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Compare cheap home loans

Compare mortgages and calculate mortgage repayments - Data last updated Today, 22 Oct 2017

Compare cheap home loans

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Advertised rate
Comparison rate*
Monthly repayment
Real Time Rating™
Estimated upfront fees
Minimum deposit %
Offset account
Redraw facility
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Compare some of the cheapest home loans in Australia across both standard and variable interest rate loans. When looking for a cheap home loan, make sure you look at every factor that makes up an affordable home loan, from interest rates to upfront fees.

Remember, just because a home loan has the lowest rate, it doesn’t necessarily make it the cheapest. A good way of checking is to look at the comparison rate which factors in most of the fees a home loan product might include. You may find it’s just as expensive in the long-run.

What makes a cheap home loan?

Remember, just because a home loan has the lowest rate, it doesn’t necessarily make it the cheapest. A good way of checking is to look at the comparison rate which factors in most of the fees a home loan product might include. You may find it’s just as expensive in the long-run.

What if I have a bad credit history?

Cheap home loans with bad credit history can be challenging to find. If you find yourself in this situation, spend some time building up your credit history, or look at lenders who specialise in non-conforming loans or low-doc loans.

A cheap mortgage can be hard to come by but if you spend some time comparing the options you will find something that fits your budget and saves you money. Beware that you will often be charged a higher interest rate as you will be considered a risk by the lending institution.

What are some other important features of a loan?

There are also multiple other features of a home loan to consider before you settle on one purely based on a low interest rate or cheap fees. Features such as an offset account might include a monthly fee, but if you are going to use it regularly it could ultimately end up saving you $1000’s.

Other examples of features you should be comparing are redraw facilities and the ability to make extra repayments on both a regular and irregular basis. What will really make your home loan a cheap home loan is paying down the principal as much as possible and as soon as possible.

As interest on home loans is compounded daily the amount that you repay and the frequency that you repay it will significantly reduce not only the principal amount but the interest you are yet to pay.

Read more handy hints on how to save money on a cheap home loan

FAQs

The comparison rate is a more inclusive way of comparing home loans that factors in not only on the interest rate but also the majority of upfront and ongoing charges that add to the total cost of a home loan.

The rate is calculated using an industry-wide formula based on a $150,000 loan over a 25-year period and includes things like revert rates after an introductory or fixed rate period, application fees and monthly account keeping fees.

In Australia, all lenders are required by law to publish the comparison rate alongside their advertised rate so people can compare products easily.

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