My current interest rate is at 5.99% with Ubank with about $180k owing.
Was it supposed to go down?
What Is Your Homeloan Interest Rate in 2025?
MonkEE on 23/02/2025 - 09:27
Last edited 23/02/2025 - 11:54 by 1 other user
Last edited 23/02/2025 - 11:54 by 1 other user
Comments
5.99% is already one of the lowest
Can we find out the ratio of negs to plus for all of a users comments?
Well, just for todays voting, as of right now, HeWhoKnobs is sitting at:
1:2.3
Every up vote has 2.2 downvotes
I hit my 10 negative vote cap last night, and no doubt this ratio will change throughout the day.
Not sure about all time though. Feature request?
I don't have a home loan.
Are you on a Fixed or Variable Rate?
Ubank is passing the February 2025 cash rate cut on to borrowers.
From 27 February variable rate home loans will drop by 25 basis points.
From that date the lowest variable rate loan the Ubank offers will be 5.84%.Maybe mention owner occupied, principal and interest and variable to make sure everyone on same page.
My interest rate is 0% because we paid off the house almost immediately.
The tried and true approach of saving a huge deposit, then buying a modest property, then paying it off at high speed may not be the best approach if you want to make heaps of capital gains, but it is a good approach if you want a low-risk, low-anxiety life without having to pay hundreds of thousands in interest over decades to increase the megaprofits of banks.
Did you leave your loan open as a cheap line of credit or close it and collect paperwork?
Closed it. Just want a simple life. Don't plan to be constantly in debt.
Good debt is fine as long you can manage it.
Im against paying off just one but buy more and more.
Need to think of long game not short time happiness@CyberMurning: Unless of course you get into your 50's and 60's and get ill and realize you never had a chance to enjoy your life. Touch wood in still relatively healthy in my early 50's but have been holding loans for the last 21 years on little more than a single income, which leaves little to do much else in life. Part of me wishes id actually enjoyed my earlier life a little more than having to be so focused on paying back debt. I mean we made the choice to be aggressive with our mortgage payback to reduce interest but it's come at the cost of holidays with our kids. I hope to be debt free within 2 years or so, so fingers crossed I stay healthy and can actually enjoy life a little.
I kept mine open but fully offset so 0% interest. I churn the refinance cashback $2-$3k multiple times a year, so racking up tens of thousand dollars free money in process.
Did the same with investment properties loans as well, free money!
@RTX9090Ti: Doesn’t all the hidden establishment fees eat heavily into the 2-3k cash backs? All that effort turned out to not be worth it when I did the math. But I don’t know what system you have going.
@Smol Cat: In my case all the fees are under $1k, close to $500ish. $2k cashback is probably minimum that will entice me.
Also the 2.5% fixed interest from years back helps a lot for 5 years term.
that's nice but if you live in a capital city a modest house in the suburbs will set you back 1.5mil+ nowadays.. by the time you save up the "huge deposit" the average house price rise would outpace your saving rate. i suppose you could always cut back on avo/toast and the coffees
if you live in a capital city a modest house in the suburbs will set you back 1.5mil+ nowadays
Melbourne:
https://www.realestate.com.au/property-house-vic-bundoora-14…
Quiet street, 40 mins drive to Melbourne CBD, Auction price guide $750,000 - $825,000Brisbane:
https://www.realestate.com.au/property-house-qld-margate-146…
Quiet street, pool, 15 mins walk to sandy beaches, renovated, 40 mins drive to Brisbane CBD, $969,000Sydney:
https://www.realestate.com.au/property-house-nsw-toongabbie-…
Quiet street, pool, 35 mins drive to Sydney CBD, Auction price guide $1,000,000Plenty more if you look around and keep an open mind with respect to commuting distance. Personally I would choose greater Brisbane for the diversity in terms of affordable houses in attractive areas.
I guess you don't live in Sydney..35min drive from toongabbie to the CBD during peak hour? maybe if you want to fork out $100 in tolls per week if you want to get there under an hr.
That fibro house you linked will go for 1.2-1.3 at a minimum - everyone knows auction price guides are bs. if you want to have a "big deposit" let's be generous and say 30% only leaving you with a still hefty mortgage of 1m+ that's 400k + stamp duty deposit so close to half a mil. how quickly can people save up 500k nowadays on the ''average'' 100k pa wage?@May4th: Yes, Sydney is the least affordable. Personally I wouldn't want to buy a house in Sydney unless I was quite wealthy. I think most people on median wages in Sydney buy apartments.
6.04% variable PPOR with ING
6.05% variable PPOR with Bank of Melbourne
5.99 with ubank soon, in march after 0.25 cut
INVESTMENT not pporUbank is untrustworthy. They are ripping off their customers for an entire month.
We’re pleased to let you know that we’ll be reducing our UHomeLoan standard variable home loan rates by 0.25% p.a. effective from 17 March, 2025.
5.73% unloan
Likewise, was 5.98% before Friday. (PPOR)
Do you need a CBA account to pay the loan or can it be any account? Thinking of moving my loan to them soon
No it’s a separate entity
Have they cut already?
YES 21ST
6.45% ANZ for an IP.
But irrelevant as it's fully offset. I just wanted the $2000 refinance free money.
ING 6.09% PPOR with offset account
1.99% until September
5.87 variable St George with all transaction accounts offsetting
Is this before or after the latest RBA 0.25% cut? This is a great rate is before.
What are your loan stats - size, LVR?
No idea.
2.14 with TMB till October
5.69 variable with Australian mutual bank (owner-occupied)
Is it with offset? Or are you doing Additional repayments and Redrawing, seems hassle to me.
no offset, not doing additional repayments or redrawing. Just biding my time until something better turns up.
5.99 ING (before rate cut) with offset and an extra 0.15% rebate from the broker per month.
please share your broker details
Nick Burgess from money.com.au… when I was refinancing 2 months ago I went to the website to get a comparison table as part of my research but they had one of those fill in your details before giving you the data things, I did it anyway, got a call the next day they had a really good deal.
Thanks
After the rate drop, we'll be at 5.75% for PPOR, and 5.08% for IP. Both P&I and with CBA.
Good timing as we are coming off four years fixed at 1.99% in April.
I'm assuming IP is investment property? If so how on earth did you get such a low rate for investment?
Doesn't make sense.
Is it through broker? Thats really good .25 less than what I am getting.
6.09% for OO with Westpac, will drop to 5.84% after the latest RBA cut is actioned. This is for a small (low $300k's) and LVR <50%. Probably could get a better rate if the loan size was bigger (>$500k).
Will probably look to refinance in the next 3-6 months depending on how aggressive WBC want to keep my business, and what rates/cashback offers are available.
@ol mate - 6.04% variable with St George (owned by Westpac) but thinking I should shop around given some of the other rates mentioned here.
Ours will be 6.09 with great southern bank after drop for investment.
Am seeing a large variation on people's listed home loan rates. Is this because most home loans are based on LVR now so pretty much all people will have a different loan based on their personal situation?
am i the only idiot with a variable 6.19% interest rate?
will go down at the end of the month, but I feel like i'm getting shafted when everyone else is already below 6.Owner occupied with offset, huge amount remaining (>$1m), 60% < LVR <70%.
My previous broker told me 6.19% was a good rate when we came off fixed of 1.98% in December. I didn't accept this and went somewhere else. It wasn't a bad rate at the time but it wasn't a great rate. My LVR 55-65%.
Could you please share the details, what rates are you getting? which bank?
I answered you above.
Check out
https://www.regionalaustraliabank.com.au/home-loans/regional…Upto 4K cash back.. my refinance is in process with 5.99% without recent cash rate adjustment and up to 10 offset accounts and free credit card and on top no fees at all
5.99% variable PPOR with ING. Will become 5.74% on 4 March
5.94% p.a PPOR^ with CBA with offset accounts. Will drop to 5.69% on 28 Feb.
^ used for equity for investment properties.
I did threaten to leave a couple of times to get the above rate. Was thinking of refinancing but not worth the hassles for me to save a few basis points.
Hopefully will get more RBA rate cuts. With the rate cut, it has made the investment properties just positively geared.
Only 18 more years and investment properties will be paid off lol.
If you had a home loan of $400k but also had $400k in cash to pay it off, what would be the best plan? pay it off? invest it?
Get a home loan with an offset account. Place $400k in the offset account until you decide what to do with the property.
1- If you never ever intend of rent the property out, then pay it off.
And then redraw to purchase an investment property or invest in shares. The loan will fully tax deductible.
2- if you rent the property out. Use the redraw to use a deposit for your next family home. The $400k loan will be tax deductible against original home (now investment property).
If you paid off the property and then redraw it, the loan will not be tax deductible against original home (but may be tax deductible if new property is an investment property).
And then redraw to purchase an investment property or invest in shares. The loan will fully tax deductible.
Do all home loans have redraw facility or do you need to ask for it?
I can't remembering any home loan not having a redraw facility.
Banks love redraw. Use them and they will earn more interest.
Banks don't love offset accounts. Use them and they will earn less interest.
6.14% Bankwest. PPOR.
Will be 5.89% soon
185k owing, is there anything I should do? Refinance? Any cashback options?
Have 3 lots 6.33% for IP, pre cut. CBA, and 1 x 6.47%
im currently paying 6.34% at bank of melbourne, so i think im still doing ok
Locked in at 2.6 three years ago, so it's going up for me!
HSBC 6.04% Var PPOR with Offset. Soon to be 5.79% on 10/03.
I say "soon", despite the fact that HSBC has set their rate change effective date the latest of all but one Australian lender, second only to Bank of Sydney (which is 12/03).
If you check their website
We’re pleased to let you know that we’ll be reducing our Neat and Flex variable home loan rates by 0.25% p.a. effective from 27 February 2025.
I assume the same drop date would apply to existing loans, though your current rate is less than their advertised current rates.