The P&N Fixed Rate Home Loan offers 1-5 year competitive fixed interest rates for loans with an LVR less than 80% - 3.89% for 1 year, 3.99% for 2 years, 4.19% for 3 years, 4.49% for 4 years and 4.69% for 5 years. For loans with an LVR greater than 80% the fixed rates are just 0.10% higher. After the fixed interest rate term ends the rate reverts to the Smooth Home Loan variable interest rate.
You can have the best of both worlds by splitting your home loan between a fixed and variable rate. You also have the option to attack interest immediately with interest only repayments available for up to 5 years.
First home buyers you'll be glad to hear that the P&N Fixed Rate Home Loan allows you to borrow up to 90% of the property's value for amounts above $20k.
Who it's good for:
If you're looking for a competitive fixed rate home loan - without the bells and whistles - and want to know your repayment schedule for the next few years then the P&N Fixed Rate Home Loan could be perfect for you.
While the home loan comes with great rates, it lacks features like extra repayments, a redraw facility or an offset account. So weigh up whether you need these options before you apply.