Enjoy a competitive rate with no application fees.
Whether you’re purchasing a new home or refinancing an existing one, the Basic Home Loan from Macquarie could be a suitable home loan. It has no application or monthly fees, and a redraw facility to help you access any extra payments you make.
| Product Name | Macquarie Bank Basic Home Loan |
|---|---|
| Interest Rate Type | Variable |
| Comp Rate^ (p.a.) | |
| Minimum Loan Amount | $150,000 |
| Maximum Loan Amount | $2,000,000 |
| Minimum Loan Term | 30 years |
| Maximum Loan Term | 30 years |
| Mortgage Offset Account | No |
| Loan Redraw Facility | Yes |
| Split Loan Facility | Yes |
| Suitable for Investment | Yes |
| Extra Repayment | Yes |
| Available as equity loan/line of credit | No |
| Repayment Type | Principal & Interest and Interest Only Options |
| Application Fee | $0 |
|---|---|
| Lender's Legal Fee | $363 |
| Valuation Fee | $0 |
| Ongoing Fees | $0 p.a. |
| Settlement Fee | $0 |
| Discharge Fee | $400 |
Pros
- $0 application and ongoing fees.
- Interest only options available.
- Fee free redraws of extra repayments made.
Cons
- No offset account available.
- $400 discharge fee when you close your home loan.
- Legal fees from $363.
Things to consider about the Macquarie Bank Basic Home Loan.
The Basic Home Loan is suited to people wishing to buy or refinance a home. It can also be used to make improvements to an existing home or to invest in an additional property. As mentioned, this loan is a no frills loan, so it doesn't come with an offset account or other expensive options. As a result of this the rates and fees offered are competitive.
Features of the Macquarie Bank Basic Home Loan
- No application fee. All Macquarie Basic Home Loans are managed without an application fee or management fees.
- Loan amount and term. The maximum loan amount is $2,000,000 with a Loan-to-Value Ratio (LVR) of up to 80% however if you are borrowing a maximum of $600,000 you can have an LVR up to 95%. The maximum loan period for this loan is 30 years.
- Optional credit card. The Macquarie Visa RateSaver credit card is available as an option with this loan. No annual fee applies to this card as long as the loan is held.
- Interest-only repayments. Borrowers have the option of paying back only the interest on the principal, an alternative for those wishing to resell quickly or who receive tax benefits on the interest.
- Free redraw facility. The redraw facility allows borrowers to send excess funds to an account where it works to reduce the interest on the loan. Borrowers can also use this facility to access funds whenever necessary.
Fees
Fees you can avoid
- Application and management fees. Borrowers are not charged these fees when taking out the Basic Home Loan.
- General consent fees: $60. This fee is charged for switching from interest-only to principal repayments and vice versa, opening additional accounts and for variations on the loan like a principal increase or partial releases.
- Contractual arrears fee: $50. As long as repayments are made on time, borrowers are exempt from paying this fee.
Fees you can't avoid
- Mortgage discharge fee: $400. This fee is levied once the loan has been repaid or at the end of the loan period. This covers the administration involved in finalising and closing the account.
- Registration fee. This fee varies depending on what state or territory the property is located and is payable to the government for the registration of certain documents pertaining to the loan.
How to apply for the Macquarie Basic Home Loan
Required information includes:
- Proof of salary as well as any other sources of income
- Information on the price of the house and the deposit to be put down
- Details of living expenses, including any savings, debts or other outgoing that may affect your ability to pay back the loan
- Purpose of the loan, whether it is for owner occupier or an investment property
- Positive identification, including photo id and contact details
The Basic Home Loan is a no-frills mortgage offered by Macquarie Bank. With no application fees, no management fees and interest-rate options that allow the borrowers to choose how they'd like to repay their loan, borrowers can be in control of when and how much they repay.
I started a new job 6 weeks ago and am on 6 months probation before becoming permanent. Prior to this I was employed ongoing for 3 years with the same company. My bank will not give me a home loan (even thought I qualify financially) until my probation period has expired. Are there any banks that would consider my application? If so, who should I try?
Hi Mary,
Thanks for your message and for visiting finder – the leading comparison website & general information service built to give you advice in your buying decision needs. How are you doing today?
Each lender has its own application and lending criteria but despite this, the basics of the home loan application process are similar no matter which lender you apply with.
Regarding income and employment, the amount of income you earn will have a huge impact on the amount you can borrow. You’ll need to provide multiple recent payslips that show your name, your employer’s name, and your annual salary or a year-to-date figure. Some lenders will require your most recent income tax return or a signed letter from your employer explaining your occupation, how long you have been employed by the company and your annual salary.
For more information, you may view this page on how to apply for a home loan.
Hope this was helpful. Don’t hesitate to message us back if you have more questions.
Cheers,
Nikki
What is the minimum amount you can borrow and minimum term of the loan.
Hi Peter!
Thanks for your message and for contacting finder.
For the Macquarie Basic Home Loan, the minimum borrowing amount is $150,000 and the maximum term of the loan is 30 years.
We don’t have any information on the minimum loan term. What you can do is click the green “enquire now” button to ask about this.
Hope this helps!
Best regards,
Nikki