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The Rock Building Society Fixed Rate Loan

Features

The Rock Building Society Fixed Rate Home Loan has a choice of one, two, three or five year fixed terms with very low to moderate fixed interest rates for shorter to longer terms if you’re an owner-occupier and very low to moderately high rates if you’re an investor depending on the term and how much you’re borrowing.

There is a small deposit requirement for this loan, however, you will not only have to pay the higher range of fixed rates offered but also the cost of lenders mortgage insurance for deposits smaller than 20 per cent.

Repayments can be made on a weekly, fortnightly or monthly basis as principal and interest repayments and you can choose the interest-only option where you’ll only pay the interest due on your loan for a certain period.

You can also make additional repayments up to a certain amount per year without penalty while being able to access these early repayments through the redraw facility, which is free to use online. This loan can also be split up to six times between variable and fixed portions.

The Fixed Rate Home Loan is available for new home or investment property purchases, refinancing or for construction, though there is no progressive drawdown facility to suit builders.

Who is the The Rock Building Society Fixed Rate Loan good for?

The Rock Building Society Fixed Rate Home Loan could be good for borrowers wanting the stability of a fixed interest rate with some added flexibility in how they repay their loan. Investors may be attracted by the interest-only repayment option while the small deposit requirement could attract first home buyers.

However, the high upfront cost and higher rates for smaller deposits might make this more suitable for investors with the funds to cover these costs or for borrowers with a greater deposit.

Review - What RateCity says

The Rock Building Society Fixed Rate Home Loan could be a great option with lower rates available and features such as an interest-only period, construction facility, loan split option, early repayments and a redraw facility.

However, the lack of a 100 per cent offset account and higher rates offered for smaller deposit sizes makes it worthwhile to research your options and figure out exactly what you want in your home loan and what your borrowing power is in order to see if the Fixed Rate Home Loan will pay off for you in the long run. It is also worth noting that once the fixed rate period is over the loan reverts to a rather high variable rate, which may mean you’ll end up paying more in interest over the life of your loan.

The Rock Building Society Fixed Rate Loan Options

The Rock Building Society Fixed Rate Home Loan is offered to owner-occupiers and investors at different fixed terms with rates that vary depending upon the size of your deposit.

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Fixed Rates from

3.69%

Advertised rate

5.37%

Comparison rate
Pros
  • Very low fixed interest rates available.
  • Interest-only option.
  • Early repayments and redraws allowed.
Cons
  • High upfront cost.
  • Reverts to high variable interest rate.
  • No 100 per cent offset account.
Eligibility

Must meet minimum borrowing amount.

Must be able to provide proof of income.

Must be over 18 years of age.

Must meet serviceability criteria.

Suitable For
  • First Home Buyers
  • Owner-Occupiers
  • Refinancers
  • Investors
Fees
  • Estimated upfront fees: $950
  • Discharge fees: $380
  • Ongoing fees: $5 monthly

The Rock Building Society Fixed Rate Home Loan has a high upfront cost in application, establishment and third party fees, a small ongoing monthly fee and a moderate discharge fee due at the end of your loan. And, while the monthly fee seems small in the short run, it’s worth working out the maths to see how much you will end up paying for this ongoing fee since the maximum term on this loan is up to 30 years.

Features
  • Redraw facility
  • 100% offset account
  • Unlimited extra repayments
  • Weekly repayments
  • Fortnightly repayments
  • Monthly repayments
  • Loan allows split interest rate
About The Rock Building Society

The Rock Building Society is based in Queensland and is part of MyState Bank. Specialising in home loans, The Rock Building Society lends to customers throughout Australia and provides branch services across Queensland as well as internet and phone banking and account access.

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