Home loan

New year, new mortgage rate cuts


Let’s face it – 2020 sucked for a lot of people (and 2021 isn’t looking much better), but those looking for a more affordable home loan were treated to a slew of rate changes.

Two lenders have already made rate changes, including HomeStar Finance, which cut on New Year’s Day when most people were dozing:

  • Fixed star 2 years P&I 80%: Reduction of 56 basis points to 1.88% per annum (comparative rate of 2.26% per annum*)

HomeStar also cut the 70% equivalent LVR loan by 46 basis points. Borrowers must apply for this “special” rate by January 31 and settle the loan by April 30.

Are you buying a house or looking to refinance? The table below shows home loans with some of the lowest interest rates on the market for homeowners.


Variable More details
  • A low variable rate home loan from a 100% online lender. Supported by the Commonwealth Bank.
  • A low variable rate home loan from a 100% online lender. Supported by the Commonwealth Bank.
Variable More details
  • 30% minimum deposit
  • No monthly or ongoing fees, add 0.10% compensation
  • Unlimited redraws
Variable More details
  • Get ahead with up to $4,000 cash back*
  • Unlimited additional refunds
  • Easy online application, quickly find out if you are approved!
  • *When you purchase or refinance a qualifying home loan. Apply before 11/30/22. Pay before 01/31/23. Exclusions and terms and conditions apply.

Basic criteria: a loan amount of $400,000, variable, fixed, principal and interest (P&I) real estate loans with an LVR (loan-to-value) ratio of at least 80%. However, the “Compare mortgages” table allows calculations to be made on the variables selected and entered by the user. Certain products will be marked as promoted, featured or sponsored and may appear prominently in tables regardless of their attributes. All products will list the LVR with the product and price list which is clearly published on the product supplier’s website. Monthly repayments, once the basic criteria are modified by the user, will be based on the advertised prices of the selected products and determined by the loan amount, the repayment type, the loan term and the LVR as entered by the user. user/you. *The comparison rate is based on a loan of $150,000 over 25 years. Please note: this comparison rate is only true for this example and may not include all fees and charges. Different terms, fees or other loan amounts may result in a different comparison rate. Rates correct as of October 10, 2022. See disclaimer.

Conversely, HomeStar also saw a few home loan rate hikes, likely at the end of special offers, including some investment real estate loans raised by as much as 46 basis points.

Some homeowner loans were also increased by up to 54 basis points.

QBank was another institution to cut home loans below 2%.

  • Fixed 2 years: Decrease of 2 basis points to 1.97% per year (comparative rate of 3.54% per year*)
  • Fixed 4 years: Decrease of 2 basis points to 1.97% per year (comparative rate of 3.26% per year*)

These home loans are for homeowners who pay principal and interest (P&I) with a maximum loan-to-value (LVR) ratio of 90%, and are “special offers”, meaning they can change at any time. moment.

QBank also tinkered with its home loans, increasing others by up to 15 basis points, as new “special offers” came into effect and old offers expired.

There are now at least 35 lenders with a home loan below the advertised rate of 2%.

Photo by Immo Wegmann on Unsplash


The whole market has not been taken into account in the selection of the above products. Instead, a reduced portion of the market was considered. Products from some vendors may not be available in all states. To be considered, the product and price must be clearly published on the product supplier’s website. Savings.com.au, yourmortgage.com.au, yourinvestmentpropertymag.com.au and Performance Drive are part of the Savings Media group. In the interest of full disclosure, Savings Media Group is associated with Firstmac Group. To learn how Savings Media Group handles potential conflicts of interest, as well as how we are paid, please visit the website links at the bottom of this page.

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