HOME LOANS

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Comparison home loan interest rates

A comparison interest rate is also commonly known as the 'real rate', 'Annual Average Percentage Rate' or 'AAPR'.

It is important rate to consider the comparison rate when calculating your home loan repayments. This is because the comparison interest rate includes other additional fees and charges such as ongoing monthly or yearly fees and upfront fees such as application or establishment fees that you may incur depending on the loan.

The comparison rate will combine these fees with the interest rate and then create an average rate over the life of the loan. Comparison interest rates give you a more realistic interest rate and allow you to budget your expenses and repayments much more effectively.

The great news for consumers is that RateCity.com.au will always display the comparison rate for home loans so you can compare home loans including fees and charges. Insitutions are also now trying to get the advertised rate and comparison rate closer together which is great news for consumers.

Use RateCity's home loan calculator to compare interest rates and find repayments to suit your circumstances.

This is an information service. By browsing on the website and/or using our search tools, you are asking RateCity to provide you with information about products from multiple financial institutions. We will try to show you a range of products in response to your request for information. The search results do not include all providers and may not compare all features relevant to you, for further details refer to our FSCG. The rating shown is only one factor to take into account when considering these products. See the rating methodology. We not a credit provider, and in giving you product information we are not making any suggestion or recommendation to you about a particular credit product. If you decide to apply for a product, you will deal directly with a financial institution, and not with RateCity. Rates and product information should be confirmed with the relevant financial institution, and you should review the PDS before you decide to purchase. See our terms of use for further details. This advice is general and has not taken into account your objectives, financial situation or needs. Consider whether this advice is right for you.