The loans.com.au Essentials Home Loan is a good basic home loan for people who are looking at borrowing less than $2,000,000 and don't want added features that will add to their repayment costs. It has one of the lowest variable rates in the market at 3.64% (3.66% comparison) and no ongoing fees. Plus, for a limited time, home buyers can snag a special discounted rate of just 3.54% (3.56% comparison rate.)
While it is also suited to investors, keep in mind investment loans incur a 0.45% loading increasing the variable rate to 4.09%, from the regular rate of 3.64%.
The loan is only available for loans up to an LVR of 80% so you'll need to have at least a 20% down payment to qualify for the loan. While the Essentials doesn't have an offset account you can make free extra repayments and there is also a redraw facility should you need to dip into the loan down the track.
Loans.com.au is an online only lender so you'll need to be comfortable with an online application process. There is phone support so you won't be left hanging if you have questions about your loan but you won't be able to visit a branch.
You can also time your repayments to suit your lifestyle with weekly, fortnightly or monthly repayment options.
Who it's good for:
There is a maximum loan amount of $2,000,000 with the Essentials Home Loan and an LVR requirement of 80% or less so it is ideally suited to property investors and people looking to refinance to a low rate home loan.
While there are no ongoing fees, just be aware there are some upfront fees you'll need to factor in including a $300 settlement fee. You'll also be charged a valuation fee of $220 or at cost depending on the property and government charges will be done at cost.