promotional variable interest rate.
3.52%
3.54%
$0
$0 p.a.
80%
A basic home loan with a competitive rate and low fees.
3.64%
4.03%
$0
$395 p.a.
80%
Apply for a new owner occupier loan or refinance from another lender and receive this discounted rate.
3.64%
3.67%
$0
$0 p.a.
80%
A low rate home loan with no ongoing fees.
3.77%
3.81%
$200
$0 p.a.
95%
A basic home loan with a low interest rate and a redraw facility available.
3.65%
3.70%
$600
$0 p.a.
85%
Save on your home loan rate by avoiding features you may not use.
3.68%
3.69%
$0
$0 p.a.
90%
Get a low variable rate along with some important basic features.

Compare up to 4 providers

*Our cheapest variable rate home loans round-up is a monthly article that features the cheapest loans in finder.com.au's database. The rates and other information in this page are correct at the time of publication and are subject to change. There may be cheaper loans on the market than the ones listed here.

Want to compare more options? Check out all our cheapest home loans

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