7.8 / 10

based on 873 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 22 January, 2021. 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

2.19% p.a.

4.06% p.a.

$10.00 monthly

$700

2.24% p.a.

4.11% p.a.

$10.00 monthly

$700

2.14% p.a.

4.02% p.a.

$10.00 monthly

$700

2.79% p.a.

4.84% p.a.

$10.00 monthly

$700

2.84% p.a.

4.89% p.a.

$10.00 monthly

$700

2.74% p.a.

4.79% p.a.

$10.00 monthly

$700

2.59% p.a.

4.58% p.a.

$10.00 monthly

$700

2.64% p.a.

4.63% p.a.

$10.00 monthly

$700

2.54% p.a.

4.53% 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

2.04% p.a.

3.33% p.a.

$395.00 yearly

$100

2.09% p.a.

3.38% p.a.

$395.00 yearly

$100

1.99% p.a.

3.28% p.a.

$395.00 yearly

$100

2.64% p.a.

4.10% p.a.

$395.00 yearly

$100

2.69% p.a.

4.15% p.a.

$395.00 yearly

$100

2.59% p.a.

4.05% p.a.

$395.00 yearly

$100

2.44% p.a.

3.85% p.a.

$395.00 yearly

$100

2.49% p.a.

3.89% p.a.

$395.00 yearly

$100

2.39% p.a.

3.80% 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

174 Reviews

Recent Bank of Melbourne home loan reviews

Bank of Melbourne Home Loan review
Overall 10/10
Fantastic.

We are changing banks to Bank of Melbourne. Their interest rate is very competitive and our loans officer is so helpful.

Read full review

We are changing banks to Bank of Melbourne. Their interest rate is very competitive and our loans officer is so helpful.

Price
10/10
Features
10/10
Customer service
10/10
Convenience
10/10
Trust
10/10
Less
Colleen, Victoria, reviewed about 19 hours ago
Bank of Melbourne Fixed Home Loan (Advantage Package) review
Overall 9/10
Fast approval great rate and service

We had multiple applications and Bank Of Melbourne came through with the fastest approval and the best rate.

Read full review

We had multiple applications and Bank Of Melbourne came through with the fastest approval and the best rate.

Price
8/10
Features
9/10
Customer service
8/10
Convenience
9/10
Trust
9/10
Less
Emma, Victoria, reviewed 2 days ago
Bank of Melbourne Home Loan review
Overall 10/10
Best bank.

Love this bank. I got a mortgage with just one pay slip and at a very competitive rate. So easy to talk to.

Read full review

Love this bank. I got a mortgage with just one pay slip and at a very competitive rate. So easy to talk to.

Price
10/10
Features
10/10
Customer service
10/10
Convenience
10/10
Trust
10/10
Less
Brendan, Victoria, reviewed 3 days ago
Bank of Melbourne Home Loan review
Overall 7/10
Helpful and friendly bank.

Pro: I have no issues with the customer services of this bank. They are responsive, friendly and very helpful. Con: When I tried to get my house evaluated, I was given a price that I thought was undervalued. I went through the process of appealing the price but was responded to in an email that said the price was set. I was not told what the process was for this appeal. I did not think the process was transparent, and hence less trustworthy.

Read full review

Pro: I have no issues with the customer services of this bank. They are responsive, friendly and very helpful. Con: When I tried to get my house evaluated, I was given a price that I thought was undervalued. I went through the process of appealing the price but was responded to in an email that said the price was set. I was not told what the process was for this appeal. I did not think the process was transparent, and hence less trustworthy.

Price
8/10
Features
7/10
Customer service
9/10
Convenience
7/10
Trust
8/10
Less
Anthony, South Australia, reviewed 8 days ago
Bank of Melbourne Fixed Home Loan (Advantage Package) review
Overall 7/10
Need to look after customers interests

Wont let us get out of a fixed term loan.

Read full review

Wont let us get out of a fixed term loan.

Price
7/10
Features
7/10
Customer service
10/10
Convenience
10/10
Trust
10/10
Less
Donna, Victoria, reviewed 29 days 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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