| 5.99 | % p.a. |
| 5.90 | % p.a. |
| 6.04 | % p.a. |
| 6.06 | % p.a. |
| 6.29 | % p.a. |
| 6.20 | % p.a. |
We put every effort into ensuring information on Finder is accurate. This article was reviewed by James Millard from our Editorial Review Board as part of our fact checking process.
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 variable rate home loans, you can see how each product stacks up against other variable rate loans with the same borrower type and repayment type.
Read the full Finder Score breakdown
Don't settle for a third-rate home loan. Make sure you get the best variable rate home loan deal by looking at 4 things:
The interest rate determines how expensive your repayments will be. The lower the rate, the better.
Most home loans have some fees, but some have almost none. The key ones to watch out for are application fees, monthly fees and settlement fees.
If you're looking to finance an investment property then you will need an investment loan.
If you're buying (or refinancing) a loan for your home then you need an owner-occupier home loan.
Variable rate loans come with the most features. You can make extra repayments to pay the loan off faster. And most variable rate loans have a redraw facility too.
Some variable rate loans have an offset account, which functions like a bank account. But instead of earning interest on the savings it reduces your loan's interest charges and gets you out of debt faster.
If you have a variable loan, it's a great idea to also have an offset account. While that can mean extra costs, it allows you to offset your savings against your loan and can save a lot in a high-interest world.
Graham Cooke
Head of consumer insights
There's never really a "best" time to get a variable rate home loan. When rates are falling, variable rate loans can work out better.
Fixed rate loans are great when rates are rising fast. That was the case in 2022–23. But now rates have stayed where they are for a while, and it is unclear whether the next move will be a rise or a fall.
When deciding between fixed and variable it's more important to think about how comfortable you are with the current rate and whether you can afford more rate rises.
A variable rate loan is really about flexibility: paying the loan off faster via an offset account or extra repayments.
And it's about being able to exit the loan or refinance without paying a break fee.
Most Australian borrowers choose a variable rate. According to the AFG Index, just 1.6% of borrowers chose a fixed rate in the last 3 months.
Australian borrowers don't have to pick between variable and fixed. Many lenders allow you to split your loan into fixed and variable portions.
I'm team variable interest rate all the way. I don't fix my rate and I don't bother with a split rate either. For me, the value of a variable rate loan's flexibility and getting the full benefit of an offset account is so important. I can refinance whenever I need without penalty and if I decide to sell or make a big change that requires a new loan, it's so much easier.— Richard Whitten, money editor
This graph shows how the lowest variable rate loan has compared to the lowest fixed rate loan over the last few years.
Fixed vs variable rates: What are the differences?
Every month, our home loan experts analyse more than 50 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 a scoring system that awards a higher score for loans with the lowest rates and fewest fees.
All our picks are from lenders with whom Finder has a commercial partnership. The best home loan looks a little different for every borrower and our picks may not be the best option for your situation.
Here are the variable rate home loans that won recognition at the 2024 Finder Home Loan Awards.
To determine the winner of Finder's Home Loan Provider of the Year award, we examine the home loans offered by lenders from across the market. That includes big and small banks, credit unions and online lenders. We examine the rates, fees and features of owner-occupier and investor loans to judge how competitive the loans are for each lender. And this year Easy Street won. All its loans offer competitive rates and low fees, putting it ahead of some lenders that won many individual home loan awards.
Tiimely's Live in 10% deposit Variable Rate - Principal & Interest with offset home loan won this year's Best Owner Occupier Variable Home Loan Finder Award with its consistently low interest rate, almost zero fees and an offset account. It has been one of the market's lowest variable rates all year, despite rising interest rates.
Tiimely's Live in 10% deposit Variable Rate - Principal & Interest with offset wins the coveted Best First Home Buyer Home Loan award for 2024. This loan is a clear winner because it combines one of the market's consistently lowest interest rates with very low fees and an optional 100% offset account. It's especially attractive for first home buyers because it's available with a 10% deposit.
Tiimely's Live in 10% deposit Variable Rate - Principal & Interest with offset takes out the top spot for the Owner Occupier Home Loan - Refinance Variable for the same reasons it has won several other awards in 2024: a low variable rate, low fees and 100% offset account. It's a loan that's just as useful for refinancers as it is for new borrowers.
Bendigo Bank's Live in Express Variable Home Loan - (Investor, P&I) offers a competitive variable interest rate for property investors, which is not something every lender offers. Fees are low and there's also an offset account, making this loan a useful option for investors who aren't making interest-only payments.
G&C Mutual Bank's Momentum Home Loan - LVR 60 to 80% Special Offer (Investor, IO) is Finder's 2024 winner for Best Investor IO Variable Home Loan category. This loan offers a low interest rate with minimal fees. While interest charges and fees are tax-deductible for investors, it still pays to get a more competitive loan.
You pay nothing. Finder is free to use. And you pay the same as going direct. No markups, no hidden fees. Guaranteed.
You save time. We spend 100s of hours researching home loans so you can sort the gold from the junk faster.
You compare more. Our comparison tools bring you cheaper, better home loans from across the market.
His hilarious and deeply insightful book, Insufficient Funds, furthers his mission of empowering individuals through financial literacy with a relatable approach.
For first home buyers, there’s a range of grants, incentives and programs that could help you into your own home sooner than later.
After 13 interest rate rises from the RBA the rate of inflation is finally slowing. What does this mean for the future of interest rates?
Home loan cashback deals can help you refinance to a cheaper interest rate and get a lump sum cash payment. Compare the latest deals and check your eligibility today.
Work out how much you need to earn to buy a house in any Australian suburb.
Our comprehensive guide to home loan statistics.
In the market for a home or investment? The right buyer's agent could save you thousands. Learn what a buyer's agent does, how much it will cost and more.
You may be able to get a low deposit home loan with just a 5% cash deposit. Here are the lenders who are more likely to lend you a 95% loan.
Compare reverse mortgages and work out if this type of retirement finance is right for you.
Learn how you can set up an SMSF fund, compare SMSF home loans and buy an investment property in your super today.
What is an offset account? It can save you thousands in interest and help you own your home sooner.
We have a current Reverse Mortgage with Bankwest which was established several years ago. Can you tell me what the current rate is we would be incurring and if it is a Variable Rate and any hidden charges involved.
Hi Keith,
Thanks for getting in touch! It is helpful to know that while we compare variable rate home loans on our page, we do not have the actual current rate is per lender and in this case, Bankwest. It would be best to get in touch with your preferred lender to obtain more information on monthly repayments.
Hope this clarifies! Feel free to reach out to us again for further assistance.
Best,
Nikki
I am wanting to consolidate all my outstanding into my home loan. I also want to change my financial institution to have a better lower interest rate. Also will it be better to have variable or fixed with what I am wanting to do? Please can you help?
Thanks
Hi NH,
Thanks for getting in touch with Finder. I hope all is well with you. :)
Let me address your concerns one by one.
1. I am wanting to consolidate all my outstanding into my home loan.
You may want to consider refinancing to consolidate debt. This type of home loan allows you to pay out your credit card and personal loans under your mortgage. Instead of paying off multiple debts, you pay off all of your debts with one home loan repayment each month. This also means your debts are only charged at a home loan interest rate – which can be much lower than a credit card or personal loan interest rate.
2. I also want to change my financial institution to have a better lower interest rate.
Please refer to the guide I shared with you above. When you’re on the page, please refer to the table under the subheading “Which lenders offer debt consolidation options when refinancing?” By doing so, you will see different financial institutions that might be able to help you.
3. Also will it be better to have variable or fixed with what I am wanting to do?
While we can’t provide personalised recommendations, it would be a good idea to know the difference between fixed and variable home loans.
On that page, you will know more about variable and fixed interest home loans, which include their advantages and disadvantages.
Finally, please speak to a mortgage broker to help you explore your different options. They have the right skills and knowledge to ensure you make the right decision.
I hope this helps. Should you have further questions, please don’t hesitate to reach us out again.
Have a wonderful day!
Cheers,
Joshua
How many financial institution offer construction loans and what are things to look out for before choosing a financial institution.
Hi Safia,
Thanks for reaching out to Finder.
You may want to check out lenders from our Construction Loans page. It also includes tips and information on how to choose a construction loan and some other frequently asked questions which you can find at the bottom of the page.
Before applying, please ensure that you meet the eligibility criteria and requirements and to read the details, as well as the relevant Product Disclosure Statements/ Terms and Conditions of the option before making a decision and consider whether the product is right for you.
Once you’ve chosen a lender, you may click on “Go to Site” to be directed to their main website where you can start your application.
Best,
Maria
So I just re-financed my home to go to a cheaper rate at a diffrent bank and my property got valued at 600.000 when I only have 300,000 left on property so where does the other 300,000 go.can I take some for me and put in on top of the loan for eg: 50k for me then loan will be 350,000 instead of 300,000 since I don’t need the whole 600,000 to move over
Hi James,
Thanks for your question.
The difference of $300,000 is your home equity which you can use for investment purposes or for a wide variety of reasons such as pay up-front university fees for your children, for an extended overseas holiday, or home repairs and cosmetic renovations. For more details, please feel free to read our guide on refinancing home loans.
Cheers,
Liezl
Hi If I reach retirement age and still have a home loan of say $100000, what is the longest term you can pay interest only repayments?
Thanks
Carol
Hi Carol,
thanks for the question.
This will depend on the lender, as each will have its own unique lending criteria. It might be a good idea to consult a mortgage broker to find out the longest term available to you for your situation.
I hope this helps,
Marc.