Homestar Finance Fixed Rate Home Loan Review

Rates and Fees verified correct on December 8th, 2016

Enjoy the security of a fixed rate with no ongoing fees when you apply for the Homestar Finance Fixed Rate Home Loan.

If you enjoy the confidence of knowing how much your home loan repayments are going to be well into the future, the Homestar Finance Fixed Rate Home Loan may be the home loan for you.

With the ability to lock in a competitive interest rate for periods of between one and five years, not to mention the added bonus of no ongoing fees, this Fixed Rate Home Loan is designed to help you own your home sooner.

Interest Rate Max Insured LVR Max LVR
1 Year (Investor)
4.15% p.a.
Comparison Rate
4.06% p.a.
95% 85%
1 Year (Owner Occupier)
3.95% p.a.
Comparison Rate
3.75% p.a.
95% 80%
2 Years (Owner Occupier)
3.95% p.a.
Comparison Rate
3.79% p.a.
95% 80%
2 Years (Investor)
4.15% p.a.
Comparison Rate
4.09% p.a.
95% 85%
5 Years (Investor)
4.45% p.a.
Comparison Rate
4.29% p.a.
95% 80%
3 Years (Investor)
4.15% p.a.
Comparison Rate
4.12% p.a.
95% 80%
3 Years (Owner Occupier)
3.95% p.a.
Comparison Rate
3.83% p.a.
95% 80%
4 Years (Owner Occupier)
4.25% p.a.
Comparison Rate
3.97% p.a.
95% 80%
4 Years (Investor)
4.35% p.a.
Comparison Rate
4.21% p.a.
95% 80%
5 Years (Owner Occupier)
4.35% p.a.
Comparison Rate
4.06% p.a.
95% 80%
Product NameHomestar Fixed Rate Home Loan
Interest Rate TypeFixed
Comp Rate^ (p.a.)
Minimum Loan Amount$150,000
Maximum Loan Amount$2,000,000
Minimum Loan Term10 years
Maximum Loan Term30 years
Maximum LVR80%
Maximum Insured LVR95%
Mortgage Offset AccountYes
Loan Redraw FacilityNo
Split Loan FacilityYes
Fixed Interest OptionYes
Suitable for InvestmentYes
Extra RepaymentYes
Available as equity loan/line of creditNo
Repayment TypePrincipal & Interest and Interest Only Options
Application Fee$495
Lender's Legal Fee$330
Valuation Fee$0
Ongoing Fees$15 monthly ($180 p.a.)
Settlement Fee$300
Discharge Fee$535

Pros

  • $15 ongoing fee.
  • $0 valuation fee.
  • Maximum LVR of 95%.

Cons

  • Establishment fee of $495.
  • $300 settlement fee.
  • A $535 discharge fee when closing the loan.

Things to consider about Homestar Finance Fixed Rate Home Loan

This loan is designed for borrowers looking to buy an owner-occupied or investment property, as well as those looking to refinance an existing home loan. It’s also available for PAYG and self-employed borrowers who are able to provide acceptable proof of income and satisfy other eligibility criteria.

With no annual or monthly fees to worry about, the loan allows you to borrow up to $1 million and lock in your interest rate for one, two, three, four or five years.

Principal and interest repayments are offered as standard, but if you wish to make interest-only repayments, you can do so for five years and then have the option of renewing for another five-year period.

Features of the Homestar Finance Fixed Rate Home Loan

  • Maximum loan amount. This loan allows customers to borrow $1 million per property held as security, with a maximum of up to $2 million per borrower.
  • Maximum LVR. The maximum LVR on this loan is 95% for home purchases and 90% for refinancing. Lender’s Mortgage Insurance (LMI) is required if you borrow more than 80% LVR.
  • Split loan. If you want to combine the security of a fixed rate with the flexibility of a variable rate, a loan split option is available.
  • Flexible repayments. Principal and interest repayments can be made on a weekly, fortnightly or monthly basis while interest-only repayments are made monthly. Extra repayments without penalty are allowed up to a maximum of $10,000 per fixed term per year.
  • Loan terms. The terms of the Homestar Finance Fixed Rate Home Loan range from one to five years.

Fees

Fees you can avoid
  • Account keeping fee: $15
  • LMI: You are not required to pay LMI if you borrow less than 80% LVR.
Fees you can’t avoid
  • Application fee: $495. This covers the administrative costs of setting up your loan.
  • Fixed rate lock fee: . This fee is charged when you lock in the interest rate on your loan for a set term.
  • Break costs: Undetermined. This will vary depending on the size of your loan and the remaining debt.
  • Discharge admin fee: $535 plus third party costs. This covers the administration costs associated with preparing your loan discharge documents.

How to apply for the Homestar Finance Fixed Rate Home Loan

You can fill out an online enquiry form or phone Homestar Finance directly to discuss your borrowing requirements.

This loan is available to both PAYG and self-employed borrowers. PAYG applicants will need:

  • To have been working for at least 12 months
  • To provide payslips and full financial and tax assessment notice as evidence of income
  • To provide a PAYG payment summary

Self-employed applicants must:

  • Have been trading for at least two years
  • Provide bank statements as evidence of regular income
  • Provide a registered ABN

The Homestar Finance Fixed Rate Home Loan offers a range of attractive features and benefits to borrowers. But before you decide whether it’s the right loan for you, compare it with loans from several other lenders to ensure that you make an informed decision.


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Homestar Finance Fixed Rate Home Loan Review Interest Rate History vs RBA Cash Rate Graph


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This page was last modified on 8 June 2016 at 14:18.

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Homestar Fixed Rate Home Loan

  • Interest Rate

    N/A

  • Comparison Rate

    N/A

  • App Fee / Annual Service Fee

    $495 / $15

  • Max LVR

    80%

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