Aussie doesn’t charge an upfront fee on its Optimizer Plus Variable Rate Loan, setting it apart from many lenders. Another plus is that Aussie offers you a lower interest rates the less you borrow as a proportion of your property’s value. So if you’ve got a big deposit, you can take advantage of very competitive interest rates and borrow more.
Another big plus is that you can get a 100 per cent offset facility and there are no electronic or counter transaction fees on the account. This is a great home loan facility as savings in this account are offset daily against your outstanding home loan balance, helping you to reduce interest costs on your mortgage.
You can make unlimited additional repayments on your loan at any time for free. There is also no fee to redraw this money, provided you do so online or via phone banking, and you observe the minimum redraw amount.
The minimum loan amount is relatively high and Aussie will assess the maximum amount on a case-by-case basis, but generally this amount depends on the proportion of your property’s value that you’re borrowing. If your deposit is less than 20 per cent, make sure you factor in the cost of lenders mortgage insurance.
You can choose between variable or fixed home loans or split a home loan between different loan types at no additional cost. Up to six home loan splits are available and Aussie doesn't charge for this, which is a big plus as some other lenders may charge you a few hundred dollars to split your loan.
The Aussie Optimizer Plus Variable Loan could be good if you have reasonable deposit as you can get a competitive interest rate and borrow more. The loan may suit owner-occupiers or investors given its flexible features and repayment options. While interest rates charged on investor loans are slightly higher, that is now typical among home lenders.
The large minimum loan amount may put off those refinancing smaller home loans. In addition, Aussie applies quite strict maximum loan amounts so if you don't have a big deposit, you might not be able to borrow as much as you need and as much as other home lenders might allow.
If you’re after a fancy variable rate loan that offers flexibility and economy at the same time, then the Aussie Optimizer Plus Variable Rate loan may suit first or established owner-occupiers or investors. The lack of an upfront fee on the Aussie Optimizer Plus Variable Rate loan could appeal to owner-occupiers and investors and it sets the loan apart.
The added extras on the Aussie Optimizer Plus Variable Rate loan, such as an offset account and free unlimited repayments, can help you cut interest costs substantially over the life of your loan. Though, the large minimum loan amount may put off those refinancing smaller home loans or first home buyers after a smaller loan. And, make sure you assess the impact of the ongoing monthly fee and other fees which may apply.
Aussie’s Optimizer Plus Variable Loan comes in a range of options available through the corresponding links.