Compare home loans for October

Buying a new home, refinancing, or investing? Find the best home loan for you by comparing 463 home loans from 96 Australian lenders here on Mozo.

Fact Checked

Did you know?

For the week of 21 October 2024, the average owner-occupier variable home loan rate in our database is 6.75% p.a., while the best rate is 5.88% p.a. (6.20% p.a. comparison rate*) for borrowers with 80% LVR. That’s an annual saving of $3,400+ on a $500k mortgage over 30 years.

Mozo may receive payment if you click products on our site. We don’t compare the entire market, but you can search our database of 463 home loans using the filters.
Last updated 24 October 2024 Important disclosures and comparison rate warning*

Home loan comparisons on Mozo

  • Fixed Home Loan

    • Owner Occupier
    • Principal and Interest
    Interest rate
    5.54 % p.a.
    Fixed 2 years
    Comparison rate
    5.93 % p.a.
    Initial monthly repayment
    $2,852
    Go to site

    Competitive fixed rate on up to a 30 year loan term. No application fees to pay. Additional repayments up to $20,000 per year without penalty. Free online redraw. Optional 100% offset feature ($10/month) 10% minimum deposit. Fees & charges apply, Australian Credit Licence 237879 is held by Bendigo and Adelaide Bank Limited, the credit provider.

  • Unloan Variable

    • Owner Occupier
    • LVR <80%
    Interest rate
    5.99 % p.a.
    Variable
    Comparison rate
    5.90 % p.a.
    Initial monthly repayment
    $2,995
    Go to site

    Built by CommBank, the Unloan is the first home loan with an increasing discount (conditions apply) for borrowers. No application or banking fees. No monthly account keeping or early exit fees. Apply online in minutes.

  • Fixed Home Loan

    • Owner Occupier
    • Principal and Interest
    Interest rate
    5.54 % p.a.
    Fixed 2 years
    Comparison rate
    5.93 % p.a.
    Initial monthly repayment
    $2,852
    Go to site

    Competitive fixed rate on up to a 30 year loan term. No application fees to pay. Additional repayments up to $20,000 per year without penalty. Free online redraw. Optional 100% offset feature ($10/month) 10% minimum deposit. Fees & charges apply, Australian Credit Licence 237879 is held by Bendigo and Adelaide Bank Limited, the credit provider.

  • Fixed Rate Home Loan

    • Owner Occupier
    • Principal & Interest
    • LVR <60%
    Interest rate
    5.59 % p.a.
    Fixed 5 years
    Comparison rate
    6.27 % p.a.
    Initial monthly repayment
    $2,867

    Get repayment certainty with HSBC’s low 2 Year Fixed Rate Home Loan. Make up to $10,000 of extra repayments a year. The option to split your home loan between fixed and variable. Plus, score $3,288 cashback when you refinance an existing home loan of $250,000. Must apply by 28 February 2023 and settle by 30 April 2023.

  • 2-Year Discounted - Simple Home Loan Variable

    • Owner-Occupied
    • Principal and Interest
    • LVR<60%
    Interest rate
    5.54 % p.a.
    Variable for 24 months and then 5.99% p.a.
    Comparison rate
    5.90 % p.a.
    Initial monthly repayment
    $2,988
    Go to site

    Enjoy a low variable rate with no application, ongoing or monthly fees to pay. Access your money via internet banking at any time with free redraws. Make additional repayments at any time. Available for owner occupied, investment and interest only repayments.

  • Variable Home Loan

    • Owner Occupier
    • Principal and Interest
    Interest rate
    5.98 % p.a.
    Variable
    Comparison rate
    6.02 % p.a.
    Initial monthly repayment
    $2,991
    Go to site

    Competitive variable rate on up to a 30 year loan term. No application fees to pay. Unlimited additional repayments. Free online redraw. Optional 100% offset feature ($10/month) 10% minimum deposit. Fees & charges apply, Australian Credit Licence 237879 is held by Bendigo and Adelaide Bank Limited, the credit provider.

  • Unloan Variable

    • Owner Occupier
    • LVR <80%
    Interest rate
    5.99 % p.a.
    Variable
    Comparison rate
    5.90 % p.a.
    Initial monthly repayment
    $2,995
    Go to site

    Built by CommBank, the Unloan is the first home loan with an increasing discount (conditions apply) for borrowers. No application or banking fees. No monthly account keeping or early exit fees. Apply online in minutes.

  • Discounted Home Value Loan

    • Owner Occupier
    • Principal & Interest
    • LVR <60%
    Interest rate
    5.99 % p.a.
    Variable
    Comparison rate
    5.99 % p.a.
    Initial monthly repayment
    $2,995

    Enjoy competitive rates for owner occupiers. Enjoy unlimited free extra repayments. Flexibility to redraw additional payments for free. No ongoing monthly service fee. Receive $3,288 cashback when you refinance an existing home loan. Minimum loan amount of $250,000, settle within 120 days from applying.

  • Simple Home Loan Variable

    • Owner-Occupied
    • Principal and Interest
    • LVR<60%
    Interest rate
    5.99 % p.a.
    Variable
    Comparison rate
    5.99 % p.a.
    Initial monthly repayment
    $2,995
    Go to site

    Enjoy a low variable rate with no application, ongoing or monthly fees to pay. Access your money via internet banking at any time with free redraws. Make additional repayments at any time. Available for owner occupied, investment and interest only repayments.

  • Fixed Rate

    • Owner Occupier
    • Principal & Interest
    • <80% LVR
    Interest rate
    5.99 % p.a.
    Fixed 3 years
    Comparison rate
    6.89 % p.a.
    Initial monthly repayment
    $2,995

    Enjoy up to $3000 cashback for eligible first home buyers and $2000 cashback for refinancers on eligible home loans with the ANZ Fixed Rate Home Loan. Get the security of repayment certainty with a competitive locked in rate. No ongoing fees to pay. Offset account on 1-year fixed loans ($10/month fee applies). Interest-only payments allowed.

  • Mortgage Simplifier

    • LVR<80%
    • Owner Occupier
    • Principal & Interest
    Interest rate
    6.14 % p.a.
    Variable
    Comparison rate
    6.17 % p.a.
    Initial monthly repayment
    $3,043

    Get a competitive variable rate with ING’s Mortgage Simplifier. Free extra repayments, no monthly or annual fees. Freedom to make free extra repayments or redraws.

  • Elevate

    • Owner Occupier
    • Principal & Interest
    • <80% LVR
    Interest rate
    6.18 % p.a.
    Variable
    Comparison rate
    6.18 % p.a.
    Initial monthly repayment
    $3,056

    Get competitive rates on loan terms of 5 to 30 years with the Aussie Elevate Home Loan. Structure your loan with up to five splits. Make additional repayments (T&Cs apply). Offset accounts available. Unlimited redraw using your online banking account. Choose from weekly, fortnightly or monthly payments For loan amounts from $10,000 to $5 million.

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Need help with your Home Loan?

Whether you're looking to purchase a new home or refinance your existing loan, our friends at Lendi can help! Lendi’s expert advice is completely free of charge.

Learn more

Interest rates change regularly - stay informed.

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Meet our home loan experts

Mozo’s team of home loan experts include data analysts, finance journalists and compliance professionals. Meet the team

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October Home Loans Snapshot

Inflation in Australia continues to ease, bringing us closer to home loan rate cuts in the coming months. However, consensus is split on whether the Reserve Bank of Australia (RBA) will cut interest rates in December 2024, or if borrowers will have to hold out for a cash rate cut until early 2025.

What the RBA wants to see is annual inflation fall within the 2-3% range. When the September quarter Consumer Price Index (CPI) is released at the end of this month, we’ll have a better idea of how inflation is tracking and whether the economy is ready for a cash rate cut in December. 

Lenders sure seem ready for it, however, as the Mozo database recorded 200 fixed rate cuts last month alone. Lenders set their fixed rates based on where they predict interest rates are headed. So, this is a good sign.

Best variable home loan rates in October 2024

The average variable rate† in the Mozo database is 6.75% p.a., while the lowest is Bank Australia’s Clean Energy Home Loan Eco Plus, at 5.88% p.a. (6.20% p.a. comparison rate*)†† for the first 60 months. 

As at 24 October 2024, the lowest variable rates†† among lenders we track are:

  • Bank Australia Clean Energy Home Loan Eco Plus | 5.88% p.a. (6.20% p.a. comparison rate*)†† for the first 60 months
  • Homeloans360 Owner Variable Home Loan | 5.89% p.a. (5.89% p.a. comparison rate*)
  • Pacific Mortgage Group Standard Variable Home Loan | 5.89% p.a. (5.89% p.a. comparison rate*)
  • Police Credit Union Low Rate Home Loan Special Offer | 5.89% p.a. (5.95% p.a. comparison rate*)
  • The Mutual Bank Special Budget Home Loan | 5.89% p.a. (5.90% p.a. comparison rate*)

†Average owner-occupied variable rate for a $400,000 loan with principal and interest repayments and <80% LVR in the Mozo database at 24 October 2024. 

††Lowest variable home loan rates for a $400,000 loan with principal and interest repayments and <80% LVR in the Mozo database at 24 October 2024.

Home loan knowledge hub

Why understanding home loan rates matters  

Small interest rate differences can amount to huge savings over time.

The graph below illustrates how lower rates can translate to interest savings, using the example of an $800,000 mortgage, with a 25-year term.



At 6.50% p.a., you would end up paying $820,497 in interest alone. In other words, you'd pay back your principal loan amount of $800,000 and pay an additional $820,497 in interest – that's over $1.6 million all up. 

Comparing the 6.00% and 6.50% interest rate examples above, a difference of just 0.50% could save you almost $250 per month, or over $74,000 over the span of 25 years.

Big Four vs alternative lenders

In Australia, home loans are available from a wide range of lenders including the Big Four, customer-owned banks, credit unions and non-bank lenders.

The Big Four banks (ANZ, CommBank, NAB, and Westpac) however dominate the home loan market. Despite their popularity, Big Four home loans tend to have higher rates than the competition.

Compared to the average variable rate in the Mozo database, a borrower with an $800,000 home loan could spend an extra $225 per month, or over $67,000 over 25 years with a Big Four, as illustrated below. This is why it’s important to shop around and compare home loans before you commit to any one lender. 

Type
Average interest rate
Monthly repayment
Total repayment (25 years)
Big Four variable 
7.19% p.a.
$5,752
$925,470
All variable rates
6.75% p.a. 
$5,527
$858,188
Source: Mozo database, 24 October 2024. Interest rates based on a $400,000 owner-occupier variable home loan, with principal and interest repayments and <80% LVR over 25 years. Calculations based on a loan of $800,000. 

The RBA’s relationship with home loan rates 

There are several factors that influence home loan rates in Australia. Competition between lenders and inflation are among the culprits, but recently the biggest influence on interest rates has come from the Reserve Bank of Australia (RBA). 

To control inflation, the RBA manipulates the cash rate. When the cash rate is raised, interest rates tend to increase in response. This usually results in less spending by consumers and the eventual easing of inflation. 

Over the past few years, the RBA cash rate has increased by 4.25% and this has pushed up interest rates on home loans as banks and lenders responded. 



In April 2022, the cash rate was at just 0.10%, and the average variable home loan was 3.03% p.a. By November 2023, the cash rate had risen to 4.35%. 

While the RBA hasn’t raised rates since then, the average variable rate has doubled which has put a lot of pressure on mortgage holders. As at 24 October 2024, the average variable home loan rate is now 6.75% according to the Mozo Database (based on OO, P&I, $400k, <80% LVR loan).

A logo cloud of various Mozo Experts Choice Award winners for the best home loans in 2024

Best of 2024: Award-winning home loans

Each year we conduct a review of all home loans in our database for the Mozo Experts Choice Home Loan Awards.

We run a number of scenarios across 11 categories to find the home loans that deliver the best value for Australian borrowers. Out of 475 home loans from 99 lenders we compared for this year’s awards, here’s some of the award winners: 

To view the full list of winners, click the button below, or read the awards criteria in the methodology report found here.


What is a home loan?

A home loan is an amount of money that you borrow to finance the purchase of a property.

How do home loans work?

A home loan works in a similar way to any other loan. You borrow an amount of money to fund the purchase of a property or land and you pay that money back (principle), plus interest, over a period of time.  

There are a range of different factors that determine the repayment amount.

  1. Loan term. In Australia the typical loan term for a mortgage is 25 to 30 years but you can have a loan term for less than this.  
  2. Interest rates: borrowers have a choice between fixed and variable interest rates for home loans or a split home loan where a portion of the loan is fixed and the other portion is variable. Fixed rate loans are usually available for terms between 1-5 years.   
  3. Repayment frequency. The standard home loan repayment is made monthly, but many lenders also offer weekly and fortnightly options.   
  4. Type of repayment. For owner occupier home loans the standard repayment type is principal and interest (P&I). There is also an interest-only (IO) repayment structure, where you only pay back the interest you are charged. This is a popular option for investment loans.  

What are the different types of home loans in Australia?

There are two types of home loans: owner-occupied and investment home loans. 

  • Owner-occupied home loans are for borrowers who intend to live in the home they are buying (in other words, a property occupied by the owner). 
  • Investment home loans are tailored towards property investors who intend to rent out the properties they purchase to tenants. 

Compare more home loan options

Looking to see if you can switch and save, fix your rate, or finance an investment property purchase?


How much can I borrow for a home loan? 

How much a home loan lender lets you borrow will depend on several factors, including: 

You can use a borrowing power calculator to estimate the amount of money a lender may let you borrow based on your income, your expenses, and other debts you might have. 

How to compare home loans 

Using a home loan comparison service like Mozo means you can compare a wide variety of options quickly, easily, and for free. 

When you compare home loans, ask yourself the following questions: 

  • Is this interest rate competitive or are there comparable loans with a lower rate?
  • Do I want to fix my interest rate or am I comfortable with a variable rate? 
  • Does this loan charge higher fees than the others on my shortlist? 
  • Is there a monthly fee to use certain features of this home loan (e.g. an offset account)? 
  • Am I getting the features I want with this home loan? 
  • Do I meet the eligibility requirements to get this loan, including minimum deposit or LVR restrictions? 

These questions can help point you in the right direction and make it easier for you to decide on the right home loan for you. 

Home loan basics FAQs

How much deposit will I need for a home loan?

The standard deposit in Australia is 20% of the value of a property. Although, it is possible to buy a home with a deposit of less than 20% by using government schemes, such as the First Home Guarantee scheme, and by opting for a low-deposit home loan

How is home loan interest calculated?

The interest on your home loan is calculated daily, based on your outstanding balance. 

Your lender will multiply your loan balance by your interest rate, then divide that number by 365 days to find your daily interest amount. They will then add all of your daily interest charges together for the month, which you will pay for as part of your mortgage repayment. 

If you make weekly or fortnightly payments, it follows that you’ll pay the accumulated daily interest for the week or fortnight.

Read our guide on calculating interest on a loan for more information.

Is home loan interest tax deductible?

Home loan interest is not tax-deductible for owner-occupiers. However, property investors can claim interest as a tax deduction if they have an investment home loan. 

Home loan comparison FAQs

What is an offset account?

An offset account is a transaction account that allows you to reduce how much interest you’re charged. You won’t pay interest on your loan balance equal to the amount of money you hold in your offset account. 

For example, if you have a $500,000 home loan debt and $50,000 in your offset account, your home loan interest will be calculated on just $450,000. 

Read our guide on how offset accounts work for more information.

When should I refinance my home loan?

The right time to refinance will be different for each individual’s circumstance but we recommend that you review home loan offers at least every two years to make sure that your home loan remains competitive. 

If you stand to save money by refinancing, it’s a good idea. This means weighing up the risks and the costs of refinancing compared to sticking with your current home loan, and judging for yourself if it’s the right move. 

Home loan application FAQs

How do I apply for a home loan?

The process of applying for a home loan involves working out how much you can borrow, saving up for a deposit, comparing home loan options, getting pre-approval from a lender, and gathering all of your documents to submit as part of your application.

What is LVR?

LVR stands for loan-to-value ratio. This is the amount you borrow, expressed as a percentage of the value of the property you buy. 

When you first apply for a loan, your LVR is determined by your deposit size. The higher your deposit is, the lower your LVR will be. 

But your LVR can also change over time, as you pay off more of your home loan, or as your property value goes up and down.

What is Lenders Mortgage Insurance?

Lenders Mortgage Insurance (LMI) is an insurance product designed to protect your lender financially if you default on your home loan. You are usually required to pay for LMI if you apply for a home loan with a loan-to-value ratio (LVR) over 80%. This is because borrowers with high LVRs present more risk to the bank.

Will a HECS debt affect getting a home loan?

Having student loan debt won’t stop you from getting a home loan. However, as with any liability you have, a HECS-HELP debt will diminish your borrowing power and mortgage serviceability.

This is because the income you would otherwise have to spend on mortgage repayments is being taken up by your other financial obligations. This is a potential red flag for lenders when assessing if you’re a good fit for their product.

What home loan can I afford

To work out what home loan you can afford, plug your income and expenses into a borrowing power calculator. You’ll get an estimate how much you might be able to borrow from a lender at different interest rates and how much your borrowing power changes by eliminating other expenses.

Jack Dona
Jack Dona
RG146
Money writer

Jack is RG146 Generic Knowledge certified, with a Bachelor of Communications in Creative Writing from UTS, and uses his creative flair to cut through the financial jargon and make home loans, insurance and banking interesting. His reader-first approach to creating content and his passion for financial literacy means he always looks for innovative ways to explain personal finance. Jack's research and explanations have been featured in government publications, and his work is regularly featured alongside major publications in Google's Top Stories for Insurance.

Brands we compare

We compare home loans from the following well-known providers and many more... See more home loan providers

Home loan customer reviews

St.George Variable Home Loan (Advantage Package)
Overall 7/10
Customer first

When other banks closed the door to me, this one was the only one to accept me as a customer. And I never failed any payments at all. It felt less bureaucratic.

Read full review

When other banks closed the door to me, this one was the only one to accept me as a customer. And I never failed any payments at all. It felt less bureaucratic.

Price
7/10
Features
7/10
Customer service
7/10
Convenience
7/10
Trust
8/10
Less
Ana, New South Wales, reviewed 2 days ago
RAMS Home Loan
Overall 10/10
Reccomend RAMS for mortgage needs.

I have a mortgage with RAMS and since the beginning it has been easy. Their customer service is second to none, whenever I have needed to contact them they have Australian phone lines and answer promptly. I have never had an issue with them. Their app could be updated as it is a bit of an older interface and feels that way however it still does everything you need it to do.

Read full review

I have a mortgage with RAMS and since the beginning it has been easy. Their customer service is second to none, whenever I have needed to contact them they have Australian phone lines and answer promptly. I have never had an issue with them. Their app could be updated as it is a bit of an older interface and feels that way however it still does everything you need it to do.

Price
8/10
Customer service
10/10
Convenience
8/10
Trust
10/10
Less
Ella, Western Australia, reviewed 2 days ago
NAB Base Variable Rate Home Loan
Overall 6/10
Big bank so no chance for individual tayloring

NAB is of course one of the big 4, so knowing that they can disregard borrowers individual requests for tayloring home loans when you need to(which they will do !). That said they do have great packages that include credit cards, a good app to access your loan & lots of brick & mortor branches.

Read full review

NAB is of course one of the big 4, so knowing that they can disregard borrowers individual requests for tayloring home loans when you need to(which they will do !). That said they do have great packages that include credit cards, a good app to access your loan & lots of brick & mortor branches.

Price
6/10
Features
5/10
Customer service
5/10
Convenience
8/10
Trust
4/10
Less
Anella, Victoria, reviewed 2 days ago

More home loan reviews