A big round of applause to the 2023 winners of the Mozo Experts Choice Awards for Home Loans. To find out which home loans deliver the best value for Australian borrowers for 2023, our team of expert judges assessed thousands of rate variants across 480 home loans from 98 lenders.
So whether you’re a first home buyer, investor, or looking at switching to a better deal, our winners list below outlines the best value home loans and is a great starting point to begin your search.
Bendigo Bank has been crowned Home Lender Bank of the year for 2023. It smashed it out of the park winning multiple awards that showcase the outstanding range products it offers to all types of Australian borrowers. Bendigo took out awards in the Low Cost Home Loan, Offset Home Loan, First Home Buyer Loan and Investor Home Loan categories.
Congratulations to:
Bendigo Bank
Owner Occupier, Principal & Interest, LVR <90%
Investment, Principal & Interest
Hume Bank took out awards in a wide variety of categories, and was the best performing of all of the member-owned banks in a big list of awards this year. Hume Bank won awards across Low Cost Home Loan, Offset Home Loan, Investor Home Loan and Fixed Rate Home Loan categories, making it our Home Lender Mutual Bank of the Year for 2023.
Congratulations to:
Hume Bank
Owner Occupier, Principal & Interest, LVR 60-80% LVR
Owner Occupier, Principal & Interest, LVR 60-80%
Owner Occupier, Principal & Interest, LVR 60-80%
Investor, Principal & Interest, LVR 60-80% LVR
Police Credit Union was the strongest performing credit union in our awards assessment process for 2023. Taking out award wins in the Low Cost Home Loan, Offset Home Loan, Fixed Rate Home Loan and Investor Fixed Home Loan categories, they were a definite stand out among their counterparts and awarded this year’s crown.
Congratulations to:
Police Credit Union
Owner Occupier, Principal & Interest, LVR<80%
Owner Occupier, LVR<80%
Investment, Principal & Interest, LVR<80%
Unloan debuted on the market midway through 2022, and has been making a name for itself ever since with its low rates, no fees, loyalty discount and fast 10 minute application process. Built by the Commonwealth Bank, Unloan is 100% online and currently only available for refinancers.
Congratulations to:
Unloan
Owner Occupier, Refinance Only, LVR <80%
For this category the Mozo judges assessed 325 variable rate loans for owner occupier borrowers making principal & interest repayments, and identified these as the lowest cost for several different loan-to-value ratios.
Congratulations to:
Auswide Bank, Bank of Sydney, Bank of us, BCU Bank, Bendigo Bank, Homeloans360, HSBC, Hume Bank, loans.com.au, Pacific Mortgage Group, Police Credit Union, QBANK, Qudos Bank, RACQ Bank, The Mutual Bank, and Unloan
Owner Occupier, Principal & Interest, LVR <60%
Principal and Interest, LVR <90%
Owner Occupier, Refinance Only, LVR <80%
Owner Occupier, Principal and Interest, LVR 60-70%
Owner Occupier, Principal & Interest, LVR<80%
Special, Owner Occupier, Principal & Interest, LVR<80%
Owner Occupier, Principal & Interest, LVR<80%
Owner Occupier, Principal & Interest, <60% LVR
Owner Occupier, Principal & Interest, LVR <90%
Plus, LVR <80%
Owner Occupier, Principal & Interest, LVR 60-80% LVR
Owner Occupier, Principal & Interest, LVR 60-80%
Owner Occupier, Principal & Interest, LVR<80%
LVR<80%, Owner Occupier
Owner Occupier, Principal & Interest, LVR 70-80%
Owner Occupier, LVR <60%
Owner Occupier, LVR <80%
An offset option on your home loan can be a great way of saving on interest paid on your loan, yet still having the flexibility to withdraw your money when needed. Of the 183 variable rate loans offering a 100% offset facility, the Mozo judges found that these were the lowest cost.
Congratulations to:
Bank First, Bank of Sydney, Bank of us, Bendigo Bank, G&C Mutual Bank, Homeloans360, Hume Bank, MOVE Bank, Police Credit Union, and Virgin Money
LVR<80%, Owner Occupier
Special, Owner Occupier, Principal & Interest, LVR<80%
Owner Occupier, LVR<80%
Owner Occupier, Principal & Interest, LVR <90%
Owner Occupier, Principal & Interest, LVR 60-80%, Refinance Only
Plus, LVR <80%
Owner Occupier, Principal & Interest, LVR 60-80%
Owner Occupied, Principal & Interest, LVR <80%, under 500k
Owner Occupier, Principal & Interest, LVR<80%
Owner Occupier, Principal & Interest, LVR 60-80%
To find the lowest cost package loans, the judges assessed 52 products, then identified those that were the lowest cost options where the borrower could also get a credit card and bank account that doesn’t charge any account keeping fee with that same provider.
Congratulations to:
Credit Union SA, HSBC, ING, Macquarie, ME, People's Choice, QBANK, and Qudos Bank
Owner Occupier, LVR<80%, Principal & Interest
Owner Occupier, Principal & Interest, LVR<80%
Owner Occupier, <80% LVR Home Loan Package
Owner Occupier, Principal & Interest, LVR 70-80%
LVR<80%, Owner Occupier, Principal & Interest
Owner Occupier, LVR 70-80%, Principal & Interest, $400,000-$700,000
LVR<80%, Owner Occupier, Principal & Interest
Owner Occupier, LVR <80%, over $150,000
Owner Occupier, Principal & Interest, LVR 70-80%
First home buyers tend to have a smaller deposit, so for this category our Experts identified the lowest cost variable rate loans for those looking for a 90% LVR loan. The assessment included special offers for borrowers taking advantage of the government’s First Home Loan Deposit Scheme.
Congratulations to:
Auswide Bank, Bank of us, Bendigo Bank, Easy Street, G&C Mutual Bank, Greater Bank, MyState Bank, QBANK, and Tiimely
Owner Occupier, Principal and Interest, LVR 80-90%
Owner Occupier, Principal & Interest
Owner Occupier, Principal & Interest, LVR <90%
Principal & Interest
Owner Occupier, Principal & Interest
Owner Occupier, Principal & Interest, LVR<80%, over $150k
Owner Occupier, Principal & Interest
Owner Occupier, Principal & Interest
Fixed rate home loans are great if you like the security of knowing just how much your repayments will be over a fixed term. To be considered in this category lenders have to offer at least 3 different fixed rate terms which resulted in 131 products being assessed. The judges ranked these loans as the best in their field.
Congratulations to:
Bank Australia, BCU Bank, Hume Bank, IMB Bank, Pacific Mortgage Group, Police Bank, Police Credit Union, and Tiimely
Fixed, Owner Occupier, Principal & Interest, LVR <80%
Owner Occupier, LVR<80%
Owner Occupier, Principal & Interest
Owner Occupier, Principal & Interest, LVR 60-80%
Owner Occupier, Principal & Interest, LVR <80%
Owner Occupier, Principal & Interest
Fixed, Owner Occupier, Interest Only, LVR <90%
Owner Occupier, LVR<80%
Owner Occupier, Principal & Interest
Investment loans tend to have higher interest rates, so it’s important to shop around when looking for a lender. This year’s award assessed the 195 products available for investors that offered both principal & interest and interest only as an option. The winners below were found to be the lowest cost options.
Congratulations to:
Auswide Bank, Bank First, Bendigo Bank, Easy Street, Homestar, HSBC, Hume Bank, and Queensland Country Bank
Investment, Principal & Interest, LVR 80-90%
LVR<80%, Investment
Investment, Principal & Interest
Principal & Interest
<80%, Principal & Interest
Investment, Principal & Interest, LVR 70-80%
Investor, Principal & Interest, LVR 60-80% LVR
<80%
For this award, we identified the lenders with the lowest costs over a range of fixed terms for investors. We assessed 123 loan options, calculating the annual cost of each fixed rate term offered, averaging the three best results. The calculation was performed using rates applicable to both principal & interest and interest only loans.
Congratulations to:
Bank Australia, BCU Bank, Easy Street, HSBC, Hume Bank, Police Credit Union, and Tiimely
Fixed, Investment, Principal & Interest, LVR <80%
Investment, Principal & Interest, LVR <80%
Investment, Principal & Interest
Investment, Principal & Interest
Investment, Principal & Interest, LVR <80%
Investment, Principal & Interest, LVR <80%
Investor, Principal & Interest, LVR 60-80%
Investment, Principal & Interest, LVR<80%
Investor, Principal & Interest
Sustainable homes are growing in popularity as more and more Aussies are leading a greener lifestyle. Loans considered for this award must only be available to homes that have been certified with a minimum level of environmental efficiency, and of these, our Experts calculated the loans with the lowest costs.
Congratulations to:
Bank Australia and Gateway Bank
Owner Occupier, LVR<90%
Owner Occupier
Premium Package
Now in their tenth year, the Mozo Experts Choice Awards present an opportunity to recognise products in the market we believe offer great value to Australians.
For the 2023 Home Loan awards, our Experts considered thousands of rate variants across 480 home loans from 98 lenders head to head.
“With inflation and home loan interest rate rises a hot topic in 2023, finding the best value home loan for your needs is more important than ever,” said Peter Marshall, Mozo Experts Choice Awards judge.
“Aussie home owners have endured nine rate hikes since May last year, so it only makes sense for them to search out the best mortgage deals. After all, finding a lower rate could knock thousands off over the life of a mortgage.”
For full details on how we crunched the numbers, the awards criteria and how we determined the winners, see the 2023 Mozo Experts Choice Awards for Home Loans methodology report.
We couldn’t have a name like the Mozo Experts Choice Awards without a dedicated and experienced team of product data analysts at the helm. Combined they have decades of experience behind them. Meet them below.
Running since 2014, the Mozo Experts Choice Awards recognise products that deliver exceptional value or benefits to consumers. See our 2023 Mozo Experts Choice Awards for Home Loans methodology report for detailed information on how we performed product comparisons and determined the final winners for 2023.
There is a reason why there are so many different categories of Mozo Experts Choice Awards for Home Loans. When you’re looking for a home loan you’ll want to think carefully about your options. The loan you land on will need to take into account your deposit size, the repayment term you’re keen on, whether you want to go with a fixed or variable rate, if you want an offset account, and much more.
If you’d like to learn more about the key features of home loans and the types of loans that are available, check out our range of helpful home loan guides. And if you’re looking for more insight into this year’s winning loans and other great options, read our take on the best home loans in Australia right now.
In Australia, the most common length of a mortgage is 25 or 30 years. However, borrowers may be able to select a shorter loan term as long as they can afford to meet the repayments.
If you're opting for an interest-only home loan, lenders will generally only let you take out this loan for a limited time period (usually a maximum of 5 years). After this time, you'll be moved across to paying off an interest and principal loan for the remainder of the mortgage unless you negotiate a different deal with your lender.
There are heaps of home loans on offer designed to cater to a wide variety of borrowers and their needs. That means that if you’re over 18 years old and an Australian citizen or resident, chances are you’ll be able to find a mortgage suitable for you.
The best home loan rates are often reserved for the best quality borrowers, who are usually defined by the deposit size they can commit and the type of loan they’re after.
Owner occupiers – aka people who plan to live in the home they’re purchasing – with a solid deposit (usually at least 20% of the value of the property) looking for a principal and interest loan can generally access the lowest rates. By contrast, investor borrowers and those after an interest-only home loan may find they have to pay higher interest rates.
Lenders also look at a number of factors including your credit history, your income, your regular expenses, other financial commitments, and how much you’re hoping to borrow when deciding your reliability as a borrower.
There are two different types of home loan repayments: interest-only and principal and interest. The option you select will make a difference to your monthly repayments.
Interest-only
An interest-only home loan is just what it sounds like – your monthly repayments will only be paying off the interest you owe, and not chipping away at your principal loan amount. While this means your monthly repayments will be lower, it also means you’ll wind up with the lump loan amount to pay off at a later date.
The other thing to remember is that usually, an interest-only term lasts for up to 5 years. After that, your lender may let you roll over into another interest-only term, or you might have to start making principal and interest repayments.
Principal and interest loans
This is what’s called an amortising loan, which means your bank has done the math so that if you pay the same amount each month toward your loan, by the end of the loan term you’ll have paid off all the interest, along with the initial loan principal.
This means your monthly repayments will be higher than with an interest-only loan. But at the end of the day, you’ll need to repay the loan principal at some point, and this might be easier to do in small chunks than larger repayments down the line, or as a lump sum at the end.
A home loan comparison rate is shown right beside the interest rate in all the tables at Mozo, and is designed to help you get an accurate idea of the ‘true’ cost of a home loan. It takes into account both interest and guaranteed fees that apply to a loan.
There are a lot of different home loans options out there, but when you compare based on the comparison rate, you know you’re looking at different options on equal footing.
One thing to remember is that the comparison rate can’t reflect things like offset accounts or other features that might save you money. So while it’s an important part of home loan comparison, it’s not the only thing you need to consider.
We aim to include most home loans in the market in the Mozo Experts Choice Awards. However, not every financial institution or product on the market will be included in our review. Any product we review must be available in the market at the time of our analysis.
The Mozo Experts Choice Awards are overseen by AJ Duncanson and Peter Marshall. AJ is Mozo’s Data Director, a data scientist and actuary who has worked in financial services and product comparison for over 30 years. Peter has been in the industry even longer, and as Research Manager he leads the team of analysts that gather information and compare products every day, and perform all the calculations behind the Mozo Experts Choice Awards.
Please get in touch with us to discuss by email should you have any queries.