- 11 Oct, 2017

Our Cheapest Variable Rate Home Loans for Spring 2017 – Under 4.00% p.a.

With the official cash rate being the lowest it’s been in decades; home loans are at ‘hard to pass-by’ rates. As a home owner looking to refinance or buy a property, this means that you could secure a far lower interest rate than you could 10-years ago. But, how do you find the cheapest home loan rate on the market, when there are hundreds of options?

Finding the Best Home Loan For You

Choosing a home loan has become a difficult task, as there are now so many options and products available. Apart from being able to select from introductory, fixed, and variable rates, you can also choose interest or principal and interest loans. Then, there are a multitude of features – redraw facilities and offset accounts. So, how can you avoid becoming so confused that you get dizzy?

Heres how you find the best deal for you

Step 1: Select your property objective below.

Step 2: Complete a few more questions so we can generate your borrowing power and lowest interest rate.

Step 3: Receive your free home loan report comparing 25+ lenders.

Are you looking to purchase a property or refinance?

How to Conduct a Home Loan Comparison

If you want to narrow down your home loan choice, then it’s vital that you consider your needs. In fact, write these down so that you don’t forget them. For those of you who are wondering, home loan needs typically include:

  • The amount you can afford to borrow – use a borrowing calculator to work out this figure.
  • Type of interest – fixed, variable or split.
  • Repayment type – principal and interest, interest only.
  • Loan features – redraw facility or offset account.
  • Interest rate – focus on the comparison rate as this includes any fees and charges over the term of the loan.
  • Loan purpose – investment, construction, first home buyer, second home buyer, a line of credit etc.

Once you’ve decided on these factors, then it’s time to look at your options. To narrow down your selection, use a home loan comparison calculator. This tool allows you to find the best available rate on the market at a specific time. Plus, it lets you find loans that match your specific needs.

Heres how you compare home loans

Step 1: Select your home loan objective below.

Step 2: Complete a few more questions so we can generate your borrowing power and lowest interest rate.

Step 3: Receive your free home loan report.

Our Cheapest Home Loans – Under 4%

To enable you to find the best home loan, we’ve found eight of the cheapest on the market. These loans show you what is on offer and how little you can pay with the current rates.

The eight cheapest loans use the following criteria:

  • Rates – as of 11th October 2017
  • Loan amount – $400,000
  • Property value – $500,000
  • Loan term – 30-years
  • Repayment type – principal and interest
  • Loan purpose – owner occupied
  • Repayment frequency – monthly
  • Interest rate type – variable
  • Based on – full documentation and exclude construction and line of credit loans.

Ezy Economizer – Mortgage Ezy

With a lending range of between $50,000 to $750,000, the Ezy Economizer is a flexible owner occupier home loan. Features included in this package are an offset account, and redraw facility for no additional cost. Plus, the loan’s interest rate is 3.59% with a comparison rate of 4.03%. If you’re interested in this loan, then you’ll need a 20% deposit. This loan includes the following features:

Mortagage Ezy
Features
Interest Rate 3.59%
Comparison Rate 4.03%
Offset Account Yes
Offset Cost $0
Redraw Facility Yes
Redraw Cost $0
LVR 80%
Annual Fee $395
Monthly Fee $0
Application Fee $0
Monthly Repayment $1,816

 

Back to Basics – Suncorp Bank

With a super competitive interest and comparison rate, the Back to Basics home loan is ideal for those looking to save more. This home loan is ideal if you’re looking to buy in more affluent areas as its loan range is between $150,000 and $5,000,000. This loan also enables you to buy with only a 10% deposit. So, you don’t reduce your cash flow, and you have more to spend on your new home. Offered by the Suncorp Bank, this loan includes the following features:

Suncorp Bank
Features
Interest Rate 3.68%
Comparison Rate 3.69%
Offset Account No
Offset Cost $0
Redraw Facility Yes
Redraw Cost $0
LVR 90%
Annual Fee $0
Monthly Fee $0
Application Fee $0
Monthly Repayment $1,836

 

Variable – Bank of Sydney

The Variable Bank of Sydney home loan has a minimum loan amount of $20,000 and lends up to $4,000,000. With a 17-year history, this lender aims to offer its customers true and personal relationship banking. Those considering this loan will need a 20% deposit to apply for this deal. As such, this mortgage includes all of those features that save you more – redraw and offset, as well as:

Bank of Sydney
Features
Interest Rate 3.63%
Comparison Rate 4.03%
Offset Account Yes
Offset Cost $0
Redraw Facility Yes
Redraw Cost $0
LVR 80%
Annual Fee $395
Monthly Fee $0
Application Fee $0
Monthly Repayment $1,825

 

Standard Variable – Auswide Bank

Formerly known as Wide Bay Australia, Auswide has operated since 1966. The Standard Variable Auswide Bank loan has a range of between $150,000 and $3,500,000. With a higher LVR, you need only a 10% deposit to apply for this home loan. Therefore, you’ll have more left after buying your home to cover stamp duty and other costs. The features of this loan include:

Auswide Bank
Features
Interest Rate 3.69%
Comparison Rate 4.08%
Offset Account Yes
Offset Cost $0
Redraw Facility Yes
Redraw Cost $0
LVR 90%
Annual Fee $395
Monthly Fee $0
Application Fee $0
Monthly Repayment $1,838

 

Horizon – Resimac

The Horizon home loan has a lending range of between $10,000 and $1,500,000. Offered by Resimac, a non-bank lender who has been in the lending industry for 30-years, this loan has a competitive interest rate and includes a redraw facility. The redraw facility comes at no added cost and enables you to withdraw any extra funds paid into the loan. Other features this loan are as follows:

Resimac
Features
Interest Rate 3.71%
Comparison Rate 4.11%
Offset Account No
Offset Cost $0
Redraw Facility Yes
Redraw Cost $0
LVR 80%
Annual Fee $345
Monthly Fee $0
Application Fee $599
Monthly Repayment $1,843

 

Flexible Home Loan – ME

Owned by an Australian super fund so that profits stay local, ME is the ‘bank built for you’. Also, the Flexible Home Loan offered by ME has a loan range of $400,000 and $2,500,000. With a low interest rate and redraw facility, this home loan saves you more and provides you with flexibility. This loan includes the following features:

Me Bank
Features
Interest Rate 3.74%
Comparison Rate 4.15%
Offset Account No
Offset Cost $0
Redraw Facility Yes
Redraw Cost $0
LVR 80%
Annual Fee $395
Monthly Fee $0
Application Fee $0
Monthly Repayment $1,850

 

Offset Home Loan – Macquarie

Macquarie is a financial group that provides asset management and finance. The group have a 48-year record of accomplishment and supply many lending products for a diversity of purposes. As such, the Macquarie Offset Home Loan has a loan range of $20,000 and $2,000,000. Thus, this loan offers a competitive rate of 3.79% and includes an offset and redraw for no additional cost. Other features include the following:

Macquarie Bank
Features
Interest Rate 3.79%
Comparison Rate 4.19%
Offset Account Yes
Offset Cost $0
Redraw Facility Yes
Redraw Cost $0
LVR 80%
Annual Fee $398
Monthly Fee $0
Application Fee $0
Monthly Repayment $1,861

 

Classic Variable – AMP

With a 5-star CANSTAR rating as an outstanding value superannuation provider AMP have been in business for 160-years. As such, this wealth management group recently moved into banking and now provides a mixture of products. The Classic Variable home loan is one of their best and has a lending range of between $250,000 and $2,000,000. Offering a redraw and offset account, this loan saves you more long-term. Plus, it includes the following features:

AMP Bank
Features
Interest Rate 3.96%
Comparison Rate 3.98%
Offset Account Yes
Offset Cost $0
Redraw Facility Yes
Redraw Cost $0
LVR 80%
Annual Fee $0
Monthly Fee $0
Application Fee $0
Monthly Repayment $1,901

 

Do you want to know more about the cheapest home loans under 4%? Then contact eChoice, we can help you find out which home loans suit your purposes. Our brokers have access to 100’s of home loan products and they can carry out comparisons. So, we’ll find you the right mortgage.

Compare your
interest rate today!

Things you should know:

This information does not constitute as financial advice. Terms and conditions, fees and charges and normal lending criteria apply. Information & interest rate is current as at 11th October 2017 & is subject to change. The comparison rate is based on a loan amount of $150,000 over a loan term of 25 years. WARNING: This comparison rate is true only for the example given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate.


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