First home buyers to benefit in latest home loan offer from online lender loans.com.au

Veteran fintech loans.com.au, known for driving competition in the home loans industry with innovative and low-rate offers, has announced it will be offering loans with Loan-to-Value ratios (LVR) up to 90% at reduced rates, in a bid to help hoist first home buyers up onto the property ladder.  

It comes after loans.com.au saw an increase in activity from people entering the housing market for the first time, as property prices plummet.
 
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“People buying for the first time haven’t usually been able to accumulate as much equity as those who have already enjoyed the capital gains from home ownership but we don’t think they should be penalised for that,” said loans.com.au Managing Director Marie Mortimer.

“To help them take advantage of this long-awaited opportunity to enter the market, we have reduced our interest rate on LVR 90 Offset home loans to the same as LVR 80 and offered our streamlined Essentials home loan at LVR 90 for the first time.”

What’s the offer?

Essentials Variable
  • Low 3.64% p.a. (comparison rate 3.66% p.a.)
  • Now available up to 90% LVR
  • No ongoing fees
Offset Variable
  • Rate cut from 4.04% p.a. to a low 3.72% p.a. (3.74% p.a. comparison rate).
  • Now available up to 90% LVR
  • Offset account to help you save on interest

This means Aussie first home buyers will not only need a smaller deposit but can score a lower interest rate, all whilst getting into the market quicker.

How does it compare?

Loans.com.au Essentials 90% LVR vs Average 90% LVR home loan rate

EssentialsAverage rate
Interest rate3.64% p.a.4.46% p.a.
Interest over 30 years$257,930$326,208

The Essentials OO PI offer at 3.64% p.a. (comp rate 3.66%) first home buyers with a $400,000 variable rate home loan with an LVR of 90% will pay $257,930 in interest over 30 years, whereas the average interest for Owner Occupier, Principal & Interest paid would be $326,208. That's a $68,278 difference! 

If you’re a first home buyer looking to break into the property market then this might be your chance. Check out loans.com.au home loan offers or head over to home loans comparison page for an overview of your options.

Home loan comparisons on Mozo

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Last updated 19 July 2024 Important disclosures and comparison rate warning*
  • Basic Home Loan

    • Fixed
    • Owner Occupier
    • Principal & Interest
    • LVR 80-95%
    Interest rate
    6.75 % p.a.
    Fixed 3 years
    Comparison rate
    7.09 % p.a.
    Initial monthly repayment
    $4,540
    Go to site

    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.

  • Offset Home Loan

    • Fixed
    • Owner Occupier
    • Principal & Interest
    • LVR 80-95%
    Interest rate
    6.75 % p.a.
    Fixed 3 years
    Comparison rate
    7.30 % p.a.
    Initial monthly repayment
    $4,540
    Go to site

  • Special Real Deal Home Loan

    • Owner Occupier
    • Principal & Interest
    • LVR 80-95%
    Interest rate
    6.84 % p.a.
    Variable
    Comparison rate
    6.88 % p.a.
    Initial monthly repayment
    $4,582
    Go to site

    Refinancers or first home buyers pay no monthly or annual fees. Flexibility to choose your repayment schedule (weekly, fortnightly or monthly). Redraw facility available. Split your home loan into multiple loan accounts.

  • Basic Home Loan

    • Owner Occupier
    • LVR 90-95%
    • Principal & Interest
    Interest rate
    7.19 % p.a.
    Variable
    Comparison rate
    7.22 % p.a.
    Initial monthly repayment
    $4,747
    Go to site

  • Offset Home Loan

    • Owner Occupier
    • LVR 90-95%
    • Principal & Interest
    Interest rate
    7.19 % p.a.
    Variable
    Comparison rate
    7.43 % p.a.
    Initial monthly repayment
    $4,747
    Go to site

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* 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. You can change the loan amount and term in the input boxes at the top of this table. 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.

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