The Teachers Mutual Bank My First Home Loan has a minimum loan amount of $25,000 and a maximum loan term of 40 years. Customers can borrow up to 98 per cent of the value of the property, although lenders mortgage insurance is required on loans over 80 per cent. Repayments can be made weekly, fortnightly and monthly as either principal and interest or interest-only. Additional repayments are permitted and customers can access these payments through a free redraw facility. There is also a 100 per cent offset account for those looking to use their savings to minimise the interest paid on the loan.
Borrowers have the option for a repayment pause and can increase the loan amount via a top up facility. The loan can also be split and can be used as a construction loan with interest-only payments.
The Teachers Mutual Bank My First Home loan is good for first homebuyers wanting the flexibility of a variable rate loan with no upfront or ongoing fees.
The Teachers Mutual Bank My First Home Loan is a variable rate loan for first homebuyers that offers a lot of repayment options without charging fees. Customers have access to an offset account, can make unrestricted additional repayments and use a redraw facility to access these payments, as well as the option to pause repayments. These features may give homebuyers a lot of flexibility in how and when they repay their loan and may suit those looking to pay off their mortgage quickly.
The main downside to this loan is its higher than average variable interest rate. That said, other products on the market may offer a lower variable rate, but it is worth looking at whether these lower cost loans have the flexibility you need, including the extremely low deposit requirement.
The Teachers Mutual Bank My First Home Loan is a variable rate loan available to first homebuyers.