Australia’s cheapest home loans unveiled

Mozo

17 Oct 2019

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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 50 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 436 loans from 85 lenders in the 2019 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

Promoted

loans.com.au Smart Home Loan
  • New 2.88% variable rate (2.90% comparison rate*)

  • $0 application or ongoing fees

  • Unlimited free extra repayments and redraw facility

Our verdict

Looking for a loan that's easy on your wallet? Look no further than the Smart Home Loan from loans.com.au. This ultra low rate, low fee mortgage is packed with handy features like the option to make free extra repayments, unlimited free redraw and a split rate option. loans.com.au actually took out the Low Cost Home Loan Award for its Essentials Variable 80 loan, but the new Smart Home Loan has an even lower rate and all the same great features as the Essentials, so we'd be crazy not to review it here.

Where do I get itHead over to loans.com.au to find out more >>

Promoted

UBank UHomeLoan - Discount Offer
  • New 2.84% variable rate (2.84% comparison rate*) - Apply now to get this rate from 29 Oct

  • $0 annual or upfront application fee

  • Free extra repayments and redraw facility

Our verdict

With a super low interest rate, no fees to apply and no annual service fee, the UBank UHomeLoan is a great budget-friendly option for refinancers that comes with the security of being backed by NAB. The new low, variable rate is available for loans of $200,000 plus with a minimum deposit or 20% or more, and you can choose monthly, fortnightly or weekly repayments to suit your budget. No wonder it was a slam dunk for a Best Low Cost Home Loan Award.

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

Promoted

Well Home Loans Well Balanced
  • 2.82% variable rate (2.86% comparison rate*)

  • Free extra repayments and redraw facility

  • Multiple 2019 Mozo Experts Choice Award winner

Our verdict

As one of the cheapest home loans in the market, you can find your inner balance with the Well Home Loans Well Balanced home loan featuring a new, super-low rate. Winner of a Mozo Experts Choice Award 2019 for the Best New 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 the option for a split account, so you can customise your loan to suit you.

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

Promoted

HSBC Discounted Home Value Loan
  • New 3.02% variable rate (3.04% p.a. comparison rate*) - Apply now to get this rate from 21 October

  • No upfront or ongoing fees

  • Borrow with as little as 10% deposit

Our verdict

HSBC has come out with a a great value home loan here, winning awards for Low Cost Home Loan and First Home Buyer Loan. Not only will you snag a great value interest rate and pay no application or service fees, but you can also take advantage of features like free extra repayments, redraw and a split loan facility. Plus you'll get your own relationship manager to help you through the application process.

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

Promoted

UBank UHomeLoan
  • 2.69% fixed rate for 3 years (3.37% comparison rate*)

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

  • Flexible repayment options

Our verdict

Want to lock in a super low home loan rate but loathe the hassle of a long home loan application process? Calling UBank to the rescue! The UBank 3 year fixed rate UHomeLoan could be a great choice for borrowers who like the stability of a fixed rate and a super-speedy application process. It comes with conveniently flexible repayment options and the ability to make free extra repayments up to $20,000 each year so you can pay off your loan faster.

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

Promoted

Athena Variable Home Loan
  • 2.84% variable rate (2.80% comparison rate*)

  • Free extra repayments and redraw facility

  • No upfront or ongoing fees

Our verdict

New 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 refinance home loan has one of the lowest variable rates around and no application, valuation or ongoing fees. It also offers free extra repayments and a free redraw facility. Just keep in mind, if you’re a first home buyer, you won’t be able to get this loan as it’s only for refinancers, living in capital or major regional cities.

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

Promoted

Bank of Queensland Discount Fixed Rate
  • 2.99% 3 year fixed rate (3.79% comparison rate*)

  • Flexible repayment schedule

  • Make extra repayments up to $5,000 p.a. to save on interest

Our verdict

There’s a couple of fees to budget for with this one, but trust us, when you see the rate and features, you won’t mind so much. Available for borrowers who’ve saved at least a 20% deposit and want to borrow $300,000 or more, this Bank of Queensland fixed rate offer also lets you cut down on interest my making extra repayments.

*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.

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 2019. 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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