With home loan rates dropping to new record lows this year in the wake of the Reserve Bank's 'Coronavirus' rate cuts, there's never been a better time to compare your current home loan against the best on market and see how much you could save by switching.
Mozo's analysis reveals that there is now a huge difference between the average home loan rate and the best on the market. In fact, the average big 4 bank borrower with a $400K owner occupier home loan could now save up to $3,320 a year by switching. That's almost $100,000 in savings over the life of a 30 year loan!
Finding the best value home loans can be hard work given the mountain of choice on offer, which is why the Mozo experts are committed to doing the hard work for you. Read for our Editor's run down of some of the best value Mozo Experts Choice Winning home loans on the market today...
This super low variable rate from popular online lender loans.com.au is a bona fide mortgage crusher, and they've done away with pesky fees as well. With unlimited free extra repayments, free redraw and a split rate option, you'll enjoy lots of flexibility without having to pay a premium for bells and whistles like an offset account. If you’re borrowing $1 million or less and have at least a 20% deposit saved up, the award-winning Smart Home Loan really is a smart choice.
1.95% fixed rate for 3 years (2.36% comparison rate*)
Looking to lock in a sub 3.00% rate for 3 years with no ongoing fees and free extra repayments up to $20,000 per year? You got it! If you're in the market for the security of a fixed home loan, check out this 3 year Fixed Rate Special from Mozo Experts Choice Award winner, UBank. It comes with the flexibility to choose your own repayment schedule (weekly, fortnightly or monthly) and the option to split between fixed and variable rates to better suit you.
Bank of Queensland Fixed Rate
1.99% fixed rate for 4 years (2.90% comparison rate*)
Bonus $3000 cashback for refinancers
Mozo People's Choice Winner 2020
Bank of Queensland's Fixed Rate Home Loan is packed with great value, including free extra repayments (up to $5,000/year) and a flexible weekly, fortnightly or monthly repayments schedule. On top of that, refinancers will also score a bonus $3000 cashback when you switch your loan to the award-winning Bank of Queensland by December 19. Available to borrowers with a 20% deposit or more.
Athena Celebrate Variable Home Loan
New 2.19% variable rate (2.19% comparison rate*)
No application, valuation or ongoing fees
Mozo Experts Choice Best New Home Loan Winner 2020
The new Celebrate Variable Home Loan from Athena features a competitively low rate and a customer first approach, helping Aussies around the country save money and pay off their mortgages sooner. 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.
Virgin Money Special Offer Reward Me Fixed Rate Home Loan
2.04% fixed rate for 3 years (2.73% comparison rate*)
Virgin Money’s Special Offer Reward Me Fixed Rate Home Loan is packed with great value, including free extra repayments (up to $10,000/year) and a flexible weekly, fortnightly or monthly repayments schedule. On top of that, refinancers will also score a bonus $3000 cashback when you switch your loan to Virgin Money. Available to borrowers with a 20% deposit or more.
Our experts awarded UBank Best Bank Home Lender of 2020 for its winning combination of ultra low rates, minimal fees and super streamlined online application processes. Borrowers with a 20% deposit can apply for this cracking variable loan and enjoy no upfront or ongoing fees. You can choose to make monthly, fortnightly or weekly repayments to suit your budget plus take advantage of free extra repayments and redraw. No wonder it was a slam dunk for a Best Low Cost Home Loan Award. Available for loans of $200,000 or more.
HSBC 2 Year Fixed Rate Home Loan
2.09% fixed rate for 2 years (2.98% comparison rate*)
This value-packed 2 year fixed rate home loan gives you the security of monthly repayments while still taking advantage of flexible features like the freedom to make free extra repayments up to $10,000 a year. You’ll have the ability to split your loan between fixed and variable rates, and as an added bonus, there are no application and ongoing fees to pay. You'll even get a free relationship manager to guide you through the application process. Available to borrowers with a 20% deposit or 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.
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 2020. 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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