The UniBank My First Home Loan has a minimum loan amount of $25,000 and a maximum of $1 million. The loan has a maximum loan term of 40 years. Customers can borrow up to 98 per cent of the property value, although lender’s mortgage insurance is required on loans over 80 per cent.
Repayments can be made weekly, fortnightly or monthly as either principal and interest or interest-only payments. Additional repayments are unrestricted and customers can use a free redraw facility to access these payments.
Borrowers also have access to a 100 per cent offset account to use their savings account to reduce the amount of interest owed on the loan.
There is also a repayment pause option available for borrowers to take advantage of when they need a break from mortgage payments. The loan can also be split and customers can increase the loan amount, subject to approval.
The UniBank My First Home Loan is good for first homebuyers looking for the flexibility of a competitive variable rate loan with little fees and lots of repayment options.
The loan is not available to investors or refinancers but may suit first-time owner-occupiers with small deposits.
The UniBank My First Home Loan is a variable rate loan that is targeted only at first homebuyers.
It offers customers the common repayment features found in standard variable loans, such as free additional repayments, a redraw facility and an offset account, all of which may suit those looking to pay off their loan quickly or with more flexibility.
The loan also requires relatively tiny fees, including no upfront fees, and a fairly competitive interest rate, which may suit first homebuyers looking for a degree of simplicity and value for money in their loan.
Customers can also borrow up to 98 per cent of the property value, which is higher than that offered by most other loans and therefore may suit those with smaller deposits in the market for a home loan. The loan can also be repaid over a period of 40 years, which is longer than the maximum of 30 years generally offered by other lenders.
These options may give first homebuyers more freedom in their loan, but may also increase the amount of interest paid over the life of the loan and this should be factored in when looking at the UniBank My First Home Loan.
Ultimately, the UniBank My First Home Loan offers first homebuyers a lot of freedom and options in how they repay their mortgage but could end up stinging borrowers in the long term if the loan is stretched over 40 years and large amounts of interest are paid.
The UniBank My First Home Loan is a variable rate loan available only to first homebuyers.