The best home loans in Australia for 2018

Given the mountain of different providers and rates available when it comes to choosing a home loan, Aussie borrowers can be forgiven for finding it hard to pick the best option. But finding the right home loan could be the biggest financial decision you make - one that could mean the difference between tens of thousands of dollars in interest saved over the life of a loan.

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 over 500 loans from 88 providers in the 2018 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.

Best value home loans

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Important disclosures and comparison rate warning* - Essentials Variable 90
  • 3.64% variable rate (3.66% comparison rate*)
  • $0 annual fee (upfront costs apply)
  • Fee-free extra repayment and redraw facilities
Find out more
The Verdict

When it comes to a low variable rate, it doesn’t get much better than the Essentials Variable 80 offer for owner occupiers. And if the low rate isn’t enough, the lack of annual fee and potential to make extra repayments for free could keep your ongoing costs down even further. On top of winning a 2018 Mozo Experts Choice award for best Low Cost Home Loan, it was also named a winner in the Investor Home Loan category.

HSBC - Discounted Home Value Loan
  • 3.59% variable rate (3.61% comparison rate*)
  • No upfront or ongoing fees
  • Borrow with just a 10% deposit
The Verdict

With a seriously low rate and next to no fees, the HSBC Discounted Home Value Loan is a great low rate option for owner occupier borrowers looking to make principal and interest repayments. Not only could the lack of upfront and ongoing fees, plus the free extra repayments option, cut down costs and help you pay back your loan faster, the minimum deposit of just 10% makes it easier for buyers to enter the market in the first place. In fact, the loan took out two 2018 Mozo Experts Choice awards in the Low Cost Home Loan and First Home Buyer categories.

NAB - Base Variable Rate Home Loan Special Offer
  • 3.87% variable rate for owner-occupiers (3.91% comparison rate*)
  • 4.65% variable rate for investors (4.70% comparison rate)
  • No ongoing service fees (application fee applies)
Find out more
The Verdict

Like the idea of grabbing a competitive variable rate deal but still want to stay with a major bank? The NAB Base Variable Rate home loan could be just the ticket, with competitive deals for both investors and owner occupiers. While it was awarded a 2018 Mozo Experts Choice Award in the best Investor Loan category, the owner occupier option is also worth a look, especially as both offers come with the capacity to make extra repayments, redraws and even for you to take a repayment holiday.

UBank - UHomeLoan - Discount Offer for Investor
  • 3.99% variable rate (3.99% comparison rate*)
  • No application or annual fees
  • Free extra repayments and redraw facility
Find out more
The Verdict

Property investors, this could be the loan for you. Winner of a 2018 Mozo Experts Choice award in the best Investor Home Loan category, the Discount Offer for Investor deal from UBank packs an alluring 3.99% variable rate, plus it’s fee-free! If you also like the idea of making use of handy features such as the ability to make extra repayments and redraws, this could be the home loan option for you.

Newcastle Permanent - Discounted Variable Home Loan
  • 3.72% variable rate (4.12% comparison rate*)
  • $0 application fees
  • 100% offset, extra repayments and redraw facilities
Find out more
The Verdict

The Discounted Variable Home Loan from Mozo’s 2018 Home Lender of the Year, Newcastle Permanent, provides borrowers with the full deal. Together with a low variable rate and no upfront fees, the loan also offers a suite of useful features including a 100% offset account, repayments holiday, the option for extra repayments and a redraw facility. A 2018 Mozo Experts Choice winner in both the Package Home Loan and Split Home Loan categories, borrowers should just be aware that they’ll need to pay a $395 annual fee in order to access all the benefits of the loan.

ME - Basic Home Loan
  • 3.89% interest rate (3.91% comparison rate*)
  • Free extra repayments and redraw facility
  • $0 application fee
Find out more
The Verdict

No fuss, no worries - if you’re after a home loan where what you see is what you get, then check out the ME Basic Home Loan. This offer comes with a few key features, like free extra repayments and a redraw facility, plus no upfront application fee and no ongoing service fees. You can also choose your repayment frequency to fit your budget, weekly, fortnightly or monthly, and borrow from $40,000 up.

This is just a selection of our Mozo Experts Choice Home Loan winners. Head over to our dedicated Awards page if you want to see the full list of winners.

Want to compare more home loans? Check out the latest mortgage rates from 80 lenders at Mozo's home loan comparison hub.

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.

Mozo may receive advertising fees from the financial institutions, issuers of financial or credit products and third party advice providers that are shown on this page. These fees are based on a cost per click, cost per acquisition, or a fixed 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 $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.

^See information about the Mozo Experts Choice Home Loan Awards

Mozo provides general product information. We don't consider your personal objectives, financial situation or needs and we aren't recommending any specific product to you. You should make your own decision after reading the PDS or offer documentation, or seeking independent advice.

While we pride ourselves on covering a wide range of products, we don't cover every product in the market. If you decide to apply for a product through our website, you will be dealing directly with the provider of that product and not with Mozo.