Yard Home Loans
What home loans does Yard offer?
Yard offers the following categories of home loans at the time of writing:
Yard Home Loan
Yard’s Home Loan can be used to purchase or refinance a property for personal use or as an investment.
Features include an available loan-to-value ratio (LVR) of up to 95% for owner-occupiers or 90% for investors (with lenders mortgage insurance for LVRs above 80%), the ability to make unlimited additional repayments on variable rate loans (limits may apply to fixed-rate loans) with unlimited free redraw, and an optional 100% offset facility.
Bridging Home Loan
Yard’s Bridging Loan is another type of home loan designed to cover the time between buying or building a new property, and settling on the sale of your existing one. It is available for a loan term of six to 12 months.
Features include an available LVR of up to 85%, interest-only repayments, the ability to make unlimited additional repayments, and an optional 100% offset facility for an additional fee.
Bear in mind that while bridging loans can work well for some people, they can also come with certain risks and costs, so it could be worth weighing up your options carefully before committing to one.
SMSF Home Loan
Yard’s Self-Managed Super Fund (SMSF) Loan allows eligible SMSF trustees to use their SMSF to purchase or refinance a residential investment home.
Features include an available LVR of up to 70%, the ability to make unlimited additional repayments, and a 100% offset facility.
Bear in mind that as financial regulator ASIC explains on its Moneysmart website, there are a number of rules, costs and risks associated with investing in property via an SMSF, so it could be important to familiarise yourself with these before jumping in.
Yard home loan features
Some features of Yard’s Home Loan product for owner-occupier borrowers include:
- A minimum loan size of $150,000 and a maximum loan size of $5 million.
- A choice between variable, fixed-rate or split loans, with principal and interest or interest-only repayments.
- The ability to borrow up to 80% of the property’s value without Lenders Mortgage Insurance (LMI), and up to 95% with LMI.
- Guarantor home loans (also known as ‘Family Pledge’ or ‘Family Guarantee’ home loans) are offered, potentially allowing eligible applicants to borrow up to 110% of the purchase price of the property without paying LMI, if a member of their immediate family puts up a property they own as additional security.
- Loans are available for a period between two and 30 years, Yard says.
- An optional 100% offset account on variable rate loans, for an annual fee of $120.
Yard home loans FAQs
Before getting started, you might first like to take a look at our applying for a home loan checklist for some pointers, and use the Canstar website to compare home loans with a wide range of lenders before choosing a product that suits your needs.
If you decide to apply for a Yard home loan, there are a few things you will need to do as part of its online application process. Firstly, securely share your personal financial details with Yard. Yard says it will verify your identity, your credit history and your financial situation online. Secondly, you will need to “design the features of your loan” to match what works best for you, such as by choosing whether you want a variable, fixed or split rate loan and whether you would prefer to make principal and interest or interest-only repayments. Finally, you must wait to get approved by Yard – it will check your details and then either accept or reject your loan application.
At the time of writing, Yard offers free, unlimited extra repayments on its variable rate home loans, although it says an annual limit of $20,000 applies to extra repayments on its fixed-rate loans. Terms and conditions may apply. Contact Yard for details.
To give you an idea of how making extra repayments could save money in interest over the life of your loan, you might like to try our Extra Repayments Calculator.
At the time of writing, Yard offers unlimited free redraw on additional repayments for its Home Loan product. Yard does not advertise a redraw facility on its Bridging Loan nor its SMSF Loan. Contact Yard for more details.