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Get the best home loan for you

Our research shows you could pay up to $63,000 more over the loan term for your mortgage, if you settle for a second-best loan. Compare some competitive deals below and find a better home loan rate today.

We’re reader-supported and may be paid when you visit links to partner sites. We don’t compare all products in the market, but we’re working on it!

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Name Product Interest Rate (p.a.) Comp. Rate p.a. Fees Monthly Payment

loans.com.au Smart Booster Discount Variable Home Loan P&IHome≥ 20% Deposit

loans.com.au Smart Booster Discount Variable Home Loan
2.60%
2.96%
  • App: $0
  • Ongoing: $0 p.a.
$602
Get a low discounted variable rate loan. Requires a 20% deposit. Get your loan processed fast and settle within 30 days.

Unloan Variable Home Loan P&IHome≥ 20% Deposit Refinancers only

Unloan Variable Home Loan
2.64%
2.56%
  • App: $0
  • Ongoing: $0 p.a.
$605
A low-rate variable home loan from a 100% online lender. Backed by the Commonwealth Bank.

Ubank Neat Variable Home Loan P&IHome≥ 40% Deposit

Ubank Neat Variable Home Loan
2.64%
2.65%
  • App: $0
  • Ongoing: $0 p.a.
$605
Get flexibility and the option to make unlimited extra repayments with this variable rate loan.

IMB Budget Home Loan P&IHome≥ 20% Deposit

IMB Budget Home Loan
2.84%
2.85%
  • App: $449
  • Ongoing: $0 p.a.
$621
A low-rate, no-frills home loan for borrowers with a good deposit and unrestricted repayments. $0 application fee for eligible borrowers with principal-and-interest repayments and deposits of at least 20%.

Macquarie Bank Basic Home Loan P&IHome≥ 40% Deposit

Macquarie Bank Basic Home Loan
2.84%
2.84%
  • App: $0
  • Ongoing: $0 p.a.
$621
This flexible variable rate loan requires a 40% deposit or equity. Get fast online approval and $0 application fee and $0 ongoing fees.

HSBC Home Value Loan P&IHome≥ 30% Deposit

HSBC Home Value Loan
2.77%
2.78%
  • App: $0
  • Ongoing: $0 p.a.
$616
$3,288 refinance cashback offer
This competitive variable rate loan is available for borrowers with 30% deposits. Eligible refinancers borrowing $250,000 or more can get a $3,288 cashback. Terms and conditions apply.

Greater Bank Great Rate Discount Variable with Family Pledge Home Loan P&IHome≥ -10% Deposit

Greater Bank Great Rate Discount Variable with Family Pledge Home Loan
2.79%
2.80%
  • App: $0
  • Ongoing: $0 p.a.
$617
Pay no deposit or LMI and get a discounted rate with this family pledge loan. Requires a family member to act as guarantor. NSW, QLD and ACT only.

homeloans.com.au Low Rate Home Loan with Offset P&IHome≥ 40% Deposit

homeloans.com.au Low Rate Home Loan with Offset
2.64%
2.64%
  • App: $0
  • Ongoing: $0 p.a.
$605
A competitive rate with no application or ongoing fees. This loan is not available for construction.

Newcastle Permanent Building Society Real Deal Home Loan P&IHome≥ 20% Deposit

Newcastle Permanent Building Society Real Deal Home Loan
2.87%
2.91%
  • App: $595
  • Ongoing: $0 p.a.
$624
Get up to $3,000 refinance cashback when your LVR is 90% or lower ($2,000 cashback for loan amounts of $250K+ and above, $3,000 for $500K+). Other conditions apply. This variable rate loan requires a 20% deposit and has an offset account.

Speak to a broker about your options

Consultant

loans.com.au Smart Booster Discount Variable Home Loan P&IHome≥ 20% Deposit

loans.com.au Smart Booster Discount Variable Home Loan
2.74%
3.22%
  • App: $0
  • Ongoing: $0 p.a.
$613
Home buyers can get a very low discounted variable rate for the first year. Requires a 20% deposit. Add an offset sub-account for an additional 0.10% on your interest rate. Get your loan processed fast and settle within 30 days.

Unloan Variable Home Loan P&IInvestment≥ 20% Deposit Refinancers only

Unloan Variable Home Loan
2.94%
2.86%
  • App: $0
  • Ongoing: $0 p.a.
$629
Investors can get a low variable rate. Apply online and get fast approval. Backed by the Commonwealth Bank.

Ubank Neat Variable Home Loan P&IHome≥ 20% Deposit

Ubank Neat Variable Home Loan
2.84%
2.86%
  • App: $0
  • Ongoing: $0 p.a.
$621
A competitive variable rate loan that comes with a 100% offset account. 20% deposit required.

Macquarie Bank Basic Fixed Home Loan P&IHome 3Y Fixed≥ 30% Deposit

Macquarie Bank Basic Fixed Home Loan
6.05%
3.65%
  • App: $0
  • Ongoing: $0 p.a.
$906
Get a variable rate mortgage with flexible, basic features. $0 application fee and $0 ongoing fees. Requires a 30% deposit. Apply online and get fast approval.

OneTwo Variable Rate Home Loan P&IHome≥ 20% Deposit Refi Only

OneTwo Variable Rate Home Loan
2.59%
2.49%
  • App: $0
  • Ongoing: $0 per month
$601
$5,000 refinance cashback.
A variable rate loan for owner-occupier refinancers living in NSW, VIC, QLD or SA metro and inner regional areas. Get an extra 0.15% off your rate as you repay the loan and get up to $2,500 in bonus payments.

Newcastle Permanent Building Society Real Deal Home Loan P&IInvestment≥ 20% Deposit

Newcastle Permanent Building Society Real Deal Home Loan
3.07%
3.11%
  • App: $595
  • Ongoing: $0 p.a.
$640
A competitive variable rate investor loan. 20% deposit required. Get up to $3,000 refinance cashback when your LVR is 90% or lower ($2,000 cashback for loan amounts of $250K+ and above, $3,000 for $500K+). Other conditions apply.

Newcastle Permanent Building Society Fixed Rate Home Loan P&IHome 2Y Fixed≥ 20% Deposit

Newcastle Permanent Building Society Fixed Rate Home Loan
4.39%
4.93%
  • App: $0
  • Ongoing: $0 p.a.
$752
Owner-occupiers can lock in this rate for 2 years with no ongoing fees. Get up to $3,000 refinance cashback when your LVR is 90% or lower ($2,000 cashback for loan amounts of $250K+ and above, $3,000 for $500K+). Other conditions apply.

HSBC Home Value Loan P&IInvestment≥ 30% Deposit

HSBC Home Value Loan
2.92%
2.93%
  • App: $0
  • Ongoing: $0 p.a.
$628
$3,288 refinance cashback offer
This variable rate loan is available for property investors with 30% deposits. This loan has very few fees. Eligible refinancers borrowing $250,000 or more can get a $3,288 cashback. Terms and conditions apply.

loans.com.au Green Home Loan P&IHome≥ 10% Deposit

loans.com.au Green Home Loan
2.63%
3.05%
  • App: $0
  • Ongoing: $0 p.a.
$604
This loan is only available for borrowers buying a property with a NatHERS energy efficiency rating of 7.0 or higher. Buying a green home? Get a competitive, discounted variable rate and borrow up to 90%.

homeloans.com.au Low Rate Home Loan with Offset IOInvestment≥ 20% Deposit

homeloans.com.au Low Rate Home Loan with Offset
3.19%
2.99%
  • App: $0
  • Ongoing: $0 p.a.
$649
A competitive rate with no application or ongoing fee. This loan is not available for construction.

homeloans.com.au Low Rate Home Loan with Offset P&IHome≥ 20% Deposit

homeloans.com.au Low Rate Home Loan with Offset
2.74%
2.74%
  • App: $0
  • Ongoing: $0 p.a.
$613
This loan offers a competitive variable rate and a 100% offset account to help save you on interest repayments. This loan is not available for construction.
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Disclaimer

*The products compared on this page are chosen from a range of offers available to us and are not representative of all the products available in the market. There is no perfect order or perfect ranking system for the products we list on our Site, so we provide you with the functionality to self-select, re-order and compare products. The initial display order is influenced by a range of factors including conversion rates, product costs and commercial arrangements, so please don't interpret the listing order as an endorsement or recommendation from us. We're happy to provide you with the tools you need to make better decisions, but we'd like you to make your own decisions and compare and assess products based on your own preferences, circumstances and needs.

What is the best home loan for you?

David Smith, chief customer officer of mortgage broking firm Aussie, says when you're deciding which home loan to get, it pays to keep in mind that every borrower is different.

"The first consideration you should make when choosing a home loan is to understand how much you can afford," Smith explains. "That doesn't just mean the maximum amount you can borrow – it also means the maximum you're prepared to pay each month for your loan repayment."

From there, you can plan a budget with your home loan repayments in mind.

"Don't forget, when you purchase a property, there are a number of other upfront costs to cover, including stamp duty – so make sure you factor those extra costs in too," Smith says.

Here are some examples of typical borrowers. While all borrowers are looking for the best home loan to suit them, they all need something a little different.

The cash-strapped first home buyers

Our hypothetical first home buyers Sarah and Ted are in their late 20s and are currently renting. They've squirrelled away their money for 4 years and they've saved up $100,000, but because they live in Sydney, this isn't a very big deposit.

The best home loan for this young couple will ideally be one with the following:

  • A low interest rate. They cannot afford massive repayments.
  • A low deposit loan. They probably haven't saved a 20% deposit, so they'll need a loan with a maximum insured LVR of 90% or 95%.
  • A guarantor option. Alternatively, Sarah or Tom's parents may be willing to guarantee a portion of their deposit, so a loan that allows for guarantors is a great option.

With these criteria, Sarah and Ted find a low rate loan with a high LVR. They ask their lender if it accepts guarantors, which it does. Sarah's parents guarantee 15%, so they only need a 5% deposit and they can avoid paying lenders mortgage insurance. The loan they choose does come with a hefty application fee, but they decide it's worth paying because everything else about the loan is perfect for them.

The cautious investor

In our hypothetical example, Margaret is currently paying off her home. She wants to buy a unit as an investment. She has $400,000 in equity and will use a line of credit loan to cover her deposit. But she'll need an investment loan to buy the unit. She is less concerned with fast capital growth and more concerned with long-term income from rent.

The best loan for Margaret will be one with the following:

  • Be an investment loan. She cannot purchase an investment property with an owner-occupier loan.
  • A competitive interest rate. Investment loans have higher interest rates, so she needs to shop around for the best deal.
  • Limited features. As Margaret doesn't have much left in savings, she isn't able to put money into an offset account, so she doesn't need to pay extra for a full-featured loan that she won't use.

Margaret talks to a mortgage broker who helps her organise the line of credit loan and an investment loan.

The homeowner who is paying too much in interest

David is paying off a $1 million mortgage with a 30-year loan term. He has been repaying the loan for 10 years. David hadn't looked at his interest rate in a while and was shocked to learn that the rate is above 3.60% – when he sees advertisements for other banks and lenders that offer extra features and lower rates.

David wants to refinance to a loan that has the following:

  • A much lower interest rate. This could save David thousands of dollars a year.
  • Low fees. David's current mortgage has a hefty discharge fee. He wants to switch to a mortgage that doesn't slug him with more costs.
  • An offset account. David has managed to put away a bit of extra money while making repayments. He wants to put this cash into an offset account to lower his interest repayments.

David finds a low-fee variable rate home loan that has a 100% offset account. While his previous rate was around 3.60%, his new rate is 2.59%. He's now paying less interest each month.

How do I get the best deal on a home loan?

There are 3 things every borrower needs to look at when hunting for the perfect home loan: rates, fees and features.

The lower the rate, the better

The interest rate determines your borrowing costs, and the lower the rate, the less interest you pay each month.

Let's say your loan amount is $500,000. You choose a variable rate with a 30-year loan term and principal-and-interest repayments (this means you repay the loan amount plus interest at the same time).

The best home loan will always have a lower interest rate because it lowers your monthly loan repayments:

Interest rateMonthly repayment
3.50%$2,245
3.25%$2,176
3.00%$2,108
2.75%$2,041
2.50%$1,975
2.25%$1,911
2.00%$1,848

But there's more to a good home loan than the interest rate.

Avoid big fees

Look for a loan that doesn't charge many fees. While home loan fees seem small in comparison to your repayments, they do add up.

Get the mortgage features you need

Home loans with added features can offer you more flexibility in how you repay and manage your loan:

  • Offset accounts can help you cut down your interest repayments.
  • Redraw facilities let you take out extra money you've paid into your mortgage to use in emergencies.
  • Loan portability lets you move your home loan from one property to another without refinancing.

Why the best home loan is different for every borrower

We've explained what the average borrower needs to do to find a great home loan. But every borrower's needs are slightly different. The best home loan for each borrower depends on their short- and long-term plans, and the reason they're buying a property in the first place.

Here are some examples of quite specific borrowers and what they'd need to look at to find the ideal home loan.

Icon of a man.A property investor with a mortgage on the family home

Plenty of investors haven't paid their own home loans off yet. While this means having 2 loans at the same time, it opens up some unique opportunities too.

For this type of borrower, the best approach could be as follows:

  1. Make sure your owner-occupier loan has a low interest rate. Focus on repaying this debt as fast as possible. The interest you pay on your home loan is not tax deductible. But it is on your investment loan.
  2. Choose interest-only repayments on your investment loan. This allows you to minimise your investment loan repayments while focusing on your own home loan first. This makes sense because the interest is tax deductible too.

This is just one approach for a property investor to take. Another is to look for a home loan bundle or pivot loan that lets you combine your 2 loans, with a higher rate on your investment loan and a lower rate on your home loan. This can be effective for tax purposes.

Money.A cautious home buyer with plenty of extra money in savings

Let's say you have a 20% deposit and you're looking for a home loan. Obviously, the best loan for you has a low interest rate. But let's say you also have a lot of extra money sitting in your bank account earning very little interest.

And let's say you don't have any desire to invest that money. You want to play it safe. In this case, the best home loan really is one with a 100% offset account.

This means you can park your savings in the home loan and still access it whenever you need it. But by saving the money there, you're cutting down the amount of interest your lender charges you.

Clock You've signed a contract to buy and you're running out of time

If settlement day is fast approaching and you haven't got a home loan approved, the best home loan is the one that a lender will approve quickly.

This could mean a few things. You might abandon the hunt for a better deal and just talk to your own bank. But banks can be slow. You might get faster loan approval with an online lender.

And if you're stuck, a mortgage broker will know which lenders can process your application faster. They can be a real lifesaver when you're running out of time.

Need more help finding a good loan? Talk to a broker

If you haven't got the time or energy to do it yourself, talk to a broker. Mortgage brokers are professionals who have access to a panel of lenders. They can find you a product that matches your financial needs and also help with your application.

Talk to a qualified mortgage broker today.

Compare more home loan options here

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12 Responses

  1. Default Gravatar
    MartinMay 31, 2022

    Hi
    My fixed rate loan finishes on June 3rd.
    I’ve been given the option of a variable rate of 2.59%, which apparently is 1.03% less than the advertised rate, for being a valued customer or I can go on a 2 year fixed rate of 3.49%.
    Can you give any recommendations?
    Regards
    Martin

    • Avatarfinder Customer Care
      RichardJune 9, 2022Staff

      Hi Martin,

      Unfortunately, we can’t give any personal financial advice or recommendations. A lower interest rate usually saves you money, but a fixed-rate loan won’t change during the fixed period.

      If you need more guidance you could also speak to a mortgage broker.

      Regards,
      Richard

  2. Default Gravatar
    RobertMay 14, 2022

    Inquiry regarding a first home loan for a person 44yrs of age receiving a disability support pension and presently paying a rent of $270 per week.

    He is seeking his first home in an area close to Brisbane as possible on the Northern side priced at between $230,000 to $250,000 and has an available cash deposit of $150,000 to $200,000.

    Hopefully you can assist with this matter

    Regards,
    Robert Benson

    • Avatarfinder Customer Care
      RichardMay 28, 2022Staff

      Hello Robert,

      At Finder we don’t lend to customers, we just provide information to our readers. You should approach a lender or mortgage broker to get a home loan.

      Kind regards,
      Richard

  3. Default Gravatar
    JulianMarch 31, 2022

    Refinancing have to choose Athena or Aussie with Adelaide bank.
    Which one better.

    • Avatarfinder Customer Care
      RichardApril 12, 2022Staff

      Hi Julian,

      We can’t make this choice for you. It depends on your goals and needs. To help you decide which one to choose, you can view our guide on Refinancing Home Loans.

      It’s worth seeking professional advice from a mortgage broker to get personalized advice and options.

      Don’t forget to check the product terms and conditions, and eligibility requirements to make sure that it would suit your needs.

      Regards,
      Richard

  4. Default Gravatar
    ThomasMarch 7, 2022

    Hello,
    I entered details for a fixed investor loan over 10 years (then changed to 15 years) with 60+ % LVR (later changed to 40% then zero), completed all filter options, only to receive nil results.
    Changing filter entries to achive a result also scored No Result.
    Thanks ,
    Tom.

    • Avatarfinder Customer Care
      RichardMarch 9, 2022Staff

      Hi Tom,

      You usually won’t get any results if none of the providers listed match your selected criteria. There are very few fixed rate loans offer a 10-year fixed period.

      If you have specific requirements for the loan you’re looking for, reaching out to lenders directly or consulting a mortgage broker to discuss the type of loan that will complement your borrowing needs would be a good idea.

      I hope this helps!

      Cheers,
      Richard

  5. Default Gravatar
    TaniaFebruary 25, 2022

    Do any lenders in Australia offer a variable rate home loan with a cap, ie; the rate can fall with the market but it can’t increase above a certain rate? Thanks

    • Avatarfinder Customer Care
      SarahMarch 10, 2022Staff

      Hi Tania,

      These are known as capped rate loans, and they’re quite unusual in Australia. We don’t have a specific list of lenders that offer capped rate mortgages, but you can check our list of lenders featured on our Variable Home Loan Rates page. You can contact the lenders on loans you’re interested in, to enquire if they can offer a variable home loan with a cap.

      Or, it might be worth seeking assistance from a mortgage broker to get personalised advice.

      I hope this helps!

      Cheers,
      Sarah

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