Reduce Home Loans Home Loans
Reduce Home Loans is 100 per cent dedicated to home loans, offering no other financial services. It’s also primarily online, and this simple business model helps Reduce Home Loans keep running costs down and deliver low interest rates.
This Australian owned and operated lender only opened in 2010, so it’s a relative newcomer. However, Reduce Home Loans has won many business awards since, including Money Magazine’s cheapest non-bank home loan in 2016, 2017 and 2018.
Reduce Home Loans home loans
| Product | Advertised rate | Upfront fee | Comparison rate* | Ongoing fee | Go To Site |
|---|---|---|---|---|---|
Advertised rate 3.44% Variable | Upfront fee $1060.00 | Comparison rate* 3.44% | Ongoing fee $0 | Details Compare | |
Advertised rate 3.49% Variable | Upfront fee $470.00 | Comparison rate* 3.49% | Ongoing fee $0 | Details Compare | |
Advertised rate 3.53% Variable | Upfront fee $580.00 | Comparison rate* 3.53% | Ongoing fee $0 | Details Compare | |
Advertised rate 3.64% Variable | Upfront fee $580.00 | Comparison rate* 3.64% | Ongoing fee $0 | Details Compare | |
Advertised rate 3.69% Variable | Upfront fee $1060.00 | Comparison rate* 3.76% | Ongoing fee $0 | Details Compare | |
Advertised rate 3.74% Variable | Upfront fee $470.00 | Comparison rate* 3.78% | Ongoing fee $0 | Details Compare | |
Advertised rate 3.78% Variable | Upfront fee $730.00 | Comparison rate* 3.78% | Ongoing fee $0 | Details Compare | |
Advertised rate 3.78% Variable | Upfront fee $580.00 | Comparison rate* 3.82% | Ongoing fee $0 | Details Compare | |
Advertised rate 3.89% Variable | Upfront fee $470.00 | Comparison rate* 3.89% | Ongoing fee $0 | View Now Compare | |
Advertised rate 3.89% Variable | Upfront fee $730.00 | Comparison rate* 3.89% | Ongoing fee $0 | Details Compare | |
Advertised rate 3.89% Variable | Upfront fee $920.00 | Comparison rate* 3.89% | Ongoing fee $0 | Details Compare | |
Advertised rate 3.89% Variable | Upfront fee $580.00 | Comparison rate* 3.93% | Ongoing fee $0 | Details Compare | |
Advertised rate 4.14% Variable | Upfront fee $920.00 | Comparison rate* 4.20% | Ongoing fee $0 | Details Compare |
Rate Lovers Variable Home Loan (LVR < 80%) Advertised rate 3.44% Variable Upfront fee $1060.00 Comparison rate* 3.44% Ongoing fee $0 | |
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Rate Buster High Lend Variable Home Loan (LVR < 80%) Advertised rate 3.49% Variable Upfront fee $470.00 Comparison rate* 3.49% Ongoing fee $0 | |
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Rate Buster Escape (LVR < 80%) Advertised rate 3.53% Variable Upfront fee $580.00 Comparison rate* 3.53% Ongoing fee $0 | |
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Cash Back Rate Buster Escape (LVR < 80%) Cashback$1500 refunded to clients loan account Post settlement. Advertised rate 3.64% Variable Upfront fee $580.00 Comparison rate* 3.64% Ongoing fee $0 | |
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Rate Lovers Variable Home Loan (LVR 80%-90%) Advertised rate 3.69% Variable Upfront fee $1060.00 Comparison rate* 3.76% Ongoing fee $0 | |
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Rate Buster High Lend Variable Home Loan (LVR 80%-90%) Advertised rate 3.74% Variable Upfront fee $470.00 Comparison rate* 3.78% Ongoing fee $0 | |
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Rate Buster 100% Offset Variable Home Loan (Principal and Interest) (Amounts < $750k, LVR < 80%) Advertised rate 3.78% Variable Upfront fee $730.00 Comparison rate* 3.78% Ongoing fee $0 | |
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Rate Buster Escape (LVR 80%-90%) Advertised rate 3.78% Variable Upfront fee $580.00 Comparison rate* 3.82% Ongoing fee $0 | |
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Investor Rate Buster 100% Offset Variable (Principal and Interest) (Amounts < $750k, LVR < 80%) Advertised rate 3.89% Variable Upfront fee $920.00 Comparison rate* 3.89% Ongoing fee $0 | |
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Cash Back Rate Buster Escape (LVR 80%-90%) Cashback$1500 refunded to clients loan account Post settlement. Advertised rate 3.89% Variable Upfront fee $580.00 Comparison rate* 3.93% Ongoing fee $0 | |
Compare | |
Investor Rate Buster 100% Offset Variable (Principal and Interest) (Amounts < $750k, LVR 80%-90%) Advertised rate 4.14% Variable Upfront fee $920.00 Comparison rate* 4.20% Ongoing fee $0 | |
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- Low interest rates.
- Flexible loan options.
- Loans are suitable to borrowers with smaller deposits.
- Some loans have low fees.
- No branch access.
- Loans have application fees.
As Reduce Home Loans is an online-only lender, customers won’t have access to bricks and mortar branches. Customers can contact Reduce Home Loans by calling the customer contact centre, emailing the bank directly or by filling out an online enquiry form. Home loan applicants will be assigned a personal finance manager who will guide them through the process all the way to settlement. Customers are also able to chat with a support representative through the Reduce Home Loans website.
- Customer service (phone, email)
- Live Chat
- Mobile banking staff
How to Apply
Borrowers wanting to apply for a Reduce Home Loan can either complete a loan enquiry form online or call customer support for assistance with the application. Before applying for a Reduce Home Loans home loan, think about what you can afford to borrow and what other costs you need to consider. To apply for a Reduce home loan, you will need to supply the following information:
- Personal identification material.
- Proof of income and employment.
- Information regarding your current debts, liabilities and assets.
About Reduce Home Loans
Reduce Home Loans offers home loans for the following types of borrowers:
- First home buyers
- Upgraders
- Investors
- Refinancers
- Renovators
- Self-employed (low-doc loans)
There are a variety of interest rates options available to Reduce Home Loan customers:
- Variable interest rates
- Fixed interest rates
- Principal-and-interest home loans
- Interest-only home loans
- Split loans
Reduce Home Loans has several mortgages that would suit borrowers with small deposits, and also offers the ability for parents to sign on as guarantors.
Unlike the big banks that lend out extremely high amounts to eligible customers, Reduce Home Loans has set maximum amounts for its home loans. Several products require loans to be between $50,000 and $2,000,000.
With mortgage terms of up to 30 years, customers can make repayments weekly, fortnightly or monthly.
Reduce Home Loans allows extra repayments to be made without penalty and many of its products come with offset accounts. All mortgages come with redraw facilities, although varying fees apply.
Reduce home loan rates
Like the name suggests, this home loan lender is about “reducing” home loans. Overall, Reduce Home Loan interest rates are very low to moderately low compared to other lenders in Australia.
When it comes to owner-occupiers paying principal and interest as well as interest-only, Reduce Home Loans offer very low to moderately low interest rates.
Reduce Home Loans investor loans are also at the lower end of the home loan market in Australia. Its principal and interest investor loans are very low, while Reduce Home Loan investor interest-only mortgages are moderately low.
When it comes to fees, there are varying costs, depending on what Reduce Home Loans product a customer chooses. Overall, their upfront fees are moderately high, however the ongoing fees are generally very low.
Reduce Home Loans review
Reduce Home Loans is up against the big banks that offer face-to-face customer service at branches and a much wider variety of financial services. It keeps its interest rates low to stay competitive, with Reduce Home Loan business primarily coming from customers comparing home loan rates online and looking for the best deal for them.
With its simple online model, Reduce Home Loans can service customers anywhere in Australia. Although most of its business is done online, Reduce Home Loans customers can make phone calls to the customer service centre.
Reduce Home Loans has streamlined its application and approval process for home loans, so compared to many of its competitors, it’s straightforward and quick. Customers are assigned a personal finance manager to guide them through this process.
Although it’s only been around since 2010, Reduce Home Loans has consistently won awards for its competitive mortgage products.
