Compare fixed rate home loans

400+ loans updated daily for interest rates, fees and more. Fixed rates as low as 4.99%.

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1 - 20 of 413
Name Finder Score Interest Rate p.a. Comparison Rate p.a. Fees Monthly Payment
Macquarie Bank logo
Principal & Interest 3Y Fixed20% min. depositInvestment
Macquarie Bank logo
Principal & Interest 3Y Fixed20% min. depositInvestment
Go to site
Product NameMacquarie Bank Basic Fixed Home Loan
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.95%
Comp. Rate p.a.6.33%
Minimum Loan Amount$150,000
Maximum Loan Amount $10,000,000
Maximum Loan Term30 years
Maximum LVR 80%
Loan Redraw FacilityNo
Offset AccountNo
Split Loan FacilityYes
Fixed Interest OptionYes
Loan PortableNo
Extra Repayments Yes
Finder score
Interest Rate
5.95%
Comparison Rate
6.33%
Fees
Application: $0
Ongoing: $0 p.a.
Monthly Payment
$2,388
Go to site
loans.com.au logo
Principal & Interest 3Y Fixed10% min. depositOwner-occupierSpecial
loans.com.au logo
Principal & Interest 3Y Fixed10% min. depositOwner-occupierSpecial
Go to site
Product Nameloans.com.au Fixed
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.69%
Comp. Rate p.a.6.16%
Minimum Loan Amount$50,000
Maximum Loan Amount $1,000,000
Maximum Loan Term30 years
Maximum LVR 90%
Loan Redraw FacilityNo
Offset AccountNo
Split Loan FacilityYes
Fixed Interest OptionYes
Loan PortableYes
Extra Repayments Available up to $10,000 per year
Finder score
Interest Rate
5.69%
Comparison Rate
6.16%
Fees
Application: $0
Ongoing: $0 p.a.
Monthly Payment
$2,322
Go to site
IMB logo
Principal & Interest 2Y Fixed5% min. depositOwner-occupier
IMB logo
Principal & Interest 2Y Fixed5% min. depositOwner-occupier
Go to site
Product NameIMB Fixed Rate Home Loan
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.69%
Comp. Rate p.a.6.28%
Minimum Loan Amount$10,000
Maximum Loan Amount N/A
Maximum Loan Term30 years
Maximum LVR 95%
Loan Redraw FacilityYes
Offset AccountNo
Split Loan FacilityYes
Fixed Interest OptionYes
Loan PortableYes
Extra Repayments Yes
Finder score
Interest Rate
5.69%
Comparison Rate
6.28%
Fees
Application: $449
Ongoing: $6 per month
Monthly Payment
$2,322
Go to site
Up to $4K cashback
Eligible borrowers can get up to $4,000 cashback when buying or refinancing with IMB. Loan value criteria applies. Other terms and conditions also apply.
Macquarie Bank logo
Principal & Interest 3Y Fixed20% min. depositOwner-occupier
Macquarie Bank logo
Principal & Interest 3Y Fixed20% min. depositOwner-occupier
Go to site
Product NameMacquarie Bank Basic Fixed Home Loan
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.79%
Comp. Rate p.a.6.10%
Minimum Loan Amount$150,000
Maximum Loan Amount $10,000,000
Maximum Loan Term30 years
Maximum LVR 80%
Loan Redraw FacilityNo
Offset AccountNo
Split Loan FacilityYes
Fixed Interest OptionYes
Loan PortableNo
Extra Repayments Yes
Finder score
Interest Rate
5.79%
Comparison Rate
6.10%
Fees
Application: $0
Ongoing: $0 p.a.
Monthly Payment
$2,347
Go to site
Macquarie Bank logo
Principal & Interest 3Y Fixed30% min. depositOwner-occupierOffset account
Macquarie Bank logo
Principal & Interest 3Y Fixed30% min. depositOwner-occupierOffset account
Go to site
Product NameMacquarie Bank Offset Home Loan Package Fixed Loan
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.69%
Comp. Rate p.a.6.26%
Minimum Loan Amount$150,000
Maximum Loan Amount $10,000,000
Maximum Loan Term30 years
Maximum LVR 70%
Loan Redraw FacilityYes
Offset AccountYes
Split Loan FacilityYes
Fixed Interest OptionYes
Loan PortableNo
Extra Repayments Yes
Finder score
Interest Rate
5.69%
Comparison Rate
6.26%
Fees
Application: $0
Ongoing: $248 p.a.
Monthly Payment
$2,322
Go to site
Macquarie Bank logo
Principal & Interest 3Y Fixed30% min. depositInvestment
Macquarie Bank logo
Principal & Interest 3Y Fixed30% min. depositInvestment
Go to site
Product NameMacquarie Bank Basic Fixed Home Loan
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.85%
Comp. Rate p.a.6.23%
Minimum Loan Amount$150,000
Maximum Loan Amount $10,000,000
Maximum Loan Term30 years
Maximum LVR 70%
Loan Redraw FacilityNo
Offset AccountNo
Split Loan FacilityYes
Fixed Interest OptionYes
Loan PortableNo
Extra Repayments Yes
Finder score
Interest Rate
5.85%
Comparison Rate
6.23%
Fees
Application: $0
Ongoing: $0 p.a.
Monthly Payment
$2,363
Go to site
Macquarie Bank logo
Principal & Interest 3Y Fixed30% min. depositOwner-occupier
Macquarie Bank logo
Principal & Interest 3Y Fixed30% min. depositOwner-occupier
Go to site
Product NameMacquarie Bank Basic Fixed Home Loan
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.69%
Comp. Rate p.a.6.04%
Minimum Loan Amount$150,000
Maximum Loan Amount $10,000,000
Maximum Loan Term30 years
Maximum LVR 70%
Loan Redraw FacilityNo
Offset AccountNo
Split Loan FacilityYes
Fixed Interest OptionYes
Loan PortableNo
Extra Repayments Yes
Finder score
Interest Rate
5.69%
Comparison Rate
6.04%
Fees
Application: $0
Ongoing: $0 p.a.
Monthly Payment
$2,322
Go to site
Macquarie Bank logo
Principal & Interest 2Y Fixed30% min. depositOwner-occupier
Macquarie Bank logo
Principal & Interest 2Y Fixed30% min. depositOwner-occupier
Go to site
Product NameMacquarie Bank Basic Fixed Home Loan
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.69%
Comp. Rate p.a.6.08%
Minimum Loan Amount$150,000
Maximum Loan Amount $10,000,000
Maximum Loan Term30 years
Maximum LVR 70%
Loan Redraw FacilityNo
Offset AccountNo
Split Loan FacilityYes
Fixed Interest OptionYes
Loan PortableNo
Extra Repayments Yes
Finder score
Interest Rate
5.69%
Comparison Rate
6.08%
Fees
Application: $0
Ongoing: $0 p.a.
Monthly Payment
$2,322
Go to site
IMB logo
Principal & Interest 3Y Fixed10% min. depositInvestment
IMB logo
Principal & Interest 3Y Fixed10% min. depositInvestment
Go to site
Product NameIMB Fixed Rate Home Loan
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.84%
Comp. Rate p.a.6.68%
Minimum Loan Amount$10,000
Maximum Loan Amount N/A
Maximum Loan Term30 years
Maximum LVR 90%
Loan Redraw FacilityYes
Offset AccountNo
Split Loan FacilityYes
Fixed Interest OptionYes
Loan PortableYes
Extra Repayments Yes
Finder score
Interest Rate
5.84%
Comparison Rate
6.68%
Fees
Application: $449
Ongoing: $6 per month
Monthly Payment
$2,360
Go to site
Up to $4K cashback
Eligible borrowers can get up to $4,000 cashback when buying or refinancing with IMB. Loan value criteria applies. Other terms and conditions also apply.
Easy Street logo
Interest only 2Y Fixed20% min. depositInvestmentOffset accountSpecial
Easy Street logo
Interest only 2Y Fixed20% min. depositInvestmentOffset accountSpecial
Go to site
Product NameEasy Street Fixed Home Loan
Interest Rate Typefixed rate
Repayment Type Interest Only
Interest Rate p.a.5.79%
Comp. Rate p.a.6.04%
Minimum Loan Amount$50,000
Maximum Loan Amount $1,000,000
Maximum Loan Term30 years
Maximum LVR 80%
Loan Redraw FacilityYes
Offset AccountYes
Split Loan FacilityNo
Fixed Interest OptionNo
Loan PortableYes
Extra Repayments Yes
Finder score
Interest Rate
5.79%
Comparison Rate
6.04%
Fees
Application: $500
Ongoing: $0 p.a.
Monthly Payment
$2,347
Go to site
G&C Mutual Bank logo
Principal & Interest 3Y Fixed5% min. depositOwner-occupier
G&C Mutual Bank logo
Principal & Interest 3Y Fixed5% min. depositOwner-occupier
Go to site
Product NameG&C Mutual Bank Fixed Rate Home Loan
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.70%
Comp. Rate p.a.5.76%
Minimum Loan Amount$0
Maximum Loan Amount N/A
Maximum Loan Term30 years
Maximum LVR 95%
Loan Redraw FacilityYes
Offset AccountNo
Split Loan FacilityYes
Fixed Interest OptionYes
Loan PortableYes
Extra Repayments Up to 5% of the loan balance per annum
Finder score
Interest Rate
5.70%
Comparison Rate
5.76%
Fees
Application: $500
Ongoing: $0 p.a.
Monthly Payment
$2,325
Go to site
Tiimely Home logo
Principal & Interest 2Y Fixed10% min. depositOwner-occupier
Tiimely Home logo
Principal & Interest 2Y Fixed10% min. depositOwner-occupier
Product NameTiimely Home Own Fixed Rate Home Loan
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.54%
Comp. Rate p.a.5.95%
Minimum Loan Amount$50,000
Maximum Loan Amount $2,000,000
Maximum Loan Term30 years
Maximum LVR 90%
Loan Redraw FacilityYes
Offset AccountNo
Split Loan FacilityNo
Fixed Interest OptionYes
Loan PortableNo
Extra Repayments Yes
Finder score
Interest Rate
5.54%
Comparison Rate
5.95%
Fees
Application: $0
Ongoing: $0 p.a.
Monthly Payment
$2,284
Qantas Money logo
Principal & Interest 2Y Fixed10% min. depositOwner-occupier
Qantas Money logo
Principal & Interest 2Y Fixed10% min. depositOwner-occupier
Product NameQantas Money Fixed Home Loan
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.64%
Comp. Rate p.a.6.10%
Minimum Loan Amount$300,000
Maximum Loan Amount $3,000,000
Maximum Loan Term30 years
Maximum LVR 90%
Loan Redraw FacilityYes
Offset AccountNo
Split Loan FacilityNo
Fixed Interest OptionYes
Loan PortableNo
Extra Repayments Yes
Finder score
Interest Rate
5.64%
Comparison Rate
6.10%
Fees
Application: $345
Ongoing: $0 p.a.
Monthly Payment
$2,309
Points offer
Earn 100,000 Qantas Points every year for the life of your loan. Plus, for a limited time, receive a $1,000 Qantas Hotels & Holidays voucher for new loans $500,000 or more. Submit before 3 Dec 2024. Eligibility criteria, T&Cs apply.
Qantas Money logo
Principal & Interest 1Y Fixed10% min. depositOwner-occupier
Qantas Money logo
Principal & Interest 1Y Fixed10% min. depositOwner-occupier
Product NameQantas Money Fixed Home Loan
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.94%
Comp. Rate p.a.6.18%
Minimum Loan Amount$300,000
Maximum Loan Amount $3,000,000
Maximum Loan Term30 years
Maximum LVR 90%
Loan Redraw FacilityYes
Offset AccountNo
Split Loan FacilityNo
Fixed Interest OptionYes
Loan PortableNo
Extra Repayments Yes
Finder score
Interest Rate
5.94%
Comparison Rate
6.18%
Fees
Application: $345
Ongoing: $0 p.a.
Monthly Payment
$2,386
Points offer
Earn 100,000 Qantas Points every year for the life of your loan. Plus, for a limited time, receive a $1,000 Qantas Hotels & Holidays voucher for new loans $500,000 or more. Submit before 3 Dec 2024. Eligibility criteria, T&Cs apply.
Qantas Money logo
Principal & Interest 2Y Fixed10% min. depositInvestment
Qantas Money logo
Principal & Interest 2Y Fixed10% min. depositInvestment
Product NameQantas Money Fixed Home Loan
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.6.19%
Comp. Rate p.a.6.38%
Minimum Loan Amount$300,000
Maximum Loan Amount $3,000,000
Maximum Loan Term30 years
Maximum LVR 90%
Loan Redraw FacilityYes
Offset AccountNo
Split Loan FacilityNo
Fixed Interest OptionYes
Loan PortableNo
Extra Repayments Yes
Finder score
Interest Rate
6.19%
Comparison Rate
6.38%
Fees
Application: $345
Ongoing: $0 p.a.
Monthly Payment
$2,450
Points offer
Earn 100,000 Qantas Points every year for the life of your loan. Plus, for a limited time, receive a $1,000 Qantas Hotels & Holidays voucher for new loans $500,000 or more. Submit before 3 Dec 2024. Eligibility criteria, T&Cs apply.
Newcastle Permanent logo
Principal & Interest 2Y Fixed20% min. depositOwner-occupierSpecial
Newcastle Permanent logo
Principal & Interest 2Y Fixed20% min. depositOwner-occupierSpecial
Product NameNewcastle Permanent Premium Plus Package Fixed Rate
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.49%
Comp. Rate p.a.7.65%
Minimum Loan Amount$0
Maximum Loan Amount N/A
Maximum Loan Term30 years
Maximum LVR 80%
Loan Redraw FacilityYes
Offset AccountNo
Split Loan FacilityYes
Fixed Interest OptionNo
Loan PortableYes
Extra Repayments Yes
Finder score
Interest Rate
5.49%
Comparison Rate
7.65%
Fees
Application: $0
Ongoing: $395 p.a.
Monthly Payment
$2,272
ING logo
Best Rated Brand
Principal & Interest 3Y Fixed20% min. depositOwner-occupier
ING logo
Best Rated BrandPrincipal & Interest 3Y Fixed20% min. depositOwner-occupier
Product NameING Orange Advantage Fixed Home Loan
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.69%
Comp. Rate p.a.6.04%
Minimum Loan Amount$50,000
Maximum Loan Amount N/A
Maximum Loan Term30 years
Maximum LVR 80%
Loan Redraw FacilityNo
Offset AccountNo
Split Loan FacilityYes
Fixed Interest OptionYes
Loan PortableYes
Extra Repayments Yes
Finder score
Interest Rate
5.69%
Comparison Rate
6.04%
Fees
Application: $0
Ongoing: $299 p.a.
Monthly Payment
$2,322
Contact Broker
St.George Bank logo
Principal & Interest 3Y Fixed30% min. depositOwner-occupier
St.George Bank logo
Principal & Interest 3Y Fixed30% min. depositOwner-occupier
Product NameSt.George Fixed Rate Home Loan with Advantage Package
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.89%
Comp. Rate p.a.7.29%
Minimum Loan Amount$150,000
Maximum Loan Amount N/A
Maximum Loan Term30 years
Maximum LVR 70%
Loan Redraw FacilityYes
Offset AccountNo
Split Loan FacilityYes
Fixed Interest OptionYes
Loan PortableYes
Extra Repayments Yes
Finder score
Interest Rate
5.89%
Comparison Rate
7.29%
Fees
Application: $0
Ongoing: $395 p.a.
Monthly Payment
$2,373
Contact Broker
NAB logo
Best Rated Brand
Principal & Interest 3Y Fixed5% min. depositOwner-occupier
NAB logo
Best Rated BrandPrincipal & Interest 3Y Fixed5% min. depositOwner-occupier
Product NameNAB Choice Package Fixed Rate Home Loan
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.89%
Comp. Rate p.a.7.83%
Minimum Loan Amount$150,000
Maximum Loan Amount N/A
Maximum Loan Term30 years
Maximum LVR 95%
Loan Redraw FacilityNo
Offset AccountNo
Split Loan FacilityYes
Fixed Interest OptionNo
Loan PortableYes
Extra Repayments Yes
Finder score
Interest Rate
5.89%
Comparison Rate
7.83%
Fees
Application: $0
Ongoing: $395 p.a.
Monthly Payment
$2,373
Contact Broker
ME logo
Principal & Interest 3Y Fixed20% min. depositOwner-occupier
ME logo
Principal & Interest 3Y Fixed20% min. depositOwner-occupier
Product NameME Flexible Home Loan Fixed with Members Package
Interest Rate Typefixed rate
Repayment Type Principal & Interest
Interest Rate p.a.5.69%
Comp. Rate p.a.6.50%
Minimum Loan Amount$40,000
Maximum Loan Amount N/A
Maximum Loan Term30 years
Maximum LVR 80%
Loan Redraw FacilityYes
Offset AccountNo
Split Loan FacilityYes
Fixed Interest OptionYes
Loan PortableNo
Extra Repayments Yes
Finder score
Interest Rate
5.69%
Comparison Rate
6.50%
Fees
Application: $0
Ongoing: $395 p.a.
Monthly Payment
$2,322
Contact Broker
$2-$3,000 cashback
Eligible new purchasers can get $2,000 cashback for loans of at least $400k. Eligible refinancers switching to ME Bank can get $3,000 cashback for loans of at least $700k. Other conditions apply.
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Key takeaways

  • Fixed rate home loans let you lock in an interest rate for a period of time. Your repayments do not change during the fixed period.
  • When your rate is fixed you may be unable to make extra repayments and it can be costly to refinance.
  • Every month Finder picks the top fixed rate home loans offered by our partners, determined by interest rates, fees, deposit size and other factors.

What is Finder Score?

The Finder Score crunches 7,000 home loans across 120+ lenders. It takes into account the product's interest rate, fees and features, as well as the type of loan eg investor, variable, fixed rate - this gives you a simple score out of 10.

To provide a Score, we compare like-for-like loans. So if you're comparing the best home loans for cashback, you can see how each home loan stacks up against other home loans with the same borrower type, rate type and repayment type. We also take into consideration the amount of cashback offered when calculating the Score so you can tell if it's really worth it.

Read the full Finder Score breakdown

Finding the best fixed rate home loan for you

Every month, our home loan experts analyse over 100 home loan rates from our database to find our best home loan picks. We only select home loans that are suitable for a typical borrower, so we don't include loans that require enormous deposits or have extra eligibility requirements.

We then rank these loans, with the winning loans having a combination of low interest rates and low fees.

All our picks are from lenders with whom Finder has a commercial partnership. The best loan for you may differ from our picks, so always research widely when comparing.

Why you can trust Finder's research

Rates
100+ rates compared
Expert
Analysis from the experts
Calendar
Picks updated monthly

Check out our monthly best home loan rate picks to see more of our top picks.

What is a fixed rate home loan?

When you take out a home loan to buy a home or investment property, you can choose between 2 interest rate types: fixed and variable.

With a fixed rate you will lock in an interest rate for a set period, usually between 1 and 5 years (though it can be up to 10 years). Because the interest rate won't change, your repayments will stay the same for the fixed period.

It is important to ask your lender or mortgage broker about 'rate lock guarantees' before you apply for a fixed rate, as the fixed rate(s) can change between application and documentation.

Should I fix my home loan rate?

The decision to fix your rate depends on your own circumstances. Most Australians choose variable loans. In fact, only 2.3% of home loans that went through mortgage brokerage AFG in the 3 months to the end of June 2024 were fixed rate loans.

With a fixed rate you'll miss out on lower rates if they fall, but you'll be in a good position if rates start rising.

It's not just about timing the interest rates though. For some borrowers they want the certainty of knowing they can afford their repayments, particularly if they're expecting a change in circumstances (like starting a family and taking parental leave).

Pros and cons of a fixed rate home loan

Pros

  • You can avoid any future rate rises, although that can be hard to predict.
  • You have certainty around what your repayments will be despite any rate changes.
  • In the current market, fixed rate loans are offering the lowest rates.

Cons

A fixed home loan can give you peace of mind because, no matter what happens to official rates, your repayments won't budge. When rates are going up and times are tight, this can be priceless.

Nicole Pedersen-McKinnon

Nicole Pedersen-McKinnon
Freelance finance journalist

What's the difference between fixed rates and variable rates?

      • A fixed rate won't change while you're in the fixed rate period.
      • A variable rate can change at any time (these loans rose 8 times in 2022 and 5 times in 2023).
      • There are no additional fees for exiting a variable rate loan early (by refinancing, selling or paying off the loan early). Exiting a loan during the fixed period incurs a break cost.

If you decide to fix your interest rate, keep in mind that it is very difficult to "beat the bank" (that is, lock in a rate that is lower than the variable rate for the duration of the fixed term, thereby paying the bank less for your loan over the full fixed term period).

Fixed versus variable rates: What are the differences?

How do I find the best fixed rate home loan?

Finding the best fixed rate home loan is really about working out what you need, and finding a suitable loan with a low rate. To help you lock in the best fixed rate deal, start by considering these 5 factors:

Number 1

Your property plans

If you're not sure how long you might be in the property, you should think twice about locking into a fixed rate home loan because of the expensive break costs.

Number 2

Interest rates

As with any home loan, a lower rate is going to save you money. But it's not the only consideration and you might end up saving more money by using a variable loan that allows extra repayments or has an offset account.

Number 3

Other fees

Always pay attention to a loan's fees, especially annual or ongoing fees. These can quickly add up and cancel out all the benefits of the lower interest rate.

Number 4

Fixed rate period

Fixed rate borrowers have to choose terms between 1 and 5 years. Most loans give you multiple options, with different rates for each. In some markets the shorter loan terms have lower rates, but in other markets it is the other way around. So be sure to compare thoroughly.

Number 5

Loan repayments

If you want to make extra repayments into your loan to chip away at the loan principal as quickly as possible, then a fixed rate loan may not be the best option as extra repayments are often not allowed on these types of loans.

How long should I fix my rate for?

Most lenders offer fixed rate terms between 1 and 5 years. While there are no differences between how the loans work with different terms, the interest rates will be different.

1- and 2-year fixed rates

Shorter term fixed rates are usually the most competitive. This isn't always the case, however. In some markets lenders will have lower rates for longer terms. This is particularly the case when lenders are expecting rates to fall: they will try to lock borrowers at the current market rates for longer.

Fixing for 1 or 2 years is a good option for borrowers who think they may want to sell their property, refinance or pay off their loan in a few years.

The downside with shorter fixed terms is that if rates are low you only get the fixed benefit for a short time.

3-year fixed rates

3 years is often a good balance between a reasonable length of time and a competitive rate (some of the best fixed rates on the market at the moment are for 3 year terms). 3-year fixed rates tend to be quite competitive while giving you just a bit longer on a stable rate.

4- and 5-year fixed rates

Fixing for 4 or 5 years is quite a long time and market rates can vary quite a lot in those years. These rates are often much higher than other fixed rates, and are less popular with borrowers. But if you think you've found a really good loan, don't anticipate needing to exit the loan early and really value knowing exactly how much you'll pay, a 4- or 5-year fixed rate loan is an option.

Alex Holderness's headshot

"When buying my first home, I decided to go with a fixed rate so I could have security over how much I would have to pay back each month. I was lucky to lock in a fixed rate, just before the rate rises started. I was able to find a bank that also gave me an offset account – this helps me reduce my interest over time. When my fixed rate ends, I'm tempted to lock in another fixed rate to have that consistency in mortgage repayments."

Head of publishing

What to ask your bank before fixing your home loan

Nancy Youssef's tips for fixed rate home loans
Nancy Youssef is an award-winning finance broker and mentor.

Nancy Youssef, founder of Classic Home Loans, says there are questions to ask your bank or lender when fixing your home loan.

"There may be partial offset accounts available with some lenders for fixed rates, and although they are not 100%, they can be partially offsetting your savings. This is a niche with some lenders and not available with the majority," she says.

"There are also lenders who do allow additional repayments on fixed rates. And if you need to reduce payments for a period of time to interest only instead of principal and interest, some lenders will do it quite quickly as a variation to the contract, whereas others (especially in the current landscape) will need this submitted as a new credit application. If your situation is a little complicated or out of the ordinary, a conversation with your broker or bank is a good idea."

Breaking home loan

Can fixing be cheaper even after paying break costs?

Breaking a fixed rate loan to refinance to a lower rate can be expensive. But if your repayments get significantly lower after ending your fixed rate loan, you could still end up saving money in the long run.

This is more likely the case in an environment where interest rates have been falling, when you could find newer fixed rates at a lower rate than you're currently paying.
At the moment, with rising interest rates, the break costs may make it less cost effective.

Example: Say you have a 3-year fixed rate loan with 1 year left on the fixed period.

You fixed your rate at 6.00% and you have $400,000 remaining on your loan. The loan term is 30 years.

Because rates are lower now, you could find a rate of 4.80%. This is 120 basis points lower.

By using the lower rate you can get a rough estimate of your loan break costs.

The difference in your original fixed rate versus the new offer can stand in for the more complicated difference in funding costs (for a more comprehensive guide on break fee costs see here). The difference is 120 basis points, or 1.20%.

The following is the basic break fee calculation:

  • Loan amount ($400,000) x fixed period remaining (1 year) x rate difference % (0.80%) = $4,800

Assuming that your break cost is $4,800, as in our example above, consider the potential savings if you switched to a much lower rate from a different lender. Let's say you break your old loan then get a variable rate loan with a rate of 4.80%.

In this scenario, you would pay the break fee but your repayments would shrink.

Old loanNew loan
Loan amount$400,000$400,000
Interest rate6.00%4.80%
Monthly repayment$2,399$2,099
Monthly savingN/A$300
Yearly savingN/A$3,600
Break cost$4,800N/A

In this situation it would take 16 months for you to make back the cost of the break fee.

Why you can trust Finder's home loan experts

freeEasy answers, without any calls. We know fixing is a big deal, but checking you're options and rates shouldn't have to be. We speak to home owners every month, and have put over 50 hours in creating this guide.
expert adviceRates obsessed. We track big banks, small banks, credit unions and digital banks because whether you're fixing up for 1 year or 3, even 1 decimal place could save you big bucks (without getting annoying calls!).
independentReady in any market .Lending rates verified from 180+ products day and night. Whether you're buying for the first time, or remembered refinacing at 3am - our rates are up-to-date.

More fixed rate home loan questions

Richard Whitten's headshot
John Pidgeon's headshot
To make sure you get accurate and helpful information, this guide has been edited by Richard Whitten and reviewed by John Pidgeon, a member of Finder's Editorial Review Board.
Sarah Megginson's headshot
Head of editorial

As an authority on all things personal finance, Sarah Megginson is passionate about helping you save money and make money. She is an editor and money expert with 20 years’ experience and an extensive background in property and finance journalism. Sarah holds ASIC RG146-compliant Tier 1 Generic Knowledge certification, and she's a regular media commentator, appearing weekly on TV (Sunrise, Channel 7 news, Nine news), radio (KIIS FM, Triple M, 3AW, 2GB, 6PR) and in digital and print media. See full bio

Sarah's expertise
Sarah has written 191 Finder guides across topics including:
  • Home loans
  • Personal finance
  • Budgeting and money-saving tips
  • Managing the cost of living

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22 Responses

    Default Gravatar
    BradleyMarch 12, 2022

    Want to refinance have a investment property through SMSF want to get another,are rates exspected to go up soon and what term should i fix

      AvatarFinder
      RichardMarch 18, 2022Finder

      Hi Bradley,

      The decision to fix your interest rate, or stick with a variable rate, depends on many factors. Rates may rise, but variable rates are often competitive compared to fixed rates. And these loans are easier to refinance too.

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

      If you do not have a preferred lender yet, you can view our guide on Refinancing Home Loans to see your options.

      Use the comparison table to compare and choose. Then click the Go to Site button to learn more and to apply.

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

      I hope this helps!

      Regards,
      Richard

    Default Gravatar
    laurenbaker@live.com.auAugust 13, 2019

    Are there any banks that will loan to a single mother receiving parenting payment and Family tax benefits A & B as well as weekly child support. I also have 2 thirds of the total value of the property as a deposit so for me it is more financially viable than to continue renting?

      Default Gravatar
      NikkiAugust 14, 2019

      Hi Lauren,

      Thanks for your inquiry. There are home loan options for single parents like you. Most lenders will only accept certain types of Centrelink payments and may not take the whole amount of your payment so carefully review the eligibility criteria of the loan before applying to increase your chances of approval. Read up on the terms and conditions and product disclosure statement and contact the bank should you need any clarifications about the policy.

      Regarding renting, this will ultimately depend on how your monthly income goes and how long you can afford to pay rent.

      A mortgage broker is the best person to reach out to see your options for home loans. They can give you a multitude of options according to your situation. In the meantime, to give you an idea of how your monthly repayments will go, you can use our home loan eligibility calculator.

      Hope this helps and reach out to us again for further assistance.

      Best,
      Nikki

    Default Gravatar
    MalkitMay 14, 2016

    I am already in fixed plan for 3 years. 1 and a half years have passed can I change my plan or my bank?

      AvatarFinder
      MarcMay 16, 2016Finder

      Hi there,

      Thanks for the question.

      Borrowers can leave a fixed rate home loan early, but doing so can come with expensive break fees. You can read our fixed-rate home loan break costs guide to learn more.

      I hope this helps,
      Marc

    Default Gravatar
    WaleedJune 21, 2015

    if buying a brand new home in Brisbane ,do I still have to pay stamp duty? and iam a first home buyer

      Default Gravatar
      JodieJune 22, 2015

      Hi Waleed,

      Thanks for your inquiry.

      First home buyer schemes vary between each state and territory nationwide, you may use this article on your state-by-state guide to the First Home Owners Grant.

      Stamp duty is also something that varies by state and territory country-wide, please see our page on how to work out your stamp duty for further information.

      To get the most accurate information it would be best to contact your local state revenue service.

      Regards
      Jodie

    Default Gravatar
    SharonMay 4, 2015

    Just wanted to ask all the things that need to be considered when getting a home loan. The things I can think of are
    Application fee
    On going fees
    Off set accounts

    What other things are there.
    Sharon

      AvatarFinder
      MarcMay 5, 2015Finder

      Hi Sharon,

      Thanks for the question.

      It’s great to see someone serious about home loan comparison.

      I would also add to this list:
      – Interest rate
      – Comparison rate
      – What type of interest rate you’d like e.g fixed, variable or split
      – Can you make extra repayments on your loan (important if you fix in a rate)
      – What level of customer service you need

      We have written a detailed guide on all of these factors in our home loans guide.

      I hope this helps,
      Marc

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