Many of Australia’s banks recently offered to put home loan payments on hold while their customers dealt with the coronavirus pandemic. Many of these mortgage holidays could be taken for up to six months, often with a review at the three-month mark.
However, with social distancing restrictions starting to be relaxed in selected areas, some lenders may be eager to get the mortgage market moving once again. For example, NAB has started contacting its customers about ending their mortgage holidays early, which could potentially help to minimise the long-term cost of capitalised interest charges.
If you’re on a mortgage holiday that may soon be coming to an end, or have been putting off your dreams of home ownership, it could be worth looking at the home loan market to see what offers and options are available. There are many lenders eager for your business, whether you’re buying your first home or refinancing. Depending on your situation, you may be able to enjoy low interest rates and fees, access to flexible home loan features, or even cashback deals and other special offers.
To get you started, here’s a selection of leading home loans, as ranked by RateCity’s Real Time Ratings™ system in May 2020:
(Rankings are correct at the time of publishing. Please note lenders may trade places on the list as interest rates and fees change and RateCity’s tracker reflects these movements.)
Best variable rate home loans
While many of Australia’s leading banks kept their variable interest rates on hold following the RBA’s last emergency cut to the nation’s cash rate, that doesn’t mean there aren’t plenty of low-interest home loans to consider. It’s also important to think about the flexibility of a home loan’s features, and not just its low rate.
Best home loans from large banks
Australia’s biggest banks may be able to offer you more than just a home loan. Several home loan package deals let you bundle your mortgage with other financial services, and enjoy discounted fees and improved overall value.
Best home loans from new lenders
There are plenty of challenger lenders that offer competitive home loan alternatives to the big banks, from online-only neobanks to local credit unions and mutuals.
Where can I find the best home loans every day?
One simple way to keep track of leading home loans is to keep an eye on RateCity’s Home Loan Leaderboards, which list the top-rated home loans in different categories every day, according to our Real Time Ratings™ system.