The Newcastle Permanent Fixed Rate Home loan is available for 1 up to 10 years, though the most competitive rates are for its 1 - 3 year terms with principal & interest repayments where the 1 and 2 year rates are 3.74%, while 3 year fixed rate is 3.79%. For 4 and 5 year terms you are looking at a rate of 4.24%.
You can borrow up to 95% of the property value (80% for investment) but anything over 80% will require lender's mortgage insurance. This is a loan that everyone can apply for whether you are a first time buyer or looking to purchase a multimillion dollar property but there is a maximum loan term of 30 years.
The loan establishment fee of $595 is currently waived for owner occupier loans and there are no ongoing account keeping fees so you can be sure that all of your hard earned money will go towards paying down your home loan and not going towards unnecessary fees.
Tailor your repayments to suit you with weekly, fortnightly or monthly repayment options available.
You can make extra repayments or lump sum repayments with the Fixed Rate Home Loan but they are capped at $25,000 p.a. during the fixed rate period. If you have made additional repayments you can take a "repayment holiday" so long as the extra repayments will cover the regular required repayments.
Who it's good for:
Borrowers looking for peace of mind knowing that their interest rate or repayments aren't going to change for a set term.
No, you don't have to live in Newcastle to be able to take advantage of Newcastle Permanent's great fixed rates. You can do you banking online or over the phone.
While you can make additional repayments just keep in mind that as with most fixed rate home loans there isn't a redraw facility and if you pay out the loan early you could be up for break costs.