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.

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

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

Ubank Neat Variable Home Loan
1.89%
1.90%
  • App: $0
  • Ongoing: $0 p.a.
$548
Get flexibility and the option to make unlimited extra repayments with this variable rate loan.

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

loans.com.au Smart Booster Discount Variable Home Loan
2.10%
2.46%
  • App: $0
  • Ongoing: $0 p.a.
$564
Get a low discounted variable rate loan. Requires a 20% deposit. Get your loan processed fast and settle within 30 days.

Nano Variable Home Loans P&IHome≥ 20% Deposit

Nano Variable Home Loans
2.24%
2.24%
  • App: $0
  • Ongoing: $0 p.a.
$574
Competitive rate with zero fees, fast approval and a 100% free offset account. Available for refinancers and existing buyers purchasing their next home. 20% deposit required.

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
2.19%
2.20%
  • App: $0
  • Ongoing: $0 p.a.
$570
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.

Yard Variable Home Loan P&IHome≥ 20% Deposit

Yard Variable Home Loan
1.99%
2.02%
  • App: $0
  • Ongoing: $0 p.a.
$555
A competitive variable rate loan for home buyers with an optional offset account ($120 annual fee). 20% deposit required.

IMB Budget Home Loan P&IHome≥ 20% Deposit

IMB Budget Home Loan
2.09%
2.10%
  • App: $449
  • Ongoing: $0 p.a.
$563
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
2.39%
2.39%
  • App: $0
  • Ongoing: $0 p.a.
$586
Apply for the Macquarie Bank Basic Home Loan - LVR ≤ 60% (Owner Occupier, P&I) and get a low variable interest rate, plus no application and ongoing fees. Requires a 40% deposit.

HSBC Home Value Loan P&IHome≥ 30% Deposit

HSBC Home Value Loan
2.27%
2.28%
  • App: $0
  • Ongoing: $0 p.a.
$577
$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.

Athena Variable Home Loan P&IHome≥ 40% Deposit

Athena Variable Home  Loan
2.14%
2.14%
  • App: $0
  • Ongoing: $0 p.a.
$567
Owner occupiers with 40% deposits or equity can get this competitive variable rate loan. No upfront or ongoing fees.

Speak to a broker about your options

Consultant

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

OneTwo Variable Rate Home Loan
2.09%
1.99%
  • App: $0
  • Ongoing: $0 per month
$563
$5,000 refinance cashback.
A variable rate loan for owner-occupier refinancers living in NSW, VIC 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. Terms and conditions apply.

G&C Mutual Bank Momentum Home Loan P&IHome≥ 40% Deposit

G&C Mutual Bank Momentum Home Loan
2.24%
2.26%
  • App: $0
  • Ongoing: $0 p.a.
$574
A variable rate loan for owner-occupiers looking to refinance. This loan has low fees and a 100% offset account.

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

Newcastle Permanent Building Society Real Deal Home Loan
2.37%
2.41%
  • App: $595
  • Ongoing: $0 p.a.
$584
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.

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

homeloans.com.au Low Rate Home Loan with Offset
2.14%
2.14%
  • App: $0
  • Ongoing: $0 p.a.
$567
A competitive rate with no application or ongoing fees. This loan is not available for construction.

ME Flexible Home Loan With Member Package P&IHome≥ 20% Deposit $400k up to $699,999

ME Flexible Home Loan With Member Package
2.44%
2.90%
  • App: $0
  • Ongoing: $395 p.a.
$590
$3,000 cashback when refinancing a loan of $250,000 or more. Other conditions apply.A competitive variable rate package home loan with a 100% offset account.

ME Flexible Home Loan With Member Package P&IHome≥ 50% Deposit $400k up to $699,999

ME Flexible Home Loan With Member Package
2.29%
2.75%
  • App: $0
  • Ongoing: $395 p.a.
$578
Flexible, competitive variable rate loan. You will need a 50% deposit or equity to get this loan. $3,000 cashback when refinancing a loan of $250,000 or more. Other conditions apply.

Ubank Own Home Loan Fixed P&IHome 1Y Fixed≥ 20% Deposit

Ubank Own Home Loan Fixed
2.99%
2.50%
  • App: $0
  • Ongoing: $250 p.a.
$633
Fix to this very competitive rate for one year. This loan requires a 20% deposit.

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

loans.com.au Smart Booster Discount Variable Home Loan
2.24%
2.72%
  • App: $0
  • Ongoing: $0 p.a.
$574
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.

ME Flexible Home Loan Fixed with Members Package P&IHome 2Y Fixed≥ 20% Deposit

ME Flexible Home Loan Fixed with Members Package
4.59%
3.59%
  • App: $0
  • Ongoing: $395 p.a.
$770
$3,000 cashback when refinancing a loan of $250,000 or more. Other conditions apply.
Lock in a competitive rate for owner occupiers for two years. Comes with a 100% offset account.

Yard Variable Home Loan P&IInvestment≥ 20% Deposit

Yard Variable Home Loan
2.19%
2.22%
  • App: $0
  • Ongoing: $0 p.a.
$570
A variable rate loan for investors with an optional offset account ($120 annual fee). 20% deposit required.

G&C Mutual Bank Fixed Rate Home Loan P&IHome 1Y Fixed≥ 5% Deposit

G&C Mutual Bank Fixed Rate Home Loan
3.19%
3.25%
  • App: $500
  • Ongoing: $0 p.a.
$649
Lock in a sharp rate for the first year. Available with a 5% deposit.
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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.

"It's fair to say it's going to be one of the biggest decisions you'll ever make. It's one of the most complex, too," Smith explains.

"The first consideration you should make when choosing a home loan is to understand how much you can afford. 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

Picture not described Our hypothetical first home buyers Sarah and Ted are in their late 20s and currently renting. They've squirrelled away their money for four 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:

  • Have a low interest rate. They cannot afford massive repayments.
  • Be 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%.
  • Have 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.

Although the idea of saving a big deposit may be intimidating, the First Home Buyers Deposit Scheme means you only need to save a 5% deposit to get your foot on the property ladder.

The cautious investor

Picture not described

Until recently, investors have been accustomed to paying far more than owner-occupiers for their property loans. But that's no longer the case, with very competitive investment loans available, and banks once again vying for investors' business.

"If you're already a homeowner or an investor wanting to refinance or upgrade, housing affordability has never been cheaper than it is today, thanks to these record low interest rates that are expected to stick around for at least another three years," Smith says.

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 a 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 an investment loan. She cannot purchase an investment property with an owner-occupier loan.
  • Have a competitive interest rate. Investment loans have higher interest rates, so she needs to shop around for the best deal.
  • Have 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

Picture not described
Our final hypothetical example, 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 3.30% – 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 a much lower interest rate. This could save David thousands of dollars a year.
  • Has 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.
  • Has 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 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 3.30%, his new rate is 2.59%. He's now paying less interest each month.

Importantly, David doesn't refinance to a new 30-year loan term. Because he has been making repayments for 10 years, he refinances to a 20-year term. Because he's not adding any new debt to the loan, his repayments won't go up – in fact, with the interest rate reduction, they should go down. This ensures he will stay on track to be debt-free faster (switching to a new 30-year loan would add 10 years to the loan).

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

Couple with the keys to their new home. 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 best home loan will always have a low-interest rate. The interest rate determines your borrowing costs, and the lower the rate, the less interest you pay each month. Anyone looking for the best home loan deal needs to start with the rate.

Here's how it works. 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 interest rate has a big effect on the 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

A home loan that hits you with multiple fees will probably cost you more than you realise over time. There are one-off, upfront fees such as application or settlement fees. Some home loans charge an ongoing monthly or annual fee.

Most of the time, these fees seem small compared to your repayments, but they do add up. And because many home loans have minimal fees, it's better to avoid fees if you can.

Check a loan's comparison rate to get a better idea of the added cost of fees.

The right loan type for your strategy

It's important to get the right kind of home loan. If you're a property investor, then you need an investment loan. You won't be able to apply for an owner-occupier loan.

You also need to look at your repayment type. Most borrowers go for principal-and-interest loans, where you borrow money and repay it, plus interest. This is the safest way for most borrowers.

But you can also consider an interest-only loan. With this repayment type, you only pay the interest charges at first. But you'll need to repay the full amount later. It costs you less in the short term and more in the long run. It's a popular option for investors, but some homebuyers choose it too.

Mortgage features you need

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

  • Offset accounts can help you cut down your interest repayments.
  • Package loans let you bundle your mortgage with other financial products (transaction accounts and credit cards) for convenience and discounts.
  • 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.

Need more help? Talk to a broker.

Finding the right home loan can take a lot of time and energy. Mortgage brokers are professionals who compare home loans from a wide panel of lenders. They can find you a product that matches your financial needs and property strategy and also help you with your application.

Talk to a qualified mortgage broker today.

Compare more home loan options here

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8 Responses

  1. 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

  2. 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

  3. 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

  4. Default Gravatar
    CAYFebruary 14, 2022

    what is the age limit for loans

    • Avatarfinder Customer Care
      RichardFebruary 17, 2022Staff

      Hi Cay,

      There is no maximum age limit set for getting a home loan. In fact, people in their 60s and even older may be approved for a home loan. However, when you apply for a mortgage, your lender will assess many criteria, and age can be one of them. They’ll check if you have the income to support the loan, not just now but well into the future.

      Regards,
      Richard

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