The best mortgages

RateCity StaffNov 19, 2008( 2 min read )

Home Loans

How to negotiate yourself a better deal: Three tips for borrowers

A home loan is often the biggest financial commitment you’ll take on in your life, which means there are few excuses to not go in prepared to bargain for the best deal.

Sep 20, 2016( 3 min read )

Home Loans

The fixed versus variable home loan debate

Choosing between variable, fixed and split rate home loans can be like engaging in the chance game of paper, rocks, scissors. Choosing your opponents next move can be just as hard as trying to predict the property market and interest rate changes.

Apr 10, 2017( 5 min read )

Home Loans

What is a non-bank lender?

A non-bank lender is a financial institution that offers mortgages and other types of loans, but which doesn’t hold a banking licence.

Jan 4, 2018( 3 min read )

Home Loans

What is a cooling off period, and how do they work?

A cooling off period is a length of time that follows signing a contract to purchase property, during which a buyer can choose to terminate the agreement without being in breach of contract and losing their deposit. This gives you a window of opportunity to change your mind about a property purchase if your circumstances change, or you decide it’s not right for you.

May 8, 2020( 4 min read )

When choosing the most fitting mortgage for you remember that each loan is targeted at a different profile, so there is no black and white advice as to what is a ‘good’ or ‘bad’ home loan. Therefore it is important that you shop around to find a loan that is ‘good’ for you.

Common home loan types

Basic home loan. Generally good interest rates. They are similar to standard variable home loans but tend to have less features
Fixed rate home loan. The interest rate will be fixed for the agreed term, usually from 1 to 3 years
Variable rate home loan. Most common loan type in Australia due to its flexibility and features
Low-Doc Home Loan. Suitable for people who are self-employed and can’t provide the usual amount of paperwork required to show a regular income stream
Interest only home loan. Can be used for owners living in the property but is more suitable for investment property. Borrower only has to pay the interest on the balance. For more information see our article on interest only home loans
No Deposit Home Loan. Applicant borrows the full purchasing price of a property without any initial deposit. The loan-to-value ratio is 100%.

To compare a large range of competitive Australian home loans visit our online comparison page and work out your finances with the home loan repayment calculator. For all the latest home loan related tips and information read our news articles and home loan guides.

RateCity Staff

Today's top home loans products

Discount Offer Variable Home Loan OO P&I ($200k+)

Real Time Rating™

2.82 / 5

Advertised Rate

Comparison Rate*

2.59%

Variable

2.59%

No upfront or ongoing fees
Extra repayments + redraw services
Free redraw facility
Repayments may decrease if RBA cuts rates

View Now

Discount Variable Home Loan ($150k+) (LVR < 80%)

Real Time Rating™

2.22 / 5

Advertised Rate

Comparison Rate*

2.78%

Variable

2.80%

No ongoing fees
Parents can sign as guarantor
Extra repayments + redraw services
Repayments may decrease if RBA cuts rates

View Now

Fixed Rate Classic Home Loan (Principal and Interest) 2 Years

Real Time Rating™

1.64 / 5

Advertised Rate

Comparison Rate*

2.29%

Fixed - 2 years

2.74%

Cashback

$2000 Refinance cashback

View Now

Yard Home Loan (Principal and Interest)

Real Time Rating™

2.67 / 5

Advertised Rate

Comparison Rate*

2.66%

Variable

2.69%

No ongoing fees
100% full offset account
Parents can sign as guarantor
Extra repayments + redraw services

Enquire Now

FAQs

Tip: You can use RateCity how much can I borrow calculator to get a quick answer.

How much money you can borrow for a home loan will depend on a number of factors including your employment status, your income (and your partner’s income if you are taking out a joint loan), the size of your deposit, your living expenses and any other debt you might hold, including credit cards.

A good place to start is to work out how much you can afford to make in monthly repayments, factoring in a buffer of at least 2 – 3 per cent to allow for interest rate rises along the way. You’ll also need to factor in additional costs that come with purchasing a property such as stamp duty, legal fees, building inspections, strata or council fees.

If you are planning on renting the property, you can factor in the expected rental income to help offset the mortgage, but again it’s prudent to add a significant buffer to allow for rental management fees, maintenance costs and short periods of no rental income when tenants move out. It’s also wise to factor in changes in personal circumstances – the typical home loan lasts for around 30 years and a lot can happen between now and then.

The best mortgages

Related articles

How to negotiate yourself a better deal: Three tips for borrowers

The fixed versus variable home loan debate

What is a non-bank lender?

What is a cooling off period, and how do they work?

Today's top home loans products

Discount Offer Variable Home Loan OO P&I ($200k+)

Discount Variable Home Loan ($150k+) (LVR < 80%)

Fixed Rate Classic Home Loan (Principal and Interest) 2 Years

Yard Home Loan (Principal and Interest)

Popular home loans searches

FAQs