Anyone looking to take their first steps up the property ladder has a smorgasbord of options available to them nowadays, and HSBC is doing a lot to stand out from the pack. Recent cuts to its discounted Home Value Loan mean rates are now sitting at a super low 2.90% p.a (comparison rate 2.91% p.a*).
The offer is available to new borrowers who apply before 30 April 2020, with at least a 20% deposit. And to sweeten the deal, the usual $600 establishment fee is waived for successful applicants.
Of course, HSBC isn’t the only one offering headline rates below the 3% mark, and there are some hot offers that potential buyers would do well to have on their radar. Below we’ve compiled a few options to suit any type of borrower.
NEW LOW RATE
HSBC Discounted Home Value Loan
New 2.90% variable rate (2.91% p.a. comparison rate*)
Recent cuts have left HSBC Home Value Loan looking sharper than ever, with the variable rate for owner occupiers currently sitting at 2.90% (2.91% p.a. comparison rate*). It also comes with all the trimmings that make a home loan great, such as flexible repayment options, minimal fees, unlimited extra repayments, and a free online redraw facility. And here's something you don't see every day: when you sign up for a Home Value loan, you'll receive a complimentary Feng Shui report on your property.
ING Mortgage Simplifier
3.03% variable rate (3.06% p.a. comparison rate*)
No service or application fees
Free extra repayments and redraw facility
If you like the sound of a competitive loan from Australia's most recommended bank, take a look at the ING Mortgage Simplifier variable home loan. When it comes to paying off your loan, you’ll have the choice of making weekly, fortnightly or monthly repayments, and you’ll also be able to pay off your loan faster without facing any penalties. And if you ever decide you need those extra funds back, you can easily retrieve them with the free redraw facility. What’s more, if you’re an Orange Everyday Account holder, you can opt to have any card purchases you make rounded up to the nearest $1 or $5, with the difference used to pay down your mortgage balance.
FIXED RATE OFFER
Bank of Queensland Discount Fixed Rate
2.79% fixed rate (3.67% p.a. comparison rate*)
Borrow with as little as 5% deposit
Make up to $5,000 in extra repayments annually without penalty
If the security and peace of mind of a fixed rate is more to your liking, the BOQ Discount Fixed Rate loan could be a good fit. Lock in a three year term and you’ll be able to secure an ultra low fixed rate of 2.79% (3.67% p.a. comparison rate*). You’ll also be able to make weekly, fortnightly or monthly repayments, and extra repayments are free up to $5,000 a year. Just keep in mind there’s a $10 monthly service fee.
*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.