Banks tempt owner occupiers with competitive home loan deals

Now’s a great time to be purchasing or refinancing your own home, as we’ve seen a number of lenders drop their home loan interest rates for owner occupiers.

In fact we’ve seen 50 rate cuts in the past month alone, bringing the lowest home loan rate to just 3.94%. This low rate environment for owner occupiers, means you could be better off by a whopping $100 every month if you were signed up with the lowest rate loan, compared to the lowest rate one year ago that sat at 4.54%.

The competitive home loan deals available for owner occupiers, are a result of lenders looking to reduce their investor loan books to under 10% growth per annum, as requested by APRA.

RELATED: Top things to consider when choosing a home loan

Mozo data shows that the average owner occupier home loan rate is currently sitting at 4.69%, compared to the average investor loan rate at 4.81%.

Mozo Director Kirsty Lamont explained, “We’ve seen 12 lenders make cuts to loans targeted specifically at owner occupiers, while 11 increased rates on loans to investors.”

“Lenders are wanting to bridge the gap left by the slower growth in Investor lending and owner occupiers will be the big winners.”

Juicy interest rates aren’t the only incentive on offer to owner occupiers, as lenders are also introducing cash back offers, with six lenders currently offering deals of between $1,000 - $2,000 cash back to owner occupier refinancers.

Are you looking for a competitive home loan deal? Punch in your numbers into our home loan comparison tool to compare our entire database or check out the comparison table below to see some of the top deals in the market now:

Home loan comparisons on Mozo - rates updated daily

Search promoted home loans below or do a full Mozo database search. Advertiser disclosure.
  • placeholder
    Mozo Experts Choice 2021
    Smart Booster Home Loan

    1 Year Discounted Variable Rate, Owner Occupier, Principal & Interest, <80% LVR

    interest rate
    comparison rate
    Initial monthly repayment
    1.99% p.a.variable for 12 months and then 2.48% p.a. variable
    2.47% p.a.

    A super low introductory rate home loan with no monthly or ongoing fees. Unlimited free redraws and unlimited additional repayments to help you build your equity and own your home sooner. Multiple loan splits available. (Rates revert after introductory period ends). 20% minimum deposit required. Winner of two Mozo Expert's Choice Award for 2021.

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    Details
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    UHomeLoan

    Owner Occupier, Principal & Interest

    interest rate
    comparison rate
    Initial monthly repayment
    1.75% p.a.
    fixed 3 years
    2.22% p.a.

    $0 fees and easy application. Choose between weekly, fortnightly or monthly repayments. 3 year fixed rates are for new Owner Occupier Principal & Interest loans.

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    Details
  • placeholder
    Basic Home Loan

    Fixed, Owner Occupier, Principal & Interest, LVR<70%

    interest rate
    comparison rate
    Initial monthly repayment
    2.09% p.a.
    fixed 3 years
    2.43% p.a.

    Get a flexible loan structure with up to six loan accounts with different rate types. Make free extra repayments. Enjoy free redraw facility. No upfront or ongoing fees. Option to earn Qantas points.

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    Details
  • placeholder
    Mozo Experts Choice 2021
    Celebrate Variable Home Loan

    <60% LVR, Owner Occupier, Principal & Interest

    interest rate
    comparison rate
    Initial monthly repayment
    2.19% p.a. variable
    2.19% p.a.

    Fast and efficient online application. Automatic discounts as loan is paid off. Free extra repayments and redraw facility. Zero fees to consider. Min 40% deposit required. Winner of three Mozo Expert's Choice Award for 2021.

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    Details
  • Hot Deal$3,000 cashback when you refinance with Virgin Money (T&Cs apply)
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    Special Offer Reward Me Fixed Rate Home Loan

    Owner Occupier, LVR <80%, 300k+

    interest rate
    comparison rate
    Initial monthly repayment
    1.94% p.a.
    fixed 2 years
    2.77% p.a.

    Enjoy $3,000 cashback when you refinance with Virgin Money (T&Cs apply). Additional repayments up to $10,000 per annum. Reverts to the discounted variable rate on expiry of the fixed term.

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    Details

*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 $150,000 over 25 years.

**Initial monthly repayment figures are estimates only, based on the advertised rate, loan amount and term entered. 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

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