ANZ

Fixed Rate Investment Loan

Advertised Rate

7.64%

p.a Fixed - 7 years

Comparison Rate*

6.61%

p.a

Maximum LVR
80%
Real Time Rating™

1.23

/ 5
Monthly Repayment

$2,244

based on $300,000 loan amount for 25 years at 7.64%

Advertised Rate

7.64%

p.a Fixed - 7 years

Comparison Rate*

6.61%

p.a

Maximum LVR
80%
Real Time Rating™

1.23

/ 5
Monthly Repayment

$2,244

based on $300,000 loan amount for 25 years at 7.64%

Calculate your repayments for this loan

I'd like to borrow

$

Loan term

years

Your estimated repayment

$2,244

based on $300,000 loan amount for 25 years at 7.64%

ANZ home loans are available through brokers who can help find the right loan and manage your application at no charge.

John Fulford

5.0
3 Reviews

Get expert advice from a home loans specialist.

John enjoy’s helping people achieve their goals and has a passion for property. For 2 years now at Newcastle Finance Brokers he has been helping people find the best products and loans to suit his clients. John holds his Cert IV and Diploma in Finance & Mortgage broking. You can contact John via email john@newcastlefinancebrokers.com.au or call on 0412282330.

Response time: in 33 minutes | Our brokers call during business hours between 9.00am to 6.00pm.

Christopher Godwin

5.0
36 Reviews

Get expert advice from a home loans specialist.

Christopher Godwin is an experienced mortgage broker based in Sutherland Shire New South Wales. He has a long track record of helping first home buyers and investors. He is a specialist in land and construction loans.

Response time: in 31 minutes | Our brokers call during business hours between 9.00am to 6.00pm.

Rajiv Saha

5.0
10 Reviews

Get expert advice from a home loans specialist.

I have a wealth of experience in the Financial Services industry. I have completed Bachelor of Business Administration and MBA with a major in Finance and currently hold a Diploma and Certificate IV in Finance & Mortgage Broking. Having started my Mortgage Broking career as a Credit Representative of Connective Group, I held various positions both in Australia and overseas with companies include Bank of Queensland, Standard Chartered Bank and IDLC Finance Ltd. I also hold a professional membership with Finance Broker Association of Australia (FBAA) and Australian Financial Complaint Authority (AFCA). Just before joining Yellow Brick Road, I was the Finance Consultant of Investor Solution Australia Pty Ltd, Parramatta, NSW - 2150. By joining Yellow Brick Road, I saw the opportunity to assist the local community with day to day finance requirements and realise the long-cherished property dream.

Response time: in 30 minutes | Our brokers call during business hours between 9.00am to 6.00pm.

Promoted

Pros and Cons

Pros and Cons

    • Limited extra repayments
    • No redraw and no offset
    • Higher than average interest rate
    • Loan reverts to higher rate after fixed period

    Features and Fees

    ANZ Features and Fees

    Details

    Maximum LVR

    80%

    Total Repayments

    Interest rate type

    Fixed - 7 years

    Borrowing range

    Suitable for

    Investors

    Loan term range

    1 - 30 years

    Principal & interest

    Interest only

    Applicable states

    ACT, NSW, NT, QLD, SA, TAS, VIC, WA

    Make repayments

    Fortnightly, Monthly, Weekly

    Features

    Extra repayments

    Yes - limited to $5000 per year

    Redraw facility

    Split interest facility

    Loan portable

    Repayment holiday available

    Allow guarantors

    Available for first home buyers

    Fees

    Total estimated upfront fees

    $910

    Application fee

    $600

    Valuation fee

    $150

    Settlement fee

    $160

    Other upfront fee

    $0

    Ongoing fee

    $10 monthly

    Discharge fee

    $160

    Application method

    Online

    Phone

    In branch

    Other Restrictions

    Only 1 year fixed has offset account

    Pros and Cons

      • Limited extra repayments
      • No redraw and no offset
      • Higher than average interest rate
      • Loan reverts to higher rate after fixed period

      ANZ Features and Fees

      Details

      Maximum LVR

      80%

      Total Repayments

      Interest rate type

      Fixed - 7 years

      Borrowing range

      Suitable for

      Investors

      Loan term range

      1 - 30 years

      Principal & interest

      Interest only

      Applicable states

      ACT, NSW, NT, QLD, SA, TAS, VIC, WA

      Make repayments

      Fortnightly, Monthly, Weekly

      Features

      Extra repayments

      Yes - limited to $5000 per year

      Redraw facility

      Split interest facility

      Loan portable

      Repayment holiday available

      Allow guarantors

      Available for first home buyers

      Fees

      Total estimated upfront fees

      $910

      Application fee

      $600

      Valuation fee

      $150

      Settlement fee

      $160

      Other upfront fee

      $0

      Ongoing fee

      $10 monthly

      Discharge fee

      $160

      Application method

      Online

      Phone

      In branch

      Other Restrictions

      Only 1 year fixed has offset account

      Did you know ?

      You can share these results by embeding it on any page you like.

      FAQs

      What is a fixed home loan?

      A fixed rate home loan is a loan where the interest rate is set for a certain amount of time, usually between one and 15 years. The advantage of a fixed rate is that you know exactly how much your repayments will be for the duration of the fixed term. There are some disadvantages to fixing that you need to be aware of. Some products won’t let you make extra repayments, or offer tools such as an offset account to help you reduce your interest, while others will charge a significant break fee if you decide to terminate the loan before the fixed period finishes.

      What is the difference between a fixed rate and variable rate?

      A variable rate can fluctuate over the life of a loan as determined by your lender. While the rate is broadly reflective of market conditions, including the Reserve Bank’s cash rate, it is by no means the sole determining factor in your bank’s decision-making process.

      A fixed rate is one which is set for a period of time, regardless of market fluctuations. Fixed rates can be as short as one year or as long as 15 years however after this time it will revert to a variable rate, unless you negotiate with your bank to enter into another fixed term agreement

      Variable rates is that they are typically more flexible than their fixed rate counterparts which means that a lot of these products will let you make extra repayments and offer features such as offset accounts however fixed rates do offer customers a level of security by knowing exactly how much they need to set aside each month.

      What is the difference between fixed, variable and split rates?

      Fixed rate

      A fixed rate home loan is a loan where the interest rate is set for a certain amount of time, usually between one and 15 years. The advantage of a fixed rate is that you know exactly how much your repayments will be for the duration of the fixed term. There are some disadvantages to fixing that you need to be aware of. Some products won’t let you make extra repayments, or offer tools such as an offset account to help you reduce your interest, while others will charge a significant break fee if you decide to terminate the loan before the fixed period finishes.

      Variable rate

      A variable rate home loan is one where the interest rate can and will change over the course of your loan. The rate is determined by your lender, not the Reserve Bank of Australia, so while the cash rate might go down, your bank may decide not to follow suit, although they do broadly follow market conditions. One of the upsides of variable rates is that they are typically more flexible than their fixed rate counterparts which means that a lot of these products will let you make extra repayments and offer features such as offset accounts.

      Split rates home loans

      A split loan lets you fix a portion of your loan, and leave the remainder on a variable rate so you get a bet each way on fixed and variable rates. A split loan is a good option for someone who wants the peace of mind that regular repayments can provide but still wants to retain some of the additional features variable loans typically provide such as an offset account. Of course, with most things in life, split loans are still a trade-off. If the variable rate goes down, for example, the lower interest rates will only apply to the section that you didn’t fix.

      What is an interest-only loan? How do I work out interest-only loan repayments?

      An ‘interest-only’ loan is a loan where the borrower is only required to pay back the interest on the loan. Typically, banks will only let lenders do this for a fixed period of time – often five years – however some lenders will be happy to extend this.

      Interest-only loans are popular with investors who aren’t keen on putting a lot of capital into their investment property. It is also a handy feature for people who need to reduce their mortgage repayments for a short period of time while they are travelling overseas, or taking time off to look after a new family member, for example.

      While moving on to interest-only will make your monthly repayments cheaper, ultimately, you will end up paying your bank thousands of dollars extra in interest to make up for the time where you weren’t paying off the principal.

      If I don't like my new lender after I refinance, can I go back to my previous lender?

      If you wish to return to your previous lender after refinancing, you will have to go through the refinancing process again and pay a second set of discharge and upfront fees. 

      Therefore, before you refinance, it’s important to weigh up the new prospective lender against your current lender in a number of areas, including fees, flexibility, customer service and interest rate.

      Can I refinance if I have other products bundled with my home loan?

      If your home loan was part of a package deal that included access to credit cards, transaction accounts or term deposits from the same lender, switching all of these over to a new lender can seem daunting. However, some lenders offer to manage part of this process for you as an incentive to refinance with them – contact your lender to learn more about what they offer.

      Will I have to pay lenders' mortgage insurance twice if I refinance?

      If your deposit was less than 20 per cent of your property’s value when you took out your original loan, you may have paid lenders’ mortgage insurance (LMI) to cover the lender against the risk that you may default on your repayments. 

      If you refinance to a new home loan, but still don’t have enough deposit and/or equity to provide 20 per cent security, you’ll need to pay for the lender’s LMI a second time. This could potentially add thousands or tens of thousands of dollars in upfront costs to your mortgage, so it’s important to consider whether the financial benefits of refinancing may be worth these costs.

      Is there a limit to how many times I can refinance?

      There is no set limit to how many times you are allowed to refinance. Some surveyed RateCity users have refinanced up to three times.

      However, if you refinance several times in short succession, it could affect your credit score. Lenders assess your credit score when you apply for new loans, so if you end up with bad credit, you may not be able to refinance if and when you really need to.

      Before refinancing multiple times, consider getting a copy of your credit report and ensure your credit history is in good shape for future refinances.

      How does an offset account work?

      An offset account functions as a transaction account that is linked to your home loan. The balance of this account is offset daily against the loan amount and reduces the amount of principal that you pay interest on.

      By using an offset account it’s possible to reduce the length of your loan and the total amount of interest payed by thousands of dollars. 

      Example: If you have a mortgage of $500,000 but holding an offset account with $50,000, you will only pay interest on $450,000 rather then $500,000.

      When should I switch home loans?

      The answer to this question is dependent on your personal circumstances – there is no best time for refinancing that will apply to everyone.

      If you want a lower interest rate but are happy with the other aspects of your loan it may be worth calling your lender to see if you can negotiate a better deal. If you have some equity up your sleeve – at least 20 per cent – and have done your homework to see what other lenders are offering new customers, pick up the phone to your bank and negotiate. If they aren’t prepared to offer you lower rate or fees, then you’ve already done the research, so consider switching.

      How do I refinance my home loan?

      Refinancing your home loan can involve a bit of paperwork but if you are moving on to a lower rate, it can save you thousands of dollars in the long-run. The first step is finding another loan on the market that you think will save you money over time or offer features that your current loan does not have. Once you have selected a couple of loans you are interested in, compare them with your current loan to see if you will save money in the long term on interest rates and fees. Remember to factor in any break fees and set up fees when assessing the cost of switching.

      Once you have decided on a new loan it is simply a matter of contacting your existing and future lender to get the new loan set up. Beware that some lenders will revert your loan back to a 25 or 30 year term when you refinance which may mean initial lower repayments but may cost you more in the long run.

      What is equity? How can I use equity in my home loan?

      Equity refers to the difference between what your property is worth and how much you owe on it. Essentially, it is the amount you have repaid on your home loan to date, although if your property has gone up in value it can sometimes be a lot more.

      You can use the equity in your home loan to finance renovations on your existing property or as a deposit on an investment property. It can also be accessed for other investment opportunities or smaller purchases, such as a car or holiday, using a redraw facility.

      Once you are over 65 you can even use the equity in your home loan as a source of income by taking out a reverse mortgage. This will let you access the equity in your loan in the form of regular payments which will be paid back to the bank following your death by selling your property. But like all financial products, it’s best to seek professional advice before you sign on the dotted line.

      What is the difference between offset and redraw?

      The difference between an offset and redraw account is that an offset account is intended to work as a transaction account that can be accessed whenever you need. A redraw facility on the other hand is more like an “emergency fund” of money that you can draw on if needed but isn’t used for everyday expenses.

      What is an investment loan?

      An investment loan is a home loan that is taken out to purchase a property purely for investment purposes. This means that the purchaser will not be living in the property but will instead rent it out or simply retain it for purposes of capital growth.

      Does Australia have no cost refinancing?

      No Cost Refinancing is an option available in the US where the lender or broker covers your switching costs, such as appraisal fees and settlement costs. Unfortunately, no cost refinancing isn’t available in Australia.

      Will I be paying two mortgages at once when I refinance?

      No, given the way the loan and title transfer works, you will not have to pay two mortgages at the one time. You will make your last monthly repayment on loan number one and then the following month you will start paying off loan number two.

      How is interest charged on a reverse mortgage from IMB Bank?

      An IMB Bank reverse mortgage allows you to borrow against your home equity. You can draw down the loan amount as a lump sum, regular income stream, line of credit or a combination. The interest can either be fixed or variable. To understand the current rates, you can check the lender’s website.

      No repayments are required as long as you live in the home. If you sell it or move to a senior living facility, the loan must be repaid in full. In some cases, this can also happen after you have died. Generally, the interest rates for reverse mortgages are higher than regular mortgage loans.

      The interest is added to the loan amount and it is compounded. It means you’ll pay interest on the interest you accrue. Therefore, the longer you have the loan, the higher is the interest and the amount you’ll have to repay.

      When does Commonwealth Bank charge an early exit fee?

      When you take out a fixed interest home loan with the Commonwealth Bank, you’re able to lock the interest for a particular period. If the rates change during this period, your repayments remain unchanged. If you break the loan during the fixed interest period, you’ll have to pay the Commonwealth Bank home loan early exit fee and an administrative fee.

      The Early Repayment Adjustment (ERA) and Administrative fees are applicable in the following instances:

      • If you switch your loan from fixed interest to variable rate
      • When you apply for a top-up home loan
      • If you repay over and above the annual threshold limit, which is $10,000 per year during the fixed interest period
      • When you prepay the entire outstanding loan balance before the end of the fixed interest duration.

      The fee calculation depends on the interest rates, the amount you’ve repaid and the loan size. You can contact the lender to understand more about what you may have to pay. 

      When do mortgage payments start after settlement?

      Generally speaking, your first mortgage payment falls due one month after the settlement date. However, this may vary based on your mortgage terms. You can check the exact date by contacting your lender.

      Usually your settlement agent will meet the seller’s representatives to exchange documents at an agreed place and time. The balance purchase price is paid to the seller. The lender will register a mortgage against your title and give you the funds to purchase the new home.

      Once the settlement process is complete, the lender allows you to draw down the loan. The loan amount is debited from your loan account. As soon as the settlement paperwork is sorted, you can collect the keys to your new home and work your way through the moving-in checklist.

      How long does ANZ take to approve a home loan?

      The process of applying for a home loan usually stays the same across all lenders. On the other hand, the time it takes for a lender to approve the home loan differs from lender to lender. When it comes to ANZ, it takes anywhere between 15 to 18 business days to approve a home loan from the day of the application to approval. This timeframe is highly dependent on the credibility and availability of your documentation. You can apply for an ANZ home loan in two ways; a Quick Start home loan application or a full online application.

      If you opt for the Quick Start home loan option, you’ll need to fill out a form with basic details. During this stage, you don’t need to add any supporting information. An ANZ representative will then call you within 48 hours. The representative will help take your application forward, including assessing all relevant information, documentation and conducting a credit check.

      You can also submit your entire home loan application with ANZ online by filling out a comprehensive form with all the information and documentation needed.

      Once ANZ has conducted the preliminary checks, you’ll be informed of the pre-approved amount they’re willing to offer. Based on this amount, you can set a budget for your property search and make sure you stay inside your budget. Pre-approval will last for three months but can be extended by applying with ANZ if you don’t find a property. But it’s best to find a property as soon as possible as ANZ may decide to change the amount if your financial situation changes.

      After you find a property and have your offer accepted, ANZ may send an assessor to the property to verify it’s value. If everything is per their terms and conditions, ANZ will finalise your home loan’s approval and release the funds.