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Some of the best home loans for owner occupiers in January 2021

Some of the best home loans for owner occupiers in January 2021

Could 2021 be the year you buy your first home? Or are you overdue to refinance the mortgage on your home? In any case, you’ll want a home loan that suits your needs.

The recession in 2020 led to changes to Australia’s home loan markets, with many lenders slashing interest rates for new customers. To help you get a better idea of which of these home loan offers may best suit different financial situations, our Home Loan Leaderboards rank mortgages in different categories, based on their Real Time Ratings™.

(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 small deposit home loans

It’s not a secret that last year’s recession did a number on the finances of many Australians. Between job losses and slashed interest rates on savings accounts, it’s become harder for many Australians to save up a sizable deposit for a home loan. However, there are still mortgage offers available that let you buy with a deposit as small as 5 per cent, though you’ll still need to consider the cost of Lenders Mortgage Insurance (LMI).

Company
Product

Momentum Home Loan

Real Time Rating™

3.97

/ 5

Winner of Best Small Deposit Home Loan, RateCity Gold Awards 2022

Interest Rate

2.94

% p.a

Variable

Comparison Rate*

2.96

% p.a

Repayment

$1,413

monthly

Real Time Rating™

3.97

/ 5
Go to site

Winner of Best Small Deposit Home Loan, RateCity Gold Awards 2022

Company
Product

Basic Variable Rate (Flexi First Option) Home Loan

Real Time Rating™

3.63

/ 5

Winner of Best Small Deposit Home Loan, RateCity Gold Awards 2022

Interest Rate

2.74

% p.a

Intro 24 months

Comparison Rate*

3.08

% p.a

Repayment

$1,445

monthly

Real Time Rating™

3.63

/ 5
Go to site

Winner of Best Small Deposit Home Loan, RateCity Gold Awards 2022

Company
Product

Freedom Variable

Real Time Rating™

2.19

/ 5
Interest Rate

3.76

% p.a

Variable

Comparison Rate*

3.78

% p.a

Repayment

$1,544

monthly

Real Time Rating™

2.19

/ 5
Go to site
Company
Product

Basic Home Loan

Real Time Rating™

2.73

/ 5
Interest Rate

3.34

% p.a

Variable

Comparison Rate*

3.38

% p.a

Repayment

$1,476

monthly

Real Time Rating™

2.73

/ 5
Go to site
Company
Product

Bare Essentials (Principal and Interest)

Real Time Rating™

2.74

/ 5

Winner of Best Small Deposit Home Loan, RateCity Gold Awards 2022

Interest Rate

3.34

% p.a

Variable

Comparison Rate*

3.43

% p.a

Repayment

$1,476

monthly

Real Time Rating™

2.74

/ 5
Go to site

Winner of Best Small Deposit Home Loan, RateCity Gold Awards 2022

Best refinancing home loan

Banks and mortgage lenders slashed their mortgage rates over the course of 2020, but these low rates may not be easily accessible to all Australians. For example, while first home buyers may struggle to afford a deposit of 30 or 40 per cent of a property’s value to qualify for a low-rate home loan, existing owner occupiers who have had a chance to build up some equity in their properties may be in a position to refinance onto one of these deals.

Company
Product

Star Gold Home Loan

Real Time Rating™

4.64

/ 5

Winner of Best Refinance Home Loan, RateCity Gold Awards 2022

Interest Rate

2.44

% p.a

Variable

Comparison Rate*

2.49

% p.a

Repayment

$1,337

monthly

Real Time Rating™

4.64

/ 5
Go to site

Winner of Best Refinance Home Loan, RateCity Gold Awards 2022

Company
Product

Standard Variable Home Loan

Real Time Rating™

4.71

/ 5

Winner of Best Refinance Home Loan, RateCity Gold Awards 2022

Interest Rate

2.49

% p.a

Variable

Comparison Rate*

2.49

% p.a

Repayment

$1,344

monthly

Real Time Rating™

4.71

/ 5
Go to site

Winner of Best Refinance Home Loan, RateCity Gold Awards 2022

Company
Product

Freedom Variable

Real Time Rating™

4.45

/ 5
Interest Rate

2.59

% p.a

Variable

Comparison Rate*

2.62

% p.a

Repayment

$1,359

monthly

Real Time Rating™

4.45

/ 5
Go to site
Company
Product

Dream Value Home Loan

Real Time Rating™

3.52

/ 5

Winner of Best Refinance Home Loan, RateCity Gold Awards 2022

Interest Rate

2.94

% p.a

Variable

Comparison Rate*

3.31

% p.a

Repayment

$1,413

monthly

Real Time Rating™

3.52

/ 5
Go to site

Winner of Best Refinance Home Loan, RateCity Gold Awards 2022

Company
Product

Momentum Home Loan

Real Time Rating™

4.36

/ 5

Winner of Best Refinance Home Loan, RateCity Gold Awards 2022

Interest Rate

2.74

% p.a

Variable

Comparison Rate*

2.76

% p.a

Repayment

$1,382

monthly

Real Time Rating™

4.36

/ 5
Go to site

Winner of Best Refinance Home Loan, RateCity Gold Awards 2022

Best home loans for over $1 million

Recent CoreLogic figures show that property prices finished 2020 strong, and that this momentum could continue into 2021. While dwelling values in several capitals are yet to return to their peaks, to buy a home in some of these cities you may still need a mortgage for $1 million or more.

Company
Product

Live-in Variable (With Offset)

Real Time Rating™

4.22

/ 5

Winner of Best Home Loans Over 1m, Best Refinance Home Loan, Best Variable Home Loan, RateCity Gold Awards 2022

Interest Rate

2.59

% p.a

Variable

Comparison Rate*

2.73

% p.a

Repayment

$1,359

monthly

Real Time Rating™

4.22

/ 5
Go to site

special

Rate Match Guarantee. Tic:Toc will match the rate on identical variable P&I home loans. T&C's Apply.

Winner of Best Home Loans Over 1m, Best Refinance Home Loan, Best Variable Home Loan, RateCity Gold Awards 2022

Company
Product

Standard Variable Home Loan

Real Time Rating™

4.62

/ 5

Winner of Best Home Loans Over 1m, Best Variable Home Loan, RateCity Gold Awards 2022

Interest Rate

2.54

% p.a

Variable

Comparison Rate*

2.54

% p.a

Repayment

$1,352

monthly

Real Time Rating™

4.62

/ 5
Go to site

Winner of Best Home Loans Over 1m, Best Variable Home Loan, RateCity Gold Awards 2022

Company
Product

Freedom Variable

Real Time Rating™

4.26

/ 5

Winner of Best Home Loans Over 1m, Best Variable Home Loan, RateCity Gold Awards 2022

Interest Rate

2.69

% p.a

Variable

Comparison Rate*

2.82

% p.a

Repayment

$1,375

monthly

Real Time Rating™

4.26

/ 5
Go to site

Winner of Best Home Loans Over 1m, Best Variable Home Loan, RateCity Gold Awards 2022

Company
Product

The Essentials Low Rate Home Loan

Real Time Rating™

3.64

/ 5
Interest Rate

2.94

% p.a

Variable

Comparison Rate*

3.11

% p.a

Repayment

$1,413

monthly

Real Time Rating™

3.64

/ 5
Go to site
Company
Product

Momentum Home Loan

Real Time Rating™

3.97

/ 5

Winner of Best Small Deposit Home Loan, RateCity Gold Awards 2022

Interest Rate

2.94

% p.a

Variable

Comparison Rate*

2.96

% p.a

Repayment

$1,413

monthly

Real Time Rating™

3.97

/ 5
Go to site

Winner of Best Small Deposit Home Loan, RateCity Gold Awards 2022

Best packaged home loans

It’s important to remember that there’s much more to a home loan than just its interest rate. The right home loan features and benefits can make a big difference to your financial situation. Some mortgage lenders offer additional value by bundling other financial products and services with their home loans, allowing borrowers to benefit from discounted or waived fees, cashback and more.

Company
Product

Ultimate

Real Time Rating™

3.03

/ 5
Interest Rate

3.09

% p.a

Variable

Comparison Rate*

3.52

% p.a

Repayment

$773

monthly

Real Time Rating™

3.03

/ 5
Go to site

special

Borrow up to 110% of the property value using the guarantor feature
Company
Product

Offset Home Loan

Real Time Rating™

2.54

/ 5
Interest Rate

3.34

% p.a

Variable

Comparison Rate*

3.60

% p.a

Repayment

$835

monthly

Real Time Rating™

2.54

/ 5
Go to site
Company
Product

Dream Value Home Loan

Real Time Rating™

3.52

/ 5

Winner of Best Refinance Home Loan, RateCity Gold Awards 2022

Interest Rate

2.94

% p.a

Variable

Comparison Rate*

3.31

% p.a

Repayment

$1,413

monthly

Real Time Rating™

3.52

/ 5
Go to site

Winner of Best Refinance Home Loan, RateCity Gold Awards 2022

Company
Product

Variable Loan Package

Real Time Rating™

2.14

/ 5
Interest Rate

3.64

% p.a

Variable

Comparison Rate*

3.59

% p.a

Repayment

$910

monthly

Real Time Rating™

2.14

/ 5
Go to site

Best home loans from newer lenders

It’s also important to compare a range of different options before deciding on a home loan. While Australia’s big four banks offer several popular mortgages, there are also plenty of alternative options, including home loans from newer, smaller lenders, such as online-only neobanks.

Company
Product

Owner Occupier Accelerates - Celebrate (Principal and Interest)

Real Time Rating™

4.14

/ 5
Interest Rate

2.64

% p.a

Variable

Comparison Rate*

2.64

% p.a

Repayment

$1,367

monthly

Real Time Rating™

4.14

/ 5
Go to site
Company
Product

Savvy First Home Buyer Loan

Real Time Rating™

3.32

/ 5
Interest Rate

2.97

% p.a

Variable

Comparison Rate*

3.77

% p.a

Repayment

$1,418

monthly

Real Time Rating™

3.32

/ 5
Go to site
Company
Product

First Home Loan

Real Time Rating™

2.16

/ 5
Interest Rate

3.49

% p.a

Variable

Comparison Rate*

3.53

% p.a

Repayment

$873

monthly

Real Time Rating™

2.16

/ 5
Go to site
Company
Product

Neat Home Loan

Real Time Rating™

3.80

/ 5
Interest Rate

2.64

% p.a

Variable

Comparison Rate*

2.65

% p.a

Repayment

$1,367

monthly

Real Time Rating™

3.80

/ 5
Go to site

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This article was reviewed by Personal Finance Editor Georgia Brown before it was published as part of RateCity's Fact Check process.

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