Hi, I would like to find out the cheapest home loan package available at the moment (now) with an offset or redraw account?
Keen to hear your thoughts on the lowest rate loan with minimal fees.
Also, any tips on how to secure a lower rate than standard variable rate would be welcome (and size of discount obtained) would be much appreciated.
Thanks!
I thought the suncorp one expired? can you link me up to the page please?
Damn it I went with CUA.
@tomleonhart: is the above valid for pre-approval i.e. i want to know how much i can get BEFORE buying the house?
is it possible to get below 4.59% (e.g. rate cut, <80% lvr, other favourable factors)?
@dealsniper: You can get 4.54% if you borrow more than 500k. how much are you thinking of borrowing ? PM if you don't want to make it public.
The link you posted still says 4.80% comparison rate…
@tomleonhart: so is the rate going to be the same if i go through the broker or can i get a better deal by going to suncorp directly (assuming same loan product)?
do you recommend broker if they are going to recommend this anyways?
@dealsniper: Broker will get you the same product as the bank. This deal is as good as it gets and I doubt Suncorp will throw anything else on top of it.
I recommend going through a broker (myself haha) because first they give you the same product as the bank. And they will check your homeloan health check every year so if there's a better deal out there down the track, your broker will let you know.e.g. Suncorp won't tell you if Citibank is doing a better deal than them 2 years from now but your broker will.
For my client at the moment, I'm also offering a 10% rebate of my upfront commission back to them on settlement as well so that's something my clients don't get going straight to the lenders.
That was my question actually. So the only diff money wise is on the banks side? In that they pay brokers a commission?
The only hidden cost then is a broker with a non independent view of recommending based on where they'll gain the best commission or cut from… Which like the financial planning industry obviously isnt meant to occur but sounds like it would?
I've always been Curious if using a broker rather than diy was worth it. Coming from a more white collar finance /accounting background you feel smart enough to dig this out yourself. Albeit i guess it also is a time saver?
@tomleonhart: thanks for being so helpful. i just read the t&cs of the Suncorp Home Package Plus account - per my understanding, since there are no establishment fees, renegotiation fee, mortgage offset fee, and first valuation is included - does that mean the set-up cost is almost free (assuming 10% upfront commission rebate too)?
i am keen to discuss - i went on your website premium broker - is this the same as the VOW Financial recently acquired by Yellow Brick Road? Is it in Chatswood?
Are you on the broker list? http://premiumbroker.com.au/Brokers.html
@dealsniper: yes I'm Tom Nguyen. This is my page http://vowpremium.com/our-brokers/tom-nguyen/
Drop me an email or pm or call and I'm more than happy to help.
And you're right About Vow, they are our aggregator. We are located in Chatswood but I'm mobile so I can meet you anywhere that is convenient for you.
Thanks Tom.
Just out of interest, what are the total fees, including legals, with Suncorp at the moment please? We'd be looking at $160k, 80% LVR if that makes any difference
great deal but before submitting your deal, ask what their turn around times are.
Due to new promos, it could take up to 3-4 weeks before your deal even gets looked at.
Mmm annual package fee being scraped for life of loan… Is that common amongst lenders? I thought there were a fair few facilities out there without any fees to setup a loan with offset or redraw facilities.
From what yoy said though you must choose either facility.
DDoes the suncorp or most variable loans with offset facilities allow penalty free additional early repayments?
The majority of loans would also have ppenalties but can still legally be refinanced when a better deal comes along correct?
loans.com.au are awesome no branches though, you get unlimited redraw and an offset account everything is online, brokers don't usually offer the product because they don't get commission (so +1 to Tom)
Thanks :-) I believe in making things transparent to build trust !
Please DON'T get carried away with lender having no branches. You have got their money keep in mind. Look for the features you want speak to rep over phone ( they are in Oz). Same papers get signed as you would at any expensive bank branch. loans.com.au seem fine. We are looking at re financing and spoke with Kerry a lady who seems on the ball. They have low margins as they dont payout big time for silly real estate offices and even their call centres are generally leased out. All financial institutions will follow this model sooner than later. Banks are cruel and a big rip off. Good Luck.
+1 they have very good customer service. I rang coz I didn't recognise a transaction on my account. Get told where on queue you are (I've never been more than 3rd) and press a button for them to call you back.
Spoke to an Australian, very helpful and didn't make me feel like an idiot even though I was.
+1 for loans.com.au I'm just refinancing my mortgage out of Suncorp and it has been a breeze with loans.com.au. In less than two weeks they had a valuer come over and do an actual valuation (as opposed to guestimates that most other banks do). Provided all the documents online, approved and will be settling next week.
Have you got a 20% Deposit? You will save in mortgage insurance if you do :)
Did anyone here take up the Suncorp offer and are happy with it? I'm thinking of refinancing as well. Did they recently drop the rate following RBA announcement?
Yes they did. They dropped from 4.79% to 4.54% after RBA announcement, 4.49% if you borrow more than 500k.
Yep, refinanced with Suncorp in December, they had a slightly better promo then, 1.30% discount off regardless of loan amount. No problems with them whatsoever.
BeyondBank is doing a 4.59% deal at the moment with an offset.
See http://www.beyondbank.com.au/personal-banking/home-loans/hom…
I have been considering switching to them but although they waive the establishment fee they still want to charge me for a valuation.
Normally I'd say fair enough but I only want $150,000 so even on an LVR of 75% that would mean my house would be worth not more than $200,000.
Try finding a house in Perth that is not more than $200k? It is just impossible.
So I think the valuation is entirely unnecessary.
To get the best rate…
Avoid the Big 4.
Go to websites like mozo for comparing rates/features.
Yup, mozo.com.au got me on to loans.com.au, with whom we've now settled (4.23% from Feb 23, comparison rate 4.25%).
I used to be with Suncorp for everyday banking. I will miss their superior IT (decent internet banking, mobile app, etc) and in-branch service (on the rare occasion that I needed to make a big transfer, get a bank cheque, or make a deposit).
But I think, so far, that the lower rate at loans.com.au will be worth it. Anyway, I'll probably hold onto a Suncorp eOptions account (no monthly fee) so I can still make cheque/cash deposits through Suncorp if need be, before transferring it through to the loans.com.au offset account.
I work for a big bank…and generally, if you need a loan with offset you tend to get steered towards this type of institution (one that has a banking license to be able to handle deposits…which offset accounts are) rather than a mortgage company who can also do some good deals. It all comes down to what is important to you and usually a good broker can help you with that. Personally, my setup is with CBA (and that's not who I work for) because I like their internet banking, they do offset and I got a really good rate. It's also the really personal service I get from them. Recently I made a credit card repayment on a weekend and they actually processed on the weekend (which they don't normally do) and because of this, my card didn't register that I'd made the full repayment for the month and I scored a massive interest bill plus lost the interest free period off the card. One email to my mobile banker and the interest was reversed and interest free period reinstated - they may stuff up, but at least they're easy to work with.
U r right with big banks processing payments more quickly.
The only downside with using the offset account from loans.com.au is that sometimes an extra day is required for payment or transfers to go thru.
it appears the CBA you deal with is not the CBA I deal with.
I personally think CBA suck but I am stuck with them for me to move I would need to get my house valued and I would then lose out.
I also deal with ING and their transactions are basically the same day.
With CBA -it is out of your account instantaneously but at least 2 days it is to go into your account.
I decided 3 months ago to refinance and go with a direct lender instead of via a broker.
I found that while a broker had an amazing rate (AET had 4.70% in december), once he sold me on the loan any changes would take 1-2 weeks. I would have to call him and if he decided to help it would still take a week for him to get a response from the bank.
My lender is with CBA but doesn't sit in one of their branches (which means i call his mobile directly and he fixes stuff for me real time - instead of sitting on the 1800 line or waiting in a branch).
He has full access to all CBA systems and linked up a payment plan for my rental income to pay off the interest and every other dollar in my netbank contributes to offsetting the loan (unlimited transactional offset accounts).
Looking to buy again before March and can get 4.45% variable w/ unlimited offset accounts and amazing service.
Highly recommend going with someone who has direct access to their bank and systems. Brokers are good but are limited in their service offering.
Which home loan is 4.45% at CBA? That is a good rate.
What do you mean which home loan?
I'm borrowing @ 80%LVR $580k total loan value.
I see.
I mean, I was on the No Frills Home Loan but switched to the No Fee Home Loan at 5.20% variable.
@cupcake: what's the loan amount?
I mean thats a 75bp difference.. my annual is $395 and i had a one off settlement of $200 so if you were on 5.20% and switched to 4.45%, off a loan amt of $500k for example you'd be better off $3750 a year - surely a bigger saving than them waving $400 worth of fees a year?
If I may ask - who is your lender?
I recently refinanced and used http://flongle.com.au/. It worked really well for me as it allows brokers to 'bid' for your home loan. What most people don't understand is that brokers get payed a lump sum commission upon signing you up for a loan and then additional trailing commissions that can be between 0.1% and 0.25% per annum. There are brokers out there who promise to refund the trailing commisions back to the mortgage customers which can lead to substantial savings (or refund the lump sum commission and keep the trail. It costs $395 to run the contest although pretty much every broker promises to refund the contest fee and there is a 100%, no questions asked money back promise if you don't get a result that betters one you have already found doing your own research.
Ended up going with Heritage for our loan with 4.69 (now 4.54)% with offset and broker will refund 0.2% - 0.25% trail so effectively 4.34%.
Well worth a look in.
Have a look at Teacher's Mutual Bank (www.tmbank.com.au). I recently fixed my home loan with them for 3 years at 4.49% with a 100% offset facility (pretty rare on a fully fixed home loan)…was a relief to get away from one of the Big 4 banks where I previously had my loan. Their 3 yr fixed option is currently 4.58%. They don't have branches but the service on the phone is excellent. Highly recommended if you work in the education industry (I joined via my wife who is a teacher) or have a family member who is in the education industry.
Ubank looks good. They are offering 4.29% on variable rate and no other charges, but the LVR has to be <80%. I heard that they are slow in processing applications but if you want only cheaper home loan it's a good option. I am with ANZ but the only reason I have LVR >80%. https://www.ubank.com.au/home-loans
I had a loan with CBA and recently moved to UBank (UBank doesn't do construction loans, and LVR needs to be 80% or better). Couldn't be happier with UBank. Paperwork process was pretty smooth and everything was done and paid within a month. No UBank fees (some government and CBA fees payable). 4.54% (about to be 4.29%). Free redraw (CBA charged $50 per shot). No honeymoon period to suck people in and then hit them over the head with higher interest later. Saving about $100 per month compared to staying with CBA.
Hey guys
Anyone had experience with cua fresh start homeloan
4.43 no fees and multi off set accounts
Really 195 do they usually wavie this?. Im with cba never had any issue, there customer support amazing and online, just sick of paying the annual fee and high rate
NAB Mortgage Specialist here. Most of the banks haven't passed on the full rate cut until next week (Feb 20) for their SVR. If low rates are all you're after, I'd highly recommend you to read the fine prints as there's more than likely a catch or two.
Rates aren't everything as everybody's situation is different. You'll find a lot of regular folks out there who're happy to pay just a little bit more as they know their banker will get the service/request done without with little or no fuss.
I'm happy to assist anyone who's wanting a complete financial solution (more than just a low mortgage rate, which is frankly spoken too liberally).
loans.com.au will offer lower rate and lower comparison rate, no ongoing fees, and fully optioned home loan with redraw, offset, via debit card. will save you 10's of thousands over the life of the loan… what are you offering from nab?
We had a terrible experience dealing with loans.com.au
Told us we where approved and then changed it, But didnt tell us…
And there customer service is useless.. They tell you one thing but something different happens.
The funny thing was, They told me I was more organised than 99% of people handing in all requested documents within 24 hours.. Only if they could have been as kind to make/return phone calls and be serious about approving my loan…
Yeh they're cheap. But sometimes cheap is not always best, On another note, we ended up going through homeloans.com.au and they supply a broker to come to u, Rather than all this over the phone stuff
Due to our loan size (>1.5m, <80% LVR) I was able to secure a variable with offset 4.2x% (post 20-few adjustment, bank of Melbourne) loan, happy to help people out, about to finish supplying the documents to them this week, pm me for details.
4.2x? more details please? :)
Am looking at buying my first home and would like to know if I would be able to claim the reduction in stamp duty (for first home owners) if I was to rent out one room. But after googling around and checking the SRO website I can't seem to find anything at all in regards to this. Obviously, any rental income I would declare to the ATO but not too sure if I'm allowed to rent out a room in the first place.
If you don't declare boarding rental as an income (I'm not saying you should) then how do they find out?
One thing that perplexes is me is why a redraw facility versus an offset? For the purposes of tax/investment property, the redraw potentially mucks up the deductible portion borrowed , versus ripping out money deposited in an offset account instead… but other than that they essentially do the same thing if you ask me? So I would just throw it in the offset, having no tax implications if you rip it out again?
pretty much
can anyone confirm whether that suncorp deal is still on? thanks
Suncorp extended until 26/02.
still can't find a house yet - is the suncorp deal still on (or better deal on) and what's the maximum LVR before getting hit with LMI? thanks
80%
lots of helpful tips here
Does anyone where I can find info on the cuts the Big 4 banks have done over the last year. I just want to get a rough idea of which bank has cut the most.
just wondering if any update on good deals on home loans - less than 80% LVR, sizeable loan with offset?
the suncorp annual package fee seems to be only waived for the first year now (previous lifetime fee waiver has expired). thanks in advance
Broker here.
If you don't rate service highly desireable then then here is a good place to start. https://www.loans.com.au/home
If you prefer lender with a branch and paying minimum fee then Suncorp is doing a 4.59% variable rate with an offset and redraw and they're also offering annual package fee waived ($375) for the life of the loan.