Home Loans - Page 34
CommBank cuts rates on 'no frills' home loans
Commonwealth Bank has taken the knife to some of its ‘no-frills’ variable home loans, making rate reductions of 0.10 percentage points for owner-occupiers and up to 0.15 percentage points for investors. Today’s rate cuts from CommBank sees its lowest owner-occupier variable rate drop to 2.69% (2.70% comparison rate), while for investors the major bank’s lowest variable rate now sits at 3.12% (3.13% comparison rate). The interest rates for owner-occupiers and investors making principal and interest (P&I) and interest-only (IO) repayments on CBA’s Extra Home Loan products are now as follows. The percentages in the “Product” column reflect the customer’s loan-to-value ratio … Continued
Experts reveal their 'formula' for choosing property
Ben Kingsley and Bryce Holdaway outline the four key factors they consider when making decisions about buying property.
Could a record spike in home loan pre-approvals hint at housing market recovery?
One lender has seen a record 71% jump in home loan pre-approvals amid the COVID-19 pandemic, empowering many first home buyers as they head into what could be a “bumper” spring period for home buying. But remember, while a pre-approval can be useful, it’s not necessarily a guarantee that you’ll secure formal approval for a loan once you’ve found your dream home. Home loan pre-approval is a lender’s estimate of how much you could borrow for a home loan, provided you meet certain conditions. Home loan provider and mortgage broker Aussie revealed today it had seen a 71% increase in home … Continued
New lowest home loan rate drops to 1.89% (1.92% comparison rate)
Reduce Home Loans has introduced a new record-low home loan rate that may appeal to some refinancers looking to take advantage of cheaper deals. Reduce Home Loans has launched its new Rate Cutter Variable home loan product which has the lowest rate on Canstar’s database, at 1.89% (comparison rate of 1.92%). The variable rate is available to residential owner-occupiers paying principal and interest repayments who have a minimum deposit of 40% (meaning a loan-to-value ratio, or LVR, of up to 60%). According to Reduce, the loan allows unlimited repayments and a full redraw facility, but it doesn’t have an offset account … Continued
5 market indicators you need to understand before you invest in property
We take a look at some of the numbers that may help with your decision if you’re investing in property and what they tell you about the market. There’s no shortage of data about property available online. From median prices and rental yields to auction clearance rates and days on market almost everything is at our fingertips. And all this information can help you with your decisions if you are investing in property. “Property investment experts have always used data to help them identify investment grade properties in locations primed for superior capital growth. These days, though, the abundance of data … Continued
Rates at record lows but which home loans offer ‘outstanding value’?
With home loan interest rates at a record low and refinancing at a record high, what do lenders have to do to stand out in today’s highly-competitive market? Canstar reveals which products and providers emerged with 5-Star Ratings. After two successive cash rate cuts earlier this year, home loan interest rates have plummeted. At the same time, many budget-conscious borrowers who are concerned about Australia’s recession, but are still in a financial position that allows them to be approved for a new home loan, have been shopping around in a bid to trim their repayments. “Lenders are very hungry for new … Continued
What do recessions mean for house prices?
It is common for falling house prices to become a hot topic during economic downturns. So, what should you look out for?
New lowest home loan’s rate is just 1.90% (2.39% comparison rate)
UPDATED: Reduce Home Loans has edged ahead in the “lowest rate home loan” race, launching an introductory rate of just 1.90% (comparison rate 2.39%). Three days after its initial launch on 1 September, the lender altered the conditions of that loan, changing it from an introductory variable-rate loan to a 1 year fixed-rate loan. Reduce’s new lowest-rate loan for owner occupiers paying principal and interest, now called the ‘Rate Crusher Fixed’ loan, has a 1 year fixed rate of 1.90%. After this period, an interest rate of 2.39% will be applied to the loan. A comparison of rates on Canstar’s database … Continued
What are genuine savings to buy a home?
What are genuine savings to buy a home and what is and isn't included when you apply for a home loan?
Which lenders have won Awards for their fixed rate home loans in 2020?
Find out which providers are offering Award-winning ranges of fixed rate home loans to Australian borrowers.
RBA holds: House prices falling as strained property owners enter spring selling season
The property market’s impact on Aussie households and the economy is on the minds of Australia’s central bankers, who’ve decided to keep the cash rate on hold this month. The numbers show house prices have fallen during the pandemic, and there are now concerns that strained property owners could be tempted to panic-sell to keep their heads above water. The board of the Reserve Bank of Australia (RBA) decided to leave the cash rate on hold at 0.25% today at its monthly meeting. Dr Lowe also announced the RBA would provide further support to authorised deposit-taking institutions (ADIs) – a measure … Continued
First Home Loan Deposit Scheme gets buyers into their first house four years earlier
New research shows the Federal Government’s guarantee scheme for first home buyers helped people enter the property market an average of four years earlier than if they’d had to wait to save up a full 20% deposit. The National Housing Finance and Investment Corporation (NHFIC) today released a report into the first six months of the First Home Loan Deposit Scheme (FHLDS), which saw the government partially guarantee 10,000 home loan deposits for eligible borrowers who had saved up as little as 5% of a property’s value. According to the First Home Loan Deposit Scheme – Trends & Insights report, the scheme … Continued
Distressed property: Key factors to consider when buying
When it comes to property investing, experienced property investors are often looking for properties that provide more bang for their buck. But how can they do this?
Aussie investors could save more than $8,000 in one year from new loans.com.au offer
Online lender loans.com.au has launched a limited-time interest rate of below 2% for eligible investors today, which is the lowest rate available on Canstar’s database of investment home loans. The discounted variable rate of 1.99% is available for one year for investors paying principal and interest or interest only on loans of up to $1 million with a loan-to-value ratio (LVR) of up to 80%, before it reverts to 2.74% (2.71% comparison rate). To be eligible for this rate, investors must also have an owner-occupier loan from loans.com.au. This is currently the lowest investment home loan rate on Canstar’s database, and … Continued
Expert tips on how to spot 'up-and-coming' suburbs
Property expert Peter Koulizos shares his tips for spotting an 'up-and-coming' suburb and reveals five locations he thinks fit the bill.
Will COVID-19 be as bad as the GFC?
CommSec senior economist Ryan Felsman shares his thoughts on how this downturn compares to the GFC and the last recession. He also outlines the impact the pandemic may have on the economy, the sharemarket and house prices. Economists love to call economic crises something. Various names have been ascribed to the current economic downturn, ranging from “The Global Virus Crisis”, “The Great Lockdown Recession” to simply “The COVID-19 recession”. Under the Reserve Bank of Australia’s (RBA) current baseline scenario, the Aussie economy may contract by around 6% in the year to December 2020 – much more than the 1.4% contraction over … Continued
The top growth suburbs of the past 20 years
Find out which suburbs in Adelaide, Brisbane, Melbourne and Sydney have experienced the best capital growth over the past 20 years. Is yours on the list? If you bought a home in Kilburn in South Australia in 2000 and still owned it you should give yourself a pat on the back as your investment could have grown by 683% in that time. Kilburn was the top-performing suburb in that timeframe according to data compiled by realestate.com.au which identified the biggest growth suburbs of the past 20 years in Adelaide, Brisbane, Sydney and Melbourne. Tyabb in Victoria’s Mornington Peninsula was close behind … Continued
Does an automatic home loan interest rate cut sound appealing?
Home loan customers can now automatically get a lower interest rate as they pay down their mortgage. That may incentivise customers to pay off their home sooner, but it could still pay for homeowners to check if there’s a better deal available. Online-only home lender Athena launched dynamic pricing with its AcceleRates loan today, where customers’ interest rates are lowered as they pay off more of their home loan. Athena notes it is the first lender in Australia to automatically drop interest rates in this way. How does it work? The AcceleRates loan’s variable interest rate is determined by the size … Continued
Should you keep your first home as an investment?
If you're thinking about upgrading you may be wondering whether you should keep your first home as an investment or sell it. Here are some of the issues to consider when making your decision.
New record-low home loan interest rate of below 2% targeted at refinancers
Could your budget stand to gain from a better home loan interest rate? An online-only lender is now in the lead in the rate race. It seems to be nearly every week we’re announcing a new record-low home loan rate, evidence of the fierce competition in the mortgage interest rate market at the moment. And the race for the lowest rates arguably couldn’t come at a more essential time for the many Australians who are experiencing a high degree of uncertainty about money in the midst of a pandemic and may be looking at how to future-proof their finances with a … Continued
Related
Important Information
For those that love the detail
This advice is general and has not taken into account your objectives, financial situation or needs. Consider whether this advice is right for you.