7.8 / 10

based on 862 reviews as rated by Mozo community

Bank of Melbourne home loans

Whether you’re a first home buyer, property investor or refinancer, Bank of Melbourne has a range of home loans to fulfil your property dreams. Operating under the Westpac Group, Bank of Melbourne is part of Australia’s largest regional banking network with St George and BankSA. Don’t let the name fool you, this bank is not just for those living in Melbourne, it’s available for anyone living in Australia, all you need is a computer or phone to get your home loan application rolling.

On this page you can compare all of the Bank of Melbourne home loans including variable, fixed and line of credit to find the best one to snatch up your dream home. Or if you are wondering how Bank of Melbourne compare against other lenders by head on over to the Mozo comparison engine and search all home loans here.

What home loans do Bank of Melbourne offer?

Rates and fees verified as correct at 27 October, 2020. Other information correct at the time of writing. Advertiser disclosure.

Fixed Rate Home Loans

Like any fixed rate, you’ll always know where you stand with your monthly budget but with Bank of Melbourne’s fixed home loan if you end up with extra funds you can make fee free extra repayments up to a certain amount each year. There is also a repayment holiday feature which you can use if you need to have a break from the workforce such as maternity leave. The fixed rate loan is available for periods between 1 and 5 years with a choice of principal and interest repayments or interest only repayments. There is a partial interest offset facility where you can rack up serious savings over the term of the loan, but keep in mind these great features aren’t free, you’ll need to pay a monthly service fee.

Home loan repayments calculator

years

Product Fixed 3 year rate Comparison Rate* Service fee Upfront fee Monthly repayments ‡

3.79% p.a.

4.90% p.a.

$10.00 monthly

$700

3.74% p.a.

4.85% p.a.

$10.00 monthly

$700

2.39% p.a.

4.11% p.a.

$10.00 monthly

$700

2.44% p.a.

4.16% p.a.

$10.00 monthly

$700

2.34% p.a.

4.07% p.a.

$10.00 monthly

$700

2.99% p.a.

4.89% p.a.

$10.00 monthly

$700

3.04% p.a.

4.94% p.a.

$10.00 monthly

$700

2.94% p.a.

4.84% p.a.

$10.00 monthly

$700

2.79% p.a.

4.63% p.a.

$10.00 monthly

$700

2.84% p.a.

4.68% p.a.

$10.00 monthly

$700

2.74% p.a.

4.58% p.a.

$10.00 monthly

$700

Variable Rate Home Loans

If you’re busy scouring the market for a flexible home loan, Bank of Melbourne has two variable home loans on offer: a no frills, basic variable rate on loans starting from $30,000 and a standard variable rate that is available for loans from as low as $10,000. For first home buyers and those with smaller deposits, Bank of Melbourne’s variable home loans allow you to borrow up to 95% LVR. Both variable loan options from Bank of Melbourne are packed with flexible features that make paying of your loan a breeze including free extra repayments and the ability to set up automatic payments from your nominated Bank of Melbourne bank account - so you never miss a payment! A redraw facility is on hand but you’ll need the bank’s approval to use it, so be sure that you have enough funds to cover your weekly or monthly expenses before making any additional payments.

Home loan repayments calculator

years

Product Rate Comparison Rate* Service fee Upfront fee Monthly repayments ‡

3.19% p.a.

3.24% p.a.

$0.00

$600

2.59% p.a.

2.64% p.a.

$0.00

$600

3.14% p.a.

3.19% p.a.

$0.00

$600

3.09% p.a.

3.14% p.a.

$0.00

$600

2.54% p.a.

2.56% p.a.

$0.00

$100

2.59% p.a.

2.61% p.a.

$0.00

$100

2.49% p.a.

2.51% p.a.

$0.00

$100

5.08% p.a.

5.25% p.a.

$10.00 monthly

$700

5.03% p.a.

5.20% p.a.

$10.00 monthly

$700

4.49% p.a.

4.66% p.a.

$10.00 monthly

$700

4.54% p.a.

4.71% p.a.

$10.00 monthly

$700

4.44% p.a.

4.61% p.a.

$10.00 monthly

$700

3.34% p.a.

3.39% p.a.

$0.00

$600

3.04% p.a.

3.09% p.a.

$0.00

$600

3.19% p.a.

3.24% p.a.

$0.00

$600

3.14% p.a.

3.19% p.a.

$0.00

$600

2.99% p.a.

3.01% p.a.

$0.00

$100

3.04% p.a.

3.06% p.a.

$0.00

$100

2.94% p.a.

2.96% p.a.

$0.00

$100

5.36% p.a.

5.53% p.a.

$10.00 monthly

$700

5.31% p.a.

5.48% p.a.

$10.00 monthly

$700

5.07% p.a.

5.24% p.a.

$10.00 monthly

$700

5.12% p.a.

5.29% p.a.

$10.00 monthly

$700

5.02% p.a.

5.19% p.a.

$10.00 monthly

$700

Fixed Package Home Loan

The Advantage package from the Bank of Melbourne is a great choice if you’re looking to borrow between $500,000 and $1,000,000. In return for an annual fee, you’ll receive a discounted interest rate and fees waived on your home loan, credit card and transaction account (i.e. establishment fee, annual card fee, transaction keeping account fee). You can opt for a standard variable, fixed or line of credit home loan and if you have a BT Super for Life account, you’ll receive a $200 cash bonus when your account balance reaches $1,000.

Home loan repayments calculator

years

Product Fixed 3 year rate Comparison Rate* Service fee Upfront fee Monthly repayments ‡

3.64% p.a.

4.16% p.a.

$395.00 yearly

$100

3.59% p.a.

4.11% p.a.

$395.00 yearly

$100

2.24% p.a.

3.38% p.a.

$395.00 yearly

$100

2.29% p.a.

3.43% p.a.

$395.00 yearly

$100

2.19% p.a.

3.33% p.a.

$395.00 yearly

$100

2.84% p.a.

4.15% p.a.

$395.00 yearly

$100

2.89% p.a.

4.20% p.a.

$395.00 yearly

$100

2.79% p.a.

4.10% p.a.

$395.00 yearly

$100

2.64% p.a.

3.90% p.a.

$395.00 yearly

$100

2.69% p.a.

3.94% p.a.

$395.00 yearly

$100

2.59% p.a.

3.85% p.a.

$395.00 yearly

$100

Variable Package Home Loan

For loans between $500,000 and $1,000,000 with added flexibility, take a look at the variable rate Advantage package from the Bank of Melbourne. It’s essentially the same as the fixed rate alternative, but you’ll have unlimited extra repayments and the full use of an offset account, to help you pay off your home loan faster. If you’re an owner-occupier, you may also be eligible to get $2000 cash back if your loan is over $250,000.

Home loan repayments calculator

years

Product Rate Comparison Rate* Service fee Upfront fee Monthly repayments ‡

3.78% p.a.

4.19% p.a.

$395.00 yearly

$100

3.73% p.a.

4.14% p.a.

$395.00 yearly

$100

3.19% p.a.

3.62% p.a.

$395.00 yearly

$100

3.24% p.a.

3.67% p.a.

$395.00 yearly

$100

3.14% p.a.

3.57% p.a.

$395.00 yearly

$100

4.06% p.a.

4.47% p.a.

$395.00 yearly

$100

4.01% p.a.

4.42% p.a.

$395.00 yearly

$100

3.77% p.a.

4.18% p.a.

$395.00 yearly

$100

3.82% p.a.

4.23% p.a.

$395.00 yearly

$100

3.72% p.a.

4.13% p.a.

$395.00 yearly

$100

Line of Credit

Line of Credit

Bank of Melbourne’s Portfolio line of credit home loan allows you to borrow up to 90% of your property's value which can be put towards other investments such as shares, property or even a new car. You have the choice to pay either a monthly or annual fee and like other line of credit loans there is no set repayment terms which means you can repay the loan whenever it suits you. You will enjoy 24/7 access to your home loan through mobile and online banking and a linked Visa debit card that you can use to shop wherever Visa is accepted.

Product Rate Comparison Rate* Service fee Upfront fee

5.98% p.a.

n/a

$200.00 yearly

$800

*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.

‡ Results from this calculation are estimates only as individual lenders apply different formulas. Actual repayments will depend on your individual circumstances and interest rate changes.

Bank of Melbourne home loan features in a glance

Image of coins

Repayment pause

No pressure if you’ve been off work for a while, you can reduce or hold your payments when you have fixed or variable loan with Bank of Melbourne (fees apply). Keep in mind this feature is subject to approval.

Image of coins

Family pledge

Bank of Melbourne’s Family Pledge option allows family members to use their own home’s equity to provide security for a portion of your loan amount. Unlike other banks, the guarantee can be limited to a specific amount. This way you may be able to avoid Lender’s Mortgage Insurance which is required of loans with an LVR that exceeds 80%.

Repayment Icon

Automatic repayments

You can set up automatic repayments from your nominated Bank of Melbourne bank account and never miss a payment again.

Image of coins

Rate lock feature

If you want to safeguard yourself against interest rate rises during settlement, Bank of Melbourne’s fixed home loan offers a rate lock feature that allows you to secure their advertised interest rate (up to 3 months). There is a fee for this service. 

Image of coins

Interest offset

With Bank of Melbourne’s standard variable rate, you’ll be able to save bundles on interest through an full interest offset facility which offsets the funds in your linked transaction account against the balance of your loan. The fixed rate loan offers a partial interest offset which allows you to access a reduced interest rate.

How are Bank of Melbourne home loans rated?

Mozo users have rated Bank of Melbourne home loans on price, features, convenience, trust and customer service so you can see what real Aussies have to say about their experiences.

Icon of home-loans
Bank of Melbourne home loans
Overall
7.1/10
Price
Features
Customer service
Convenience
Trust
168 reviews

Recent Bank of Melbourne home loan reviews

Bank of Melbourne Fixed Home Loan review
Overall 1/10
Shop around!

Have held my Home Loans with Bank of Melbourne for the last 6/7 Years. Unfortunately they can be a hit and miss in the Customer Service Department just like playing the Lotto. Recently I called up to see if they could give me a better Home Loan rate or price match a quote I received by NAB and you guess it! No jack pot what so ever. I guess it pays to shop around. In the famous words of GUMPY lifes a box of chocolate you don't know what your gonna get. At this point in time i'll think ill go with the Chocolate Hazelnut NAB instead of the ROCKY ROAD of MOB. Each to there own cheers.

Read full review

Have held my Home Loans with Bank of Melbourne for the last 6/7 Years. Unfortunately they can be a hit and miss in the Customer Service Department just like playing the Lotto. Recently I called up to see if they could give me a better Home Loan rate or price match a quote I received by NAB and you guess it! No jack pot what so ever. I guess it pays to shop around. In the famous words of GUMPY lifes a box of chocolate you don't know what your gonna get. At this point in time i'll think ill go with the Chocolate Hazelnut NAB instead of the ROCKY ROAD of MOB. Each to there own cheers.

Price
2/10
Features
2/10
Customer service
1/10
Convenience
4/10
Trust
2/10
Less
Dom, Victoria reviewed 2 months ago
Bank of Melbourne Home Loan review
Overall 1/10
Best avoided

I refinanced 2 home loans with BOM in Feb 2020. They didn’t settle until June 2020. They asked for the same sets of documentation 5 times. Then asked for additional paperwork not previously mentioned after this. Un-explainable delays & poor communication. Didn’t explain fees or paperwork. Put a substantial amount of money into a redraw facility & the money wasn’t accessible for 1 month. They basically appropriated all my savings & made me write a letter to them to get the savings back. Had to go to AFCA for compensation which was awarded. The cash back offer just isn’t worth the hassle of this bank. Avoid them.

Read full review

I refinanced 2 home loans with BOM in Feb 2020. They didn’t settle until June 2020. They asked for the same sets of documentation 5 times. Then asked for additional paperwork not previously mentioned after this. Un-explainable delays & poor communication. Didn’t explain fees or paperwork. Put a substantial amount of money into a redraw facility & the money wasn’t accessible for 1 month. They basically appropriated all my savings & made me write a letter to them to get the savings back. Had to go to AFCA for compensation which was awarded. The cash back offer just isn’t worth the hassle of this bank. Avoid them.

Price
1/10
Features
1/10
Customer service
1/10
Convenience
1/10
Trust
1/10
Less
Tom, Queensland reviewed 2 months ago
Bank of Melbourne Fixed Home Loan review
Overall 8/10
Would recommend.

BOM is a good bank with excellent customer service. Wait times low and my questions have always been answered timely with good financial support. Online banking very good too.

Read full review

BOM is a good bank with excellent customer service. Wait times low and my questions have always been answered timely with good financial support. Online banking very good too.

Price
6/10
Features
7/10
Customer service
9/10
Convenience
8/10
Trust
8/10
Less
Katherine, Victoria reviewed 3 months ago
Bank of Melbourne Home Loan review
Overall 8/10
Great service and supportive staff.

Bank of Melbourne offers great, personalised service and are responsive to our needs. They are happy to review their interest rates regularly and will price match.

Read full review

Bank of Melbourne offers great, personalised service and are responsive to our needs. They are happy to review their interest rates regularly and will price match.

Price
8/10
Features
9/10
Customer service
9/10
Convenience
9/10
Trust
9/10
Less
William, Victoria reviewed 4 months ago
Bank of Melbourne Fixed Home Loan (Advantage Package) review
Overall 3/10
Better banks available then Bank of Melbourne

Always seems to increase their rates higher then other bank. Not a good service.

Read full review

Always seems to increase their rates higher then other bank. Not a good service.

Price
3/10
Features
4/10
Customer service
2/10
Convenience
7/10
Trust
2/10
Less
Jeet, Victoria reviewed 4 months ago

What do you need to apply for a Bank of Melbourne home loan?

To apply for a Bank of Melbourne home loan, you’ll need the following details and documents:

  • Savings history including a copy of statements for all your savings account(s) held with other banks/financial institutions covering 3 months.
  • Income Details
    • Salary including details of each component of your income, current and year to date gross and net income and your employer’s name.
    • If you’re self-employed you will need copies of your personal income tax returns and full financial statements for the past 2 years and a copy of your most recent financial year’s Assessment Notice (which should not be older than 18 months at the date of application).
    • Don’t forget to include details of other incomes you may be receiving including rental income, Centrelink payments, commission/bonuses, maintenance, loans/cards with other financial institutions and details of any extraordinary expenses such as school fees or maintenance payments.
  • Purpose of borrowing such as housing construction/renovation, plans and specifications, purchasing an existing property or vacant land, refinancing, borrowing against the equity in your current home or paying out a joint owner.
  • Other documentation (if necessary) including any First Home Owner Grant details, strata title, company title, if your loan will be in a company name or trustee and other proof of deposit including gifts from family and friends and sales of assets (other than real estate).

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