Home loans

As an online lender, we operate without the overheads of a physical branch network or broker commissions. Our digital processes and innovative technology help us keep costs down. This allows us to pass those savings directly on to you through competitive home and car loan rates.

Our Variable Bare Home Loan is a simple option designed to keep things straightforward. If you’re looking for extra flexibility and a fully featured product, our Variable Bold Home Loan comes with a 100% offset sub-account. This account gives you:

• Full access to your money via online banking, ATMs, EFTPOS, and a Visa debit card

• Unlimited free redraws for added convenience

Learn more about our home loan with an offset sub-account here: loans.com.au/home-loans/offset-account

An offset sub-account is linked to your home loan and helps reduce the interest you pay. Instead of earning interest like a regular savings account, the balance in your offset reduces the portion of your loan that accrues interest. This can help you pay off your loan faster and save on interest costs.

Key things to know:

• It's a sub-account of your loan, not a separate deposit account.
• Funds in the offset sub-account are not covered by the government deposit guarantee.
• The offset cannot exceed your home loan balance.

If you have any questions, our friendly team is here to help!

A variable rate mortgage offers much more flexibility in comparison to a fixed rate loan. Variable rate mortgages have a full redraw facility, allowing you to make unlimited additional repayments and withdraw them at any time. And, if your lender reduces their rates across the board, you will benefit from a rate reduction.

If home loan interest rates change, your variable may or may not change depending on the type of interest rate change and how this affects your lender. Your interest rate can increase or decrease with market fluctuations, which may occur due to a number of different reasons, for example a change in the RBA cash rate, or a change in your lender’s funding costs.

There are many benefits to refinancing your home loan, such as:

• Paying less interest over the life of the loan, saving you thousands.
• Reducing your loan term by a matter of years
• Accessing new features, like an offset sub-account to save on interest repayments and get Visa debit card, online & EFTPOS access to your money.
• Accessing equity, which is the amount you’ve paid off on your current loan.

Yes. While refinancing can save you thousands, there's a few upfront costs to consider like exit fees, break fees, application fees, security assessment fees and settlement fees. At loans.com.au, the only fees you will pay on your home loan is a one-off settlement fee of $300, and a security assessment fee which starts at $230 depending on the location of your property. To learn more, click here.

From start to finish, refinancing a home loan process be can completed as quickly as a few days or take up to two months. The time it takes to refinance will vary for every homeowner and will depend on factors like the complexity of the loan and the specific lender.

To refinance, you’ll need documents such as payslips, and details of your existing loan. For a comprehensive list of requirements read our guide on exactly which documents you’ll need to apply for a refinance.

If you’re ready to refinance, simply fill out your application online by entering some of your details in our home loan application form.

Alternatively, chat to one of our friendly lending specialists on 1300 471 806 and they can complete your application for you.

An offset sub-account is linked to your home loan and helps reduce the interest you pay. Instead of earning interest like a regular savings account, the balance in your offset reduces the portion of your loan that accrues interest. This can help you pay off your loan faster and save on interest costs.

Key things to know:

• It's a sub-account of your loan, not a separate deposit account.
• Funds in the offset sub-account are not covered by the government deposit guarantee.
• The offset cannot exceed your home loan balance.

If you have any questions, our friendly team is here to help!

As an online lender, we operate without the overheads of a physical branch network or broker commissions. Our digital processes and innovative technology help us keep costs down. This allows us to pass those savings directly on to you through competitive home and car loan rates.

Buying an investment property is a popular choice of investment for many Australians. Compared to other forms of investment like shares, bonds and ETFs - investing in property is easy to understand.

Some benefits of purchasing an investment property may include:

• Potential tax benefits for property investors
• Potential capital growth
• Relatively stable investment
• Passive income

Equity is the value of your home, less any money owed on it. For example, if your house is valued at $600,000 and the current debt is $250,000, the equity in the home would be $350,000.

You can leverage the equity in your home to cover the deposit on a new property, using your existing property as collateral. It’s great to make the first step to enter the property market because once you’re in, using equity is generally much easier than saving for another deposit. Find out more about using equity to buy another home. 

If you purchase an investment property, you are likely to come across the term “gearing”. This means borrowing for the purpose of investing.

If you borrow to make an investment it can be negatively geared - where interest repayments exceed net income, or positively geared where net income exceeds repayments.

Negative gearing means that the cost of owning an investment property outweighs the rental income it generates. As an example, assuming your rental property earns $20,000 in one year and the expenses of owning the property (loan repayments, body corporate fees, maintenance, etc.) are $25,000. You will have a loss of $5,000 which you can claim as a tax deduction.

One benefit of this is the ability to claim tax deductions and reduce your taxable income. Additionally, a negatively geared property investment may appreciate in value over time.

It’s important to note the risk involved in negative gearing because you are losing money, so you’ll need to be aware of this so you can budget and prepare for the losses.

Unlike most home loans where each loan repayment consists of both interest and principal (meaning your loan balance reduces with each payment), on an interest only loan you only need to pay the interest calculated on your loan each month. This is particularly helpful to investors who wish to pay the smallest repayment amount.

At loans.com.au, you can choose up to a 5 year loan term for interest only, and once this expires you loan will revert to a principal and interest loan. Your repayments will increase after this period in order reduce your loan down by the end of the term.

An offset sub-account is linked to your home loan and helps reduce the interest you pay. Instead of earning interest like a regular savings account, the balance in your offset reduces the portion of your loan that accrues interest. This can help you pay off your loan faster and save on interest costs.

Key things to know:

• It's a sub-account of your loan, not a separate deposit account.
• Funds in the offset sub-account are not covered by the government deposit guarantee.
• The offset cannot exceed your home loan balance.

If you have any questions, our friendly team is here to help!