Australia's cheapest home loans revealed for 2021


27 May 2021

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Finding the right home loan could mean the difference between tens of thousands of dollars in interest saved over the life of a loan, but Aussie borrowers can be forgiven for finding it hard to pick the best option given the mountain of different lenders and rates available.

Thankfully, with over 67 years of financial services experience between them, the Mozo experts have a serious knack for identifying great value loans. And they used it to compare 506 home loans from 99 lenders in the 2021 Mozo Experts Choice Awards, to identify the best value options for Aussie borrowers.

So whether you’re refinancing, investing or looking to buy a new home, read on for some of the best, low rate home loans on the market to help you start saving today.

Mortgage Crushing Home Loans Smart Booster Home Loan
  • 1.99% discount variable rate for 1 year

  • Rolls over to low ongoing 2.48% (2.47% comparison rate*)

  • Optional offset account for 0.10%

Expert verdict

Looking for a loan that's easy on your wallet? Look no further than the Smart Booster Home Loan from popular online lender This low rate, low fee mortgage is packed with handy features like free extra repayments, unlimited free redraw, an optional offset account and a split rate option. With all this value on offer and no pesky ongoing fees to boot, it's no surprise the Smart Booster took out a Mozo Experts Choice Low Cost Home Loan Award for 2021. Minimum 20% deposit.

Where do I get it? Head over to to find out more >>

UBank UHomeLoan - Discount Offer
  • 2.34% p.a. variable and comparison rate*

  • $0 annual or upfront application fee

  • Free extra repayments and redraw facility

Expert verdict

With a super low variable rate, no fees to apply and no annual service fee, the UBank UHomeLoan was awarded a Best Low Cost Home Loan 2021 by the Mozo Experts and is a top choice with borrowers looking to save money on their mortgage. You'll enjoy a fast and easy online application process with local help from UBank's home loan experts. Plus, although UBank is an online bank it comes with the security of being backed by NAB. Minimum deposit of 20% required. 

Where do I get it? Head over to UBank to find out more >>

Athena Celebrate Variable Home Loan
  • New 1.99% variable and comparison rate* for borrowers with 40% deposit

  • No application, valuation or ongoing fees

  • Mozo Experts Choice Home Loan Innovation Winner 2021

Expert verdict

Online mortgage challenger Athena is taking on the banks with a customer first approach and some of the best value mortgages on the market. This competitive variable home loan has one of the lowest rates around and no application, valuation or ongoing fees. It also offers free extra repayments and a free redraw facility. Plus, to reward borrowers for paying down their home loan, Athena will now automatically lower your rate as you pay down your loan. Available to borrowers with a 40% deposit, this Athena Home Loan is shaking up the mortgage market.

Where do I get it? Head over to Athena to find out more >>

86 400 Neat Home Loan
86 400
  • 2.19% variable rate (2.20% p.a. comparison rate*) for borrowers with 40% deposit

  • Free extra repayments & redraws

  • 2021 Mozo Experts Choice Award Winner

Expert verdict

86 400 is Australia's first Smart Bank, and it’s newly launched Neat Home Loan ticks all of the right boxes. This great value home loan features one of the lowest variable rates in town plus super low fees for borrowers looking to keep their costs to a minimum. Borrowers have the ability to make free extra repayments and make use of a free redraw facility, and the simple online application process makes refinancing a breeze. Ideal for refinancers with 40% deposit or equity.

Where do I get it? Head over to 86 400 to find out more >>

Bank of Queensland Discount Fixed Rate
Bank of Queensland
  • 1.89% fixed rate for 2 years (3.05% comparison rate*)

  • Free extra repayments up to $5,000 p.a

  • Mozo Experts Choice Fixed Rate Home Loan 2021

Expert verdict

BOQ is a favourite with borrowers looking to find value beyond the big four banks, and for good reason. The BOQ Discounted Fixed Home Loan won Best Fixed Home Loan 2021 in the Mozo Experts Choice Awards for its winning combination of low rates and flexibility. You can lock in a low rate for two years while still having the flexibility to pay down your mortgage faster with free extra repayments of up to $5,000 a year. Minimum loan size $250,000, 80% LVR or less.

Well Home Loans Well Balanced
Well Home Loans
  • 2.17% variable rate (2.20% comparison rate*)

  • Optional offset account for $10 per month

  • Free extra repayments and redraw facility

Expert verdict

As one of the cheapest home loans in the market thanks to a new ultra-low variable rate, you can find your inner balance with the Well Balanced home loan from Well Home Loans. Winner of a Mozo Experts Choice Award 2021 for Best Offset Home Loan, this loan boasts a list of waived fees and charges to help you save even more money. You’ll also get free extra repayments, redraw and an optional offset account for $10 a month, so you can customise your loan to suit you.

Where do I get it? Head over to Well Home Loans to find out more >>

UBank UHomeLoan
  • 1.85% fixed rate for 3 years (2.24% comparison rate*)

  • Free extra repayments up to $20,000 p.a.

  • Best Fixed Rate Home Loan 2021 - Mozo Experts Choice Awards

Expert verdict

Borrowers looking to lock in while rates are at record lows will find it hard to go past this cracking fixed rate home loan designed by the clever folk at UBank to deliver peace of mind over your mortgage repayments without sacrificing flexibility. Extra repayments of up to $20,000 a year can be made during the fixed term without penalty, and you’ll also enjoy conveniently flexible repayment options plus zero ongoing fees.

Where do I get it? Head over to UBank to find out more >>

*WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. The comparison rate displayed is for a secured loan with monthly principal and interest repayments for the amount and term you entered.

**Initial monthly repayment figures are estimates only, based on the advertised rate, and a loan of $500,000 repaid over 25 years. Rates, fees and charges and therefore the total cost of the loan may vary depending on your loan amount, loan term, and credit history. Actual repayments will depend on your individual circumstances and interest rate changes.

^See information about the Mozo Experts Choice Home loans Awards

Want to compare more home loans? View the latest mortgage rates from over 80 lenders at Mozo's home loan comparison hub.

This is just a selection of our Mozo Experts Choice Home Loan winners, announced in March 2021. Head over to our dedicated Awards page to see the full list of winners.

The Mozo Experts Choice Awards recognise products that deliver exceptional value or benefits to consumers. Our judges base their decision on hard-nosed calculations of value to the consumer, using Mozo’s extensive product database and research capacity.  Product providers don’t pay to be in the running and we don’t play favourites. Award winners may choose to purchase a licence to use their award in their own marketing and may choose to list products on the Mozo website in a way that may generate revenue for Mozo.

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