Homestar Finance Basic Refinance Loan

Features

Homestar has designed this particular home loan product with bargain hunters in mind, with variable rates starting at the low end of the scale.

You will, however, have to clear some eligibility criteria before being able to apply for Homestar Finance Basic Refinance Loan. For starters you must be borrowing under $500,000 and have at least 30 per cent in equity, along with a clean credit history.

However, if you meet this criteria, you can enjoy a very low variable interest rate and no ongoing fees, although there are relatively high entry and exit costs.

This home loan gives you the option to schedule your payments around your salary frequency with either weekly, fortnightly or monthly repayments. Choosing a more frequent repayment may also help you to save on interest.

There is no 100 per cent offset account offered on this loan, but you can pay your loan off early by making additional repayments whenever you’d like without penalty.

And, you do have the option to split your loan with a fixed rate option, but be aware that the unlimited extra repayment option may not apply to all portions of your split loan.

Who is the Homestar Finance Basic Refinance Loan good for?

If you meet the eligibility criteria, the Homestar Basic Refinance Loan can be good if you are looking for a lower interest rate.

It could also be a suitable option if your current home loan is packed with extra features for which you pay an annual fee for, since the Basic Refinance Loan offers simplicity without any frills.

Review - What RateCity says

If you’re looking for a more competitive interest rate than your existing lender is prepared to offer you then the Homestar Basic Refinance Loan is a hard one to move past especially with the option to repay your loan early for free.

However, the upfront and discharge cost for this loan can add up to a significant amount, so it’s best that you look closely into your own needs and finances and the overall total cost of your loan to see if you can really save by switching to the Homestar Basic Refinance Loan.

Homestar Finance Basic Refinance Loan Options

Read more about the Basic Refinance Loan from Homestar Finance at the link below.

Pros
  • Very low variable interest rate.
  • Early repayments and redraws allowed.
  • Split loan option.
Cons
  • High entry and exit fees.
  • Maximum loan amount of $500,000.
  • Requires 30 per cent equity.
Eligibility

Must be refinancing an owner-occupied property.

Must have 30 per cent equity.

Must have a clean credit history.

Must meet serviceability criteria.

About Homestar Finance

Homestar Finance is not a bank – instead it concentrates solely on offering home loans to borrowers. Homestar Finance does not have any branches, however customers can talk to a representative by phone or in person through their mobile home loan consultants.

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