As the name suggests, a variable rate loan means your interest rate will fluctuate when factors, such as the official cash rate, affect the lending market. A variable rate loan can offer you flexibility - such as the ability to make extra repayments and access to offset accounts or redraw facilities - but budgeting can be trickier as your repayment amount will change when interest rates rise or fall.

A fixed rate loan means your interest rate will be locked in for a set period of time. After the set period ends, your interest rate will revert to a variable interest rate or we can negotiate another fixed rate for you! You’ll have a little less flex with a fixed rate; for example, break fees may apply if you wish to pay your loan out before the fixed term ends. The benefits? Budgeting will be easier as your repayments will remain consistent and you wont be impacted when interest rates rise.

If you're not sure whether a fixed or variable interest rate is right for you, consider a bit of both. A split loan allows you to fix a portion of your loan while the rest has a variable rate. We can help you customise the split based on your needs and goals (for example, 50/50 or 20/80). Rate rises wont impact your repayments on the fixed portion of your loan but you’ll still have access to variable home loan features such your redraw facility, offset accounts & the ability to make extra repayments.

A packaged home loans is a home loan that combines your mortgage with other banking services such as an offset account, redraw facility or credit card. Packaged home loans offer discounts on standard variable and fixed interest rates, allow some fees to be waived and in some cases give access to discounts on other financial products offered by your lender.

Introductory rate loans, or honeymoon loans, offer an initially low interest rate for a short period (eg. a year). Once the honeymoon period is over, that initially cheap rate reverts straight to the standard variable rate.

An interest only home loan allows you to pay only the interest calculated on your loan and none of the amount you borrowed, for a period of time. Opting for an interest only loan can benefit you by offering lower repayments for a period, a chance to enter the property market sooner and for some investors; potential tax savings. The cons? You wont actually be paying off your property during the interest only period and your loan will eventually revert to principal and interest which can be a shock to the budget if you’re not prepared.

If you’re a home owner who is ready to upgrade or move on, its likely you will need to use the proceeds from the sale of your existing home to purchase your next home. This can pose a tricky problem if you want to buy before you sell! “Enter bridging loans”. Bridging loans are normally interest only loans with a limited term, being six-to-twelve months or the time you sell your current home; which ever comes first. You usually wont need to make substantial repayments while the loan is in place. Instead, the interest accrued on your bridging loan may be rolled into the loan associated with your new property at settlement.

If you’re building a home or investment property, this is the loan for you. Most construction loans are interest only for the first year while the build is underway and the loan is drawn down as the build meets certain milestones such as slab, framing, lock up, fit out and completion. Securing a loan for construction can be a little more complex than the process of securing a standard home loan. In addition to the normal details of income, expenses and assets; you’ll usually be required to provide a copy of your building plans, a fixed price building contract and other information.

Useful for ongoing projects, such as home renovations or investing, a line of credit loan is a flexible loan that allows you to access equity in your property and use a single account for your loan and everyday spending. Interest is added to the loan each month and repayments are not usually necessary while the loan is within its credit limit. For the convenience, you’ll pay a higher interest rate on a line of credit than you may on a personal loan but the rates are often more competitive than those associated with a credit card.