Online lender, Homestar’s Star Gold Home Loan comes with an enticingly low variable interest rate of just 1.79% (1.84% comparison rate*) and is available to borrowers in metro areas looking to take out an owner-occupier loan. You will have to have a deposit of at least 40% saved up to get it, but if you’re after a super low rate along with the option to make free extra repayments and to access a free redraw facility, then it may just be worth checking out.
With Homestar’s Star Gold Home Loan you can get a variable interest rate as low as 1.79% (1.84% comparison rate*) on loans between $250,000 and $850,000. You can bag this low rate if your loan-to-value ratio (LVR) is 60% or below and you’re looking to take out a principal and interest, owner-occupier loan, so it may suit those looking to downsize or refinance their current mortgage.
A low interest rate isn’t the only thing to write home about with this loan either, as it also gives borrowers the chance to chip away at their loan balance faster by making free extra repayments. There's also access to a free online redraw facility should you need to dip back into those payments for another purpose. Although it should be noted that if you do manage to pay your loan off early, you will have to pay a $535 discharge fee.
There are also a few initial fees when you take out this home loan, including a $264 legal fee, a valuation fee of $251.35 and $395 application fee. On the plus side, this home loan comes with no monthly or ongoing account keeping fees, meaning one less niggling fee to worry about.
And if convenience is what you’re after, you might be interested to hear that you can also choose to make repayments weekly, fortnightly or monthly, depending on what schedule suits you best.
This home loan could be a good fit if you have a 40% deposit (or existing loan equity) or higher saved up and you’re keen to take advantage of a super-low variable rate, plus a few extra features. That means refinancers with equity built up in their home, or anyone selling up and putting the money from the sale towards a new pad.
If you’re struggling to save up even a 20% deposit, then this home loan probably won’t work for you. It should also be noted that this particular home loan is only available to borrowers in metro areas, so if you’re looking to buy somewhere regional it won’t be an option.
1.79% p.a.
n/a
n/a
n/a
1.84% p.a.
n/a
n/a
n/a
n/a
n/a
n/a
n/a
n/a
$395.00
$264.00
$251.35
$0.00
n/a
$0.00
$535.00
$150,000
$500,000
none
60.00%
Owner Occupier
Principal & Interest
Weekly, Fortnightly, Monthly
yes - free
no
yes - free
$0.00
yes
no
Refinance Only. Metro areas only.
$535 discharge fee waived if the loan goes to full term.
Limited time offer for applications received by 31 January 2021 and settled by 30 April 2021.
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.
Homestar is a Sydney and Melbourne based company that offers home loans Australia wide, due to Homestar being a web and phone based non-bank lender that works to save you money. Homestar has been providing low rates on its home loans since 2004.
loans.com.au
Smart Booster Home Loan
1.99% p.a.variable for 12 months and then 2.48% p.a. variable
2.47% p.a.
Homestar
Star Gold Home Loan
1.79% p.a. variable
1.84% p.a.
loans.com.au
Smart Booster Home Loan
1.99% p.a.variable for 12 months and then 2.48% p.a. variable
2.47% p.a.
Newcastle Permanent
Variable Home Loan (Premium Plus Package)
2.94% p.a. variable
3.34% p.a.
loans.com.au
Smart Booster Home Loan
1.99% p.a.variable for 12 months and then 2.48% p.a.
2.47% p.a.
Homestar
Star Gold Home Loan
1.79% p.a.
1.84% p.a.
Homestar
Star Classic Fixed Home Loan
n/a
n/a
Newcastle Permanent
Fixed Rate Home Loan (Premium Plus Package)
2.18% p.a.
fixed 3 years
3.62% p.a.
People's Choice Credit Union
Fixed Rate Home Loan (Package)
1.89% p.a.
fixed 3 years
3.03% p.a.
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.
