Compare home loans for October

Mozo’s home loan comparison tools, calculators, and expert tips are here to help, from your first home loan to your latest investment property. Compare home loans below.

Fact Checked
Young couple comparing home loans
Mozo may receive payment if you click the products below. We don’t compare the entire market, but you can search our database of 461 home loans using the filters.
Last updated 5 October 2024 Important disclosures and comparison rate warning*

Home loan comparisons on Mozo

  • Unloan Variable

    • Owner Occupier
    • LVR <80%
    Interest rate
    5.99 % p.a.
    Variable
    Comparison rate
    5.90 % p.a.
    Initial monthly repayment
    $2,995
    Go to site

    Built by CommBank, the Unloan is the first home loan with an increasing discount (conditions apply) for borrowers. No application or banking fees. No monthly account keeping or early exit fees. Apply online in minutes.

image of houses

Need help with your Home Loan?

Whether you're looking to purchase a new home or refinance your existing loan, our friends at Lendi can help! Lendi’s expert advice is completely free of charge.

Learn more

Interest rates change regularly - stay informed.

Compare more home loan options

Home loans come in many shapes and sizes, start comparing here based on your needs. 

Search the Mozo Database

Browse all home loans in Mozo's comparison database.

Meet our home loan experts

Our experts track home loan rates, product changes and help you stay informed of industry trends. read more

Small rate differences can amount to huge savings so it pays to compare.

Peter Marshall

Home loans & rates expert

Image of camera lens

October Home Loans Snapshot

Inflation in Australia continues to ease, bringing us closer to home loan rate cuts in the coming months. However, consensus is split on whether the Reserve Bank of Australia (RBA) will cut interest rates in December 2024, or if borrowers will have to hold out for a cash rate cut until early 2025.

What the RBA wants to see is annual inflation fall within the 2-3% range. When the September quarter Consumer Price Index (CPI) is released at the end of this month, we’ll have a better idea of how inflation is tracking and whether the economy is ready for a cash rate cut in December. 

Lenders sure seem ready for it, however, as the Mozo database recorded 200 fixed rate cuts last month alone. Lenders set their fixed rates based on where they predict interest rates are headed. So, this is a good sign.

Top 3 variable rate home loans in October 2024

The average variable rate† in the Mozo database is 6.76% p.a., while the lowest is Homeloans360’s Owner Variable Home Loan, at 5.89% p.a. (5.89% p.a. comparison rate*)††. 

As at 1 October 2024, the lowest variable rates†† among lenders we track are:

†Average owner-occupied variable rate for a $400,000 loan with principal and interest repayments and <80% LVR in the Mozo database at 1 October 2024. 

††Lowest variable home loan rates for a $400,000 loan with principal and interest repayments and <80% LVR in the Mozo database at 1 October 2024.

Home Loans Knowledge Hub

What is a home loan? 

A home loan, or a mortgage, is a financial product designed to help you purchase a property without needing to save up the full price of a home.  

Instead, you borrow most of the money from a lender, like a bank or credit union, and pay for your home over 20 to 30 years in monthly instalments, known as mortgage repayments.

How do home loans work?

When you get a home loan, the property is used as collateral for the loan, and you are charged interest on the amount you borrow – this is how home loan lenders make their money. 

When you make repayments, you pay down the original loan amount (the principal) and the interest you accrue. 

Interest rates can be fixed, variable, or a mixture of the two – this is known as a split rate home loan.

Before a lender approves your home loan application, most require you to save up at least a 20% deposit, unless you’re a first home buyer eligible for government grants and schemes, who might only need a 2 to 5% deposit. 

Your lender will also assess your finances to determine whether you can afford the home loan in the first place. They’ll review your credit score, income, and general financial stability.

How to compare home loans

Every buyer is different and therefore has different needs and wants in a home loan. But if you’re looking for a place to start, a home loan comparison can help you uncover some of the best home loans in Australia. 

When you compare home loans, there are a few main factors to consider: interest rates, comparison rates, features, and eligibility requirements, and how all of these align with your home-buying goals and budget.

In general, the best home loans: 

  • Lend you enough money to buy the property you want (see borrowing power).
  • Come with useful features that save you money and time over the loan's lifetime. 
  • Have a low interest rate compared to similar home loans.
Person excited about choosing the right home loan for them

Why compare?

Home loans help millions of Australians get on the property ladder. Comparing mortages can help you save costs.

What types of home loans are there? 

There are two main types of home loans: owner-occupied and investment home loans. The one you choose will depend on if you’re buying the property to live in as an owner-occupier, or if you intend to rent it out as an investor. 

Owner-occupied and investment home loans also vary by features and repayment types. For example, principal & interest vs. interest-only. Buyers should always choose a type of home loan that serves their goals.

Why home loan interest rates matter

Home loan interest rates change with the market. The cash rate set by the Reserve Bank of Australia (RBA) influences how much interest you pay on your mortgage.

In April 2022, the cash rate was 0.10%, with the average variable home loan around 3.03% p.a. By August 2024, the cash rate rose to 4.35%, more than doubling the average variable rate to 6.79% p.a. (rates based on OO, P&I, $400k, <80% LVR loans in the Mozo database, as of 2 September 2024).

Lenders offer different home loan interest rates. The Big Four charge around 7.27% p.a. on average for variable rates, while one of the lowest home loans in the Mozo database is Homeloans360’s Owner Variable Home Loan, at 5.89% p.a. (5.89% p.a. comparison rate*), as of 2 September 2024 (OO, P&I, $400k, <80% LVR).

That’s why comparison is crucial for finding cheap home loans.

For instance, on the average Australian mortgage of $626,055, getting the lower home loan rate could save you $541 per month, or $163,465 over 25 years.

What home loan features can I get? 

Many home loans come with features that help save you money, too, such as:

  • Offset accounts. An offset account is a savings account attached to your home loan that lowers your interest. 
  • Free extra repayments. Making extra repayments reduces the size of your home loan, saving you time and money.
  • Redraw facilities. A home loan redraw lets you take back extra repayments you made.

Expert tip: Features like offset accounts and free extra repayments are more common with variable home loans.

Best home loans in Australia

The 2024 Mozo Experts Choice Awards reveal the best home loans in Australia for this year, based on which home loans deliver the best value for Australian borrowers. Out of 475 home loans from 99 lenders, the best home loans include:

To view the full list of winners, click the button below, or read the awards criteria in the methodology report found here .

*WARNING: This comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. The comparison rate displayed is for a secured $150,000 loan with monthly principal and interest repayments over 25 years

Mozo Experts Choice Home Loans Awards Badge 2024

Three reasons to compare with Mozo

Here at Mozo, we believe comparison makes your money count for more. We work hard to ensure you have the most up-to-date product information and home loan insights at your fingertips. Read more about our fact-checking process here.

1. Our lender database

We track the interest rates and home loan products of over 80+ mortgage lenders around Australia, including Mozo award-winning providers. 

2. Our expert knowledge

Mozo’s team of money experts crunch data, unpack complex finance topics, and strip away the jargon to help you make better financial choices.

3. Free and easy to compare

Mozo’s comparison tools and services are free! You won’t pay any extra for using our site or taking out a product by clicking one of our provider links.

Home loan basics

What is the typical length of a mortgage?

Mortgages are usually repaid over a 20 to 30-year period. This period of time is called the “loan term”. The standard loan term in Australia is  25 years, though some can go as long as 40 years.

What type of home loan do I need?

Different types of home loans suit different types of buyers. First home buyers should look for first home loans with lower interest rates, while investors should use investment home loans. See our home loan types guide for more information.

What’s the difference between a mortgage vs. home loan?

A home loan is a financial product sold by a bank or lender. A mortgage is a home loan that’s in progress, meaning the borrower is already making repayments.

What is a home loan deposit and how much do I need?

A home loan deposit is a downpayment you give the lender to use as security. A standard deposit size is 20% of the property's purchase price.

The average home deposit size is $191,860.

The deposit also establishes your loan-to-value ratio (LVR) and home equity. In some cases, larger deposits can help you access lower interest rates from your lender. 

Comparing home loans

Comparing home loan rates: Should I pick a fixed or variable rate?

Home loan interest rates come in a few varieties. Fixed interest rates stay the same for a fixed term (usually 1-5 years), while variable interest rates can change at the lender’s discretion. 

Each type of interest rate has pros and cons. Fixed rates give borrowers consistent repayments for a time, but variable home loans have greater features and flexibility. Compare fixed vs. variable home loans in our guide.

What home loan features are available in Australia?

Five main home loan features are available in Australia: offset accounts, flexible repayments, extra repayments, redraw facilities, and split loan interest rates.

What is a comparison rate?

A comparison rate is an interest rate that includes any charges like lending fees. A comparison rate is a more accurate estimation of how much a home loan costs over time.

How do I choose the best home loan?

This will depend on your needs, preferences, and budget, so it’s vital to compare options to see what could work.

Many home loan lenders have won awards for their incredible offers. Check out the winners of the 2024 Mozo Experts Choice Home Loan Awards.

Applying for a home loan

How do I apply for a home loan?

To apply for a home loan, assemble your paperwork, choose a property to buy, and compare lenders to find the right home loan for you. 

When your documents are in order, fill out the home loan application form, pay any applicable fees, and submit your application.

What home loan paperwork do I need?

The home loan paperwork you need to have includes:

  • Three months of bank statements (to show your income, spending habits, and living costs).
  • Employment records.
  • Debts and assets.
  • Primary and secondary identity documents like passports and driver’s licences
  • Details on the property you intend to buy, if relevant.
How long does it take to apply for a home loan?

How long it takes to apply for a home loan varies. Lodging the application itself could take anywhere from a few minutes to a few hours, depending on the application and lender. 

It will also depend on how prepared you are. Your paperwork and information must be ready to apply, including at least three months of consistent income, spending, and savings. Preparation to apply could take weeks or months.

Jack Dona
Jack Dona
RG146
Money writer

Jack is RG146 Generic Knowledge certified, with a Bachelor of Communications in Creative Writing from UTS, and uses his creative flair to cut through the financial jargon and make home loans, insurance and banking interesting. His reader-first approach to creating content and his passion for financial literacy means he always looks for innovative ways to explain personal finance. Jack's research and explanations have been featured in government publications, and his work is regularly featured alongside major publications in Google's Top Stories for Insurance.

Brands we compare

We compare home loans from the following well-known providers and many more... See more home loan providers

Home loan customer reviews

Bank of Queensland Home Loan
Overall 2/10
Disappointed with Lack of Communication

Disappointed with Lack of Communication on Home Loan Interest Rates : I’ve been a home loan customer with the Bank of Queensland (BOQ) since 2015, and while I initially had no concerns, my experience over the years has left me feeling disappointed, particularly regarding the lack of transparency around interest rates. What Happened For many years, I wasn’t aware that it was my responsibility to regularly check and request updates on my home loan interest rates. This was never communicated to me, and as a result, I was unknowingly paying higher interest rates compared to other customers. I only discovered this in 2022, after reaching out to BOQ with questions about my rate, and was shocked to find that I could have been paying much less. Financial and Emotional Impact Over time, this lack of transparency cost me thousands of dollars in unnecessary interest payments. Beyond the financial impact, the emotional strain of realizing I had been overpaying for so long was incredibly stressful. I felt like I was left in the dark as a customer, and this has taken a toll. BOQ’s Response When I raised the issue with BOQ, I was offered a small goodwill gesture, which, while appreciated, didn’t fully address the stress and anxiety I experienced. I expected a more proactive approach from the bank in notifying customers about rate reviews, especially when significant savings are possible. While they have apologized, it still feels like the system is set up in a way that leaves customers uninformed unless they actively chase the information. Why I’m Sharing This I’m writing this review to raise awareness for other customers who might be in the same situation. If you’re with BOQ or any other bank, make sure to regularly review your loan terms and ask about better rates. Don’t assume your bank will notify you of available rate reductions. Key Takeaways: BOQ doesn’t automatically inform customers when better rates are available. You must actively request interest rate reviews, or you could end up overpaying. While BOQ offers customer support, I feel there is room for improvement in their communication regarding loan management. I hope my experience can help other homeowners avoid the same pitfalls. It’s important to stay proactive with your finances, especially with long-term commitments like home loans. I hope to receive an automated message acknowledging my review as others have, but my main goal is to raise awareness and help others make informed decisions.

Read full review

Disappointed with Lack of Communication on Home Loan Interest Rates : I’ve been a home loan customer with the Bank of Queensland (BOQ) since 2015, and while I initially had no concerns, my experience over the years has left me feeling disappointed, particularly regarding the lack of transparency around interest rates. What Happened For many years, I wasn’t aware that it was my responsibility to regularly check and request updates on my home loan interest rates. This was never communicated to me, and as a result, I was unknowingly paying higher interest rates compared to other customers. I only discovered this in 2022, after reaching out to BOQ with questions about my rate, and was shocked to find that I could have been paying much less. Financial and Emotional Impact Over time, this lack of transparency cost me thousands of dollars in unnecessary interest payments. Beyond the financial impact, the emotional strain of realizing I had been overpaying for so long was incredibly stressful. I felt like I was left in the dark as a customer, and this has taken a toll. BOQ’s Response When I raised the issue with BOQ, I was offered a small goodwill gesture, which, while appreciated, didn’t fully address the stress and anxiety I experienced. I expected a more proactive approach from the bank in notifying customers about rate reviews, especially when significant savings are possible. While they have apologized, it still feels like the system is set up in a way that leaves customers uninformed unless they actively chase the information. Why I’m Sharing This I’m writing this review to raise awareness for other customers who might be in the same situation. If you’re with BOQ or any other bank, make sure to regularly review your loan terms and ask about better rates. Don’t assume your bank will notify you of available rate reductions. Key Takeaways: BOQ doesn’t automatically inform customers when better rates are available. You must actively request interest rate reviews, or you could end up overpaying. While BOQ offers customer support, I feel there is room for improvement in their communication regarding loan management. I hope my experience can help other homeowners avoid the same pitfalls. It’s important to stay proactive with your finances, especially with long-term commitments like home loans. I hope to receive an automated message acknowledging my review as others have, but my main goal is to raise awareness and help others make informed decisions.

Less
Kannan, Western Australia, reviewed 17 days ago
Adelaide Bank SmartSaver Fixed
Overall 10/10
Excellent bank especially for home loans.

Excellent bank especially for home loans.

Read full review

Excellent bank especially for home loans.

Price
10/10
Features
9/10
Customer service
9/10
Convenience
7/10
Trust
10/10
Less
Ilan, Victoria, reviewed 17 days ago
Commonwealth Bank Home Loan
Overall 8/10
Good customer service in store

Big bank, so you know it's not going to close unexpectedly of anything, but also they have the power to care more or go above and beyond for its clients, but instead tend to find they are like any other bank (ie always passing on rate rises early etc). Mind you, staff at the local store are super lovely and helpful.

Read full review

Big bank, so you know it's not going to close unexpectedly of anything, but also they have the power to care more or go above and beyond for its clients, but instead tend to find they are like any other bank (ie always passing on rate rises early etc). Mind you, staff at the local store are super lovely and helpful.

Price
6/10
Features
8/10
Customer service
9/10
Convenience
9/10
Trust
9/10
Less
Cass, Victoria, reviewed 17 days ago

More home loan reviews