You may have noticed that it’s a bit of a weird time to buy property just now, whether as a first home buyer, an upsizer or a downsizer. Lockdown restrictions have affected property supply and demand in different areas, not to mention buyer and seller confidence. Plus, homeowner priorities have been shifting, swinging away from units and apartments and more towards detached housing.
If you’re in a position to buy a property as an owner occupier, or to refinance the mortgage rate you’re paying on your home, you’ll need the right home loan to match your needs. Here are some of the top-rated home loan on RateCity in mid-August 2020, according to our Real Time Ratings™ Leaderboards:
(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
Even though the RBA hasn’t changed the national cash rate since the emergency rate cut in March, mortgage lenders have been slashing their variable home loan interest rates in recent months to attract new customers.
Some have started adding special bonus offers to the mix, such as cashback deals. For example, Reduce Home Loans is offering between $1000 and $10,000 in cash back on selected loans, depending on the size of your mortgage and other terms and conditions.
Company | Product Well Balanced Real Time Rating™ Winner of Best Variable Home Loan, RateCity Gold Awards 2022 | Interest Rate  1.85 % p.a Variable | Comparison Rate* 1.88 % p.a | Repayment $1,250 monthly | Real Time Rating™ | Go to site | Winner of Best Variable Home Loan, RateCity Gold Awards 2022 |
Company | Product Standard Variable Home Loan Real Time Rating™ Winner of Best Home Loans Over 1m, Best Variable Home Loan, RateCity Gold Awards 2022 | Interest Rate 1.87 % p.a Variable | Comparison Rate* 1.87 % p.a | Repayment $1,253 monthly | Real Time Rating™ | 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™ Winner of Best Home Loans Over 1m, Best Variable Home Loan, RateCity Gold Awards 2022 | Interest Rate 2.19 % p.a Variable | Comparison Rate* 2.23 % p.a | Repayment $1,299 monthly | Real Time Rating™ | Go to site | Winner of Best Home Loans Over 1m, Best Variable Home Loan, RateCity Gold Awards 2022 |
Company | Product Owner Occupied Variable Home Loan (Interest Only) Real Time Rating™ | Interest Rate 2.64 % p.a Variable | Comparison Rate* 2.67 % p.a | Repayment $660 monthly | Real Time Rating™ | Go to site |
Best packaged home loans
Sometimes you can get a good deal on your home loan by not only switching your mortgage, but your other banking services too. A home loan package deal may let you bundle a mortgage, savings account, credit card and more, and pay just one package fee for the lot.
You may also be able to benefit from other special offers, such as Suncorp’s offer of cash back along with its home loan package deal.
Company | Product AMP Bank Professional Package Home Loan (Principal and Interest) ($100k+) (Owner Occupied) (LVR ≤ 80%) Real Time Rating™ | Interest Rate 2.34 % p.a Variable | Comparison Rate* 2.75 % p.a | Repayment $1,322 monthly | Real Time Rating™ | Go to site | Cashback $3000 cashback for customers purchasing a new home with AMP Bank ~ Ends in 11 days |
Company | Product Offset Home Loan Real Time Rating™ | Interest Rate 2.39 % p.a Variable | Comparison Rate* 2.67 % p.a | Repayment $1,329 monthly | Real Time Rating™ | Go to site |
Best home loans from new lenders
When you’re comparing home loan deals, after you’ve looked at the banks you know, it’s often worthwhile checking out some unfamiliar options too, such as newcomers to the home loan market. Some smaller banks and non-bank lenders are competing with the big banks by offering attractive home loan deals, including cashback offers. This includes digital only offers such as online banks and app-based neobanks.
Company | Product Owner Occupier Accelerates - Liberate (Principal and Interest) Real Time Rating™ | Interest Rate 2.24 % p.a Variable | Comparison Rate* 2.18 % p.a | Repayment $1,307 monthly | Real Time Rating™ | Go to site | |
Company | Product Own Home Loan Variable Real Time Rating™ | Interest Rate 2.24 % p.a Variable | Comparison Rate* 2.53 % p.a | Repayment $1,307 monthly | Real Time Rating™ | Go to site |
Best home loans with small deposits
Saving up a large enough deposit to secure a home loan can be a real challenge, especially in a pandemic-inspired recession. Depending on your financial situation and where you plan on buying property, saving up the 20 per cent deposit required to secure some of the best home loans could end up being more trouble than it’s worth.
If you’re eager to get a foot onto the property ladder sooner rather than later, some banks offer home loans with a small minimum deposit, sometimes requiring just 5 per cent of the property value. This can help minimise the saving you’ll need to do before you apply for a mortgage, though you may need to pay for Lender’s Mortgage Insurance (LMI) or get some help from a guarantor to secure your loan when you apply.
Company | Product Basic Home Loan Real Time Rating™ Winner of Best Small Deposit Home Loan, RateCity Gold Awards 2022 | Interest Rate 2.14 % p.a Variable | Comparison Rate* 2.26 % p.a | Repayment $1,292 monthly | Real Time Rating™ | Go to site | special Establishment fee waived on Basic Home Loans of $150k+Winner of Best Small Deposit Home Loan, RateCity Gold Awards 2022 |
Company | Product First Home Loan Real Time Rating™ | Interest Rate 3.19 % p.a Variable | Comparison Rate* 3.24 % p.a | Repayment $798 monthly | Real Time Rating™ | Go to site |
