Recent years have been a roller coaster for Aussie home loan borrowers–2020's sharp rate drop was followed by a steep rise and another fall–and 2026 is starting to feel like a house of horrors. Lurking in the shadows, we have high inflation and the cost of living crisis; down a dark corridor, you’ll find the spectres of global conflict and oil price pain.
That is to say, the ride isn’t over yet. We’ve already seen two rate hikes this year, in February and March, and borrowers are being warned to brace for another on May 5, when the RBA announces its next cash rate decision. In fact, Westpac predicts three more hikes by August.
If your home loan interest rate has your repayments higher than you’d like them to be, you don’t have to stay buckled up. Refinancing your mortgage could help you access a lower rate.
Canstar research has identified the lowest rates on our database at the time of writing, sorting them by loan-to-value ratio (LVR), to help you find your footing.
What are the lowest home loan rates by LVR in April?
Your LVR is an important number. It’s the portion of a property’s value you’re borrowing when purchasing a new home or refinancing a mortgage.
The bigger your deposit or equity, the lower your LVR, and the lower your LVR, the better the rate a bank or lender might offer you. However, this isn't a hard and fast rule. Some lenders offer their sharpest rates to all eligible applicants, no matter their equity or the size of their deposit.
The lowest variable mortgage interest rate on the Canstar database is 5.44% p.a. (as of April 15). On a $600,000, 30-year home loan, that rate would put your principal and interest repayments at around $3,380 a month.
That rate is offered by LCU on its Simple Home Loan product to home loan holders with LVRs as high as 95%–meaning nearly all borrowers might be able to access it.
When it comes to fixed rates, the lowest offer on the Canstar database is 5.49% p.a., which would see monthly repayments around $3,400 a month on a $600,000, 30-year mortgage.
A quick peruse of the tables below shows many LVR bands offer similar–or even identical–mortgage products. As of right now, the most significant differences in LVR bands can be found in fixed rate products, particularly those with longer or shorter fixed terms.
Some of the lowest mortgage rates for LVRs of 60% or less
If you have a deposit or equity of 40%–or your mortgage balance is less than 60% of your property’s value–the lowest variable rate on the table for you may be 5.44% p.a., according to the Canstar database:
- Lowest variable rate for LVRs of 60% or less: 5.44% p.a. (comparison rate of 5.46% p.a.) advertised by LCU on its Simple Home Loan product.
- Lowest fixed rate for LVRs of 60% or less: 5.49% p.a. (comparison rate of 5.84% p.a.) advertised by Northern Inland CU on its Value Home Loan for borrowers fixing their rate for one year.
The table below shows a snapshot of some of the lowest rates on the Canstar database for borrowers with LVRs of 60% or less:
Lender | Loan | Max LVR | Interest Rate | Comparison Rate | |
|---|---|---|---|---|---|
Variable | LCU | Simple Home Loan | 95% | 5.44% | 5.46% |
1 yr fixed | Northern Inland CU | Value Home Loan Fixed 1 year | 80% | 5.49% | 5.84% |
2 yr fixed | BankVic | Fixed 2 yrs | 95% | 5.79% | 5.88% |
3 yr fixed | BankVic | Fixed 3 yrs | 95% | 5.79% | 5.88% |
4 yr fixed | BankVic | Fixed 4 yrs | 95% | 6.09% | 5.98% |
5 yr fixed | Horizon Bank | Fixed Rate Home Loan 5 yrs ≤70% | 70% | 5.94% | 6.20% |
Source: Canstar - 16/04/2026. Based on owner occupier loans on Canstar's database, available for a $600,000 loan and P&I repayments; excluding construction only, first home buyer only, green only, intro and other special condition loans.
Some of the lowest mortgage rates for LVRs of >60% to 70%
If you have a deposit or equity of at least 30% but less than 40%–or your mortgage balance is between 60% and 70% of your property’s value–the lowest variable rate on the table for you may be 5.44% p.a., according to the Canstar database:
- Lowest variable rate for LVRs of >60% to 70%: 5.44% p.a. (comparison rate of 5.46% p.a.) advertised by LCU on its Simple Home Loan product.
- Lowest fixed rate for LVRs of >60% to 70%: 5.49% p.a. (comparison rate of 5.84% p.a.) advertised by Northern Inland CU on its Value Home Loan for borrowers fixing their rate for one year.
The table below shows a snapshot of some of the lowest rates on the Canstar database for borrowers with LVRs of between 60% and 70%:
Lender | Loan | Max LVR | Interest Rate | Comparison Rate | |
|---|---|---|---|---|---|
Variable | LCU | Simple Home Loan | 95% | 5.44% | 5.46% |
1 yr fixed | Northern Inland CU | Value Home Loan Fixed 1 year | 80% | 5.49% | 5.84% |
2 yr fixed | BankVic | Fixed 2 yrs | 95% | 5.79% | 5.88% |
3 yr fixed | BankVic | Fixed 3 yrs | 95% | 5.79% | 5.88% |
4 yr fixed | BankVic | Fixed 4 yrs | 95% | 6.09% | 5.98% |
5 yr fixed | Horizon Bank | Fixed Rate Home Loan 5 yrs ≤70% | 70% | 5.94% | 6.20% |
Source: Canstar - 16/04/2026. Based on owner occupier loans on Canstar's database, available for a $600,000 loan and P&I repayments; excluding construction only, first home buyer only, green only, intro and other special condition loans.
Some of the lowest mortgage rates for LVRs of >70% to 80%
If you have a deposit or equity of at least 20% but less than 30%–or your mortgage balance is between 70% and 80% of your property’s value–the lowest variable rate on the table for you may be 5.44% p.a., according to the Canstar database:
- Lowest variable rate for LVRs of >70% to 80%: 5.44% p.a. (comparison rate of 5.46% p.a.) advertised by LCU on its Simple Home Loan product.
- Lowest fixed rate for LVRs of >70% to 80%: 5.49% p.a. (comparison rate of 5.84% p.a.) advertised by Northern Inland CU on its Value Home Loan for borrowers fixing their rate for one year.
The table below shows a snapshot of some of the lowest rates on the Canstar database for borrowers with LVRs of between 70% and 80%.
Lowest Rates for LVR 70.01% to 80% | |||||
|---|---|---|---|---|---|
Lender | Loan | Max LVR | Interest Rate | Comparison Rate | |
Variable | LCU | Simple Home Loan | 95% | 5.44% | 5.46% |
1 yr fixed | Northern Inland CU | Value Home Loan Fixed 1 year | 80% | 5.49% | 5.84% |
2 yr fixed | BankVic | Fixed 2 yrs | 95% | 5.79% | 5.88% |
3 yr fixed | BankVic | Fixed 3 yrs | 95% | 5.79% | 5.88% |
4 yr fixed | BankVic | Fixed 4 yrs | 95% | 6.09% | 5.98% |
5 yr fixed | BankVic | Fixed 5 yrs | 95% | 6.09% | 6.00% |
Source: Canstar - 16/04/2026. Based on owner occupier loans on Canstar's database, available for a $600,000 loan and P&I repayments; excluding construction only, first home buyer only, green only, intro and other special condition loans.
Some of the lowest mortgage rates for LVRs of more than 80%
If you have a deposit or equity of 20% or less–or your mortgage balance is more than 80% of your property’s value–the lowest variable rate on the table for you may be 5.44% p.a., according to the Canstar database:
- Lowest variable rate for LVRs of more than 80%: 5.44% p.a. (comparison rate of 5.46% p.a.) advertised by LCU on its Simple Home Loan product.
- Lowest fixed rate for LVRs of more than 80%: 5.74% p.a. (comparison rate of 6.06% p.a.) advertised by Transport Mutual Credit Union on its Residential Fixed home loan product for borrowers fixing their rate for one year.
The table below shows a snapshot of some of the lowest rates on the Canstar database for borrowers with LVRs of more than 80%.
Lender | Loan | Max LVR | Interest Rate | Comparison Rate | |
|---|---|---|---|---|---|
Variable | LCU | Simple Home Loan | 95% | 5.44% | 5.46% |
1 yr fixed | Transport Mutual Credit Union | Residential Fixed P&I 1 yr | 95% | 5.74% | 6.06% |
2 yr fixed | BankVic | Fixed 2 yrs | 95% | 5.79% | 5.88% |
3 yr fixed | BankVic | Fixed 3 yrs | 95% | 5.79% | 5.88% |
4 yr fixed | BankVic | Fixed 4 yrs | 95% | 6.09% | 5.98% |
5 yr fixed | BankVic | Fixed 5 yrs | 95% | 6.09% | 6.00% |
Source: Canstar - 16/04/2026. Based on owner occupier loans on Canstar's database, available for a $600,000 loan and P&I repayments; excluding construction only, first home buyer only, green only, intro and other special condition loans.
Refinancing with equity: How does it work?
When refinancing, most banks and lenders won’t require a cash deposit–they’ll let you use equity instead. Your equity is the difference between your home’s market value and how much is left on your home loan.
If you’ve been paying off your home loan for a while, there’s a good chance you’ll have a chunk of equity hidden in your property. It could be more than you realise, given how house prices have soared in Australia in recent years.
It’s worth noting that you can’t use all your equity when you refinance, banks will calculate what’s known as your ‘usable equity’–the portion of your home’s value you can actually borrow against without paying extra fees or lender’s mortgage insurance. This is normally 80%.
Let’s assume your home is worth $1,000,000 and you have $300,000 owing on your current home loan. Here’s how you would calculate your usable equity:
- Find 80% of your property’s value: $1,000,000 x 0.80 = $800,000.
- Subtract your existing debt: $800,000 - $300,000 = $500,000.
While your total equity in this example is $700,000 (the value of the property minus what you owe on your mortgage), your total usable equity is $500,000.
Is refinancing a good idea?
If you have some equity built up in your home, then refinancing can be a way to reduce your home loan interest rate. But before jumping to refinance, it pays to carefully consider your financial position and calculate whether you’ll end up genuinely better off.
It’s important to know that you’ll face a range of costs when refinancing–discharge or break fees from your old home loan, valuation fees for your property, or application fees for your new loan. Consider these costs and whether they’ll eat any savings you make.
Likewise, if the value of your home drops significantly, you could find yourself in negative equity–that is, owing more to your bank or lender than your house is worth.