Fix your home loan rate and start budgeting with confidence.
UBank UHomeLoan Fixed Rate
UBank UHomeLoan - 1 Year Fixed Rate (Owner Occupier, P&I)
fixed rate
comparison rate
UBank UHomeLoan Fixed Rate
Apply for a one year fixed rate offer with no ongoing bank fees.
- Interest rate of 3.59% p.a.
- Comparison rate of 4.14% p.a.
- Application fee of $395
- Maximum LVR: 80%
- Minimum borrowing: $100,000
- Max borrowing: $1,000,000
Compare the latest fixed rate home loans below
Compare the latest fixed rate home loans below
Compare the latest fixed rate home loans below
Compare the latest fixed rate home loans below
Compare the latest fixed rate home loans below
Aussie Home Loans is both a lender and a mortgage broker, and offers a range of services.
- FREE Suburb and Property Report with every appointment.
- Access 3,000+ loans from over 20 lenders.
- Get expert help with your loan application, including paperwork and eligibility.
- Over 1000 brokers who are able to help you in your local area.
The Adviser’s number 1 placed mortgage broker 5 years running (2013-2017)
UBank UHomeLoan Fixed Rate
UBank UHomeLoan - 1 Year Fixed Rate (Owner Occupier, P&I)
fixed rate
comparison rate
UBank UHomeLoan Fixed Rate
Apply for a one year fixed rate offer with no ongoing bank fees.
- Interest rate of 3.59% p.a.
- Comparison rate of 4.14% p.a.
- Application fee of $395
- Maximum LVR: 80%
- Minimum borrowing: $100,000
- Max borrowing: $1,000,000
Compare fixed rates
- UBank UHomeLoan - 3 Year Fixed Rate (Owner Occupier, P&I) - 4.01% p.a. comparison rate. A low rate available for refinancers only.
- Greater Bank Ultimate Home Loan - Discounted 3 Year Fixed LVR ≤90% ($150K+ Owner Occupier) - 4.52% p.a. comparison rate. A low rate loan offering package discounts. Borrowers in QLD, NSW and ACT only.
- AMP Basic Package Fixed Loan - 3 Years (Owner Occupier, P&I) - 4.38% p.a. comparison rate. This loan has a 100% offset account and a low deposit option.
How does a fixed rate benefit borrowers?
A fixed rate home loan benefits those who want to budget with confidence and don’t want their repayments rising due to higher interest rates. A fixed rate home loan can be a good option for
borrowers who want to budget with certainty, first home buyers who are adapting to the routine of making regular repayments, and investors who want to ensure that their cash flow isn't affected by rising interest rates.
If you fix your rate at the bottom of the market, you can reap the benefit of a secure and competitive rate when the rest of the market bears the risk of higher interest rates.
Hypothetical case study: Phoebe locks in her rate
Phoebe and her husband have decided to purchase a property in West Pennant Hills, NSW. After speaking with a local mortgage broker, Phoebe learns that she needs to borrow $790,000 to complete the purchase.
After comparing different home loans recommended by her broker, Phoebe is torn about whether they should opt for a fixed rate or a variable rate mortgage. Phoebe knows that she and her husband anticipate to have children in the near future and as a result she is concerned about how they would manage their repayments if interest rates rose.
While she is drawn to the competitive features offered with a variable rate loan, such as a 100% offset account and the ability to make additional repayments without penalty, Phoebe believes that the certainty and security of a fixed rate loan will better suit their lifestyle.
She decides to lock in a competitive rate of 4.57% over a 5 year term.
What are the pros and cons of a fixed rate mortgage?
A range of benefits and drawbacks are associated with a fixed rate home loan which are discussed below.
Pros
- Repayment certainty. One of the benefits of opting for a fixed-rate home loan is that it offers you the peace of mind in knowing what your periodic repayments will be. This allows you to budget more effectively as repayments remain the same until the fixed rate period ends.
- Security. With a fixed-rate home loan you are protected from interest rate rises as your interest rate is locked in for the specified term.
- Flexible loan terms. Fixed-rate mortgages are available from many Australian lenders with a variety of fixed loan terms available.
Cons
- Limited features. Fixed rate loans don't have a lot of flexibility compared to variable rate mortgages. Most lenders don’t offer fixed home loans with 100% redraw facilities or 100% offset accounts, but it is possible to find some that do.
- Break costs. If you decide to break out of a fixed rate loan before the end of the specified term, you may face a significant break cost.
- Lower rates. If the RBA slashes the cash rate, you could end up with a higher rate compared to variable home loans on the market.
Learn more about the benefits and drawbacks of fixed and variable rate loans.
When is it not a good idea to opt for a fixed rate?
As interest rates are unpredictable, you generally shouldn’t take out a fixed rate loan if you are simply trying to beat the market-- this should not form the basis of your decision. A fixed interest rate may not be a good idea if you:
- Plan to increase your loan
- Intend to sell your property
- Want to make additional repayments
- Want to refinance to a variable rate loan during the fixed term
- Want competitive and flexible features such as a 100% offset account and a redraw facility
Different fixed rate scenarios
Let's look at some different situations to see if a fixed rate home loan is suitable.
I'm planning to move houses soon, does a fixed rate home loan suit me?
It's best to avoid moving out until the fixed term has finished to avoid refinancing. Refinancing during the fixed rate period and will incur break costs.
One option is to opt for a fixed rate home loan that comes with a portability option that lets you transfer your existing loan to the new property.
I'm currently stuck with a fixed rate home loan that has a high interest rate. Can I refinance?
Unfortunately, refinancing during the fixed term period will incur a range of fees. However, if your current interest rate is very high, it may be worth refinancing to a lower interest rate.
Use our switching costs calculator to help you calculate whether refinancing your loan now will end up saving or costing you money.
You can also find out: what happens if you break a fixed rate loan contract
Can I negotiate a fixed interest rate?
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