Choosing a home loan - Home loans

Choosing a home loan

Your loan options

A home loan is likely to be a 25 to 30 year commitment for most people. It is not a decision to be taken lightly.

Some questions to consider

Does the loan suit your long-term needs?
Will you be able to meet your commitments if you reduce your working hours or salary?
Are you planning to start a family? If you are, what financial impact will this have?

ANZ Home Loan Scenario Calculator

Before you decide on which loan would best suit your needs, use the ANZ Home Loan Scenario Calculator to find out how different scenarios can affect the cost and duration of your home loan, such as:

changing your loan amount, loan term or interest rate
using an offset account
redrawing additional loan repayments
making a lump sum payment.

What to look for in your home loan

Some features you may want to consider, when selecting your home loan, are:

the ability to make additional repayments to your loan without extra charges
the ability to make repayments via direct debit, ATMs, Internet and phone banking services
100% mortgage offset facility, allowing you to offset funds in an account against your home loan
the ability to redraw funds at any time
no home loan fees
can you restructure the loan further down the track?

Variable rate loans
Variable rate loans have an interest rate that fluctuates throughout the loan term. The rate is set by the bank, but is influenced by economic conditions, government policy and the 'official' interest rate that is set by the Reserve Bank of Australia. The ANZ Standard Variable Rate Home Loan has features that make paying off your home loan as easy and flexible as possible.

Basic variable rate loans
You also have the option of a 'no frills' variable rate loan. This is a loan that has a lower interest rate, but offers you only a basic range of loan features. The ANZ Simplicity PLUS Home Loan is an example of a 'no frills' loan, where you don't pay for the extra features you don't require.

Fixed rate loans
Fixed rate loans have interest rates that are fixed for a certain period during the term of the loan. The ANZ Fixed Rate Home Loan offers you the certainty of knowing what your repayments are and safeguards you against increasing interest rates.

Split rate loans
An ANZ Split Rate Home Loan enables you to split the amount you borrow into a number of different loans. This gives you flexibility as you can combine a variable and fixed rate loan, or two variables or two fixed loans, it's up to you! This means you get the benefits of both loans. At ANZ we allow you to split between any of our home loan and residential investment loan products.

Compare different mortgage rates

One of the easiest ways you can compare home loan rates is to calculate the comparison rate of the loan.

The comparison rate takes into account the costs associated with setting up a loan including the nominal interest rate/s, loan approval fees and any other up-front or ongoing fees. The comparison rate does not include government and statutory fees, since these are standard regardless of the lender or type of loan. It also doesn't include other fees and charges that are 'event based' and which may or may not apply throughout the term of your loan (for example, redraw fees, or early termination costs).

Use the ANZ Comparison Rate Calculator to compare the comparison rate between ANZ loans and loans from other financial institutions.

Need help selecting a home loan?

Use the ANZ Home Loan selector to help you find an ANZ home loan to suit your needs.

Ways to apply for a home loan

Telephone icon Call us direct on 1800 100 641

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