Cheapest Flexible Home Loans

GOLD WINNERS BANK ING NON-BANK PACIFIC MORTGAGE Features such as redraw, offset and split options can all help borrowers save money

Flexible loan features don’t just make your mortgage easier to live with; they can also be big money savers.

ING’s Orange Advantage home loan, which took out the gold award last year, comes with all the bells and whistles

– a 100% offset to put savings to work reducing loan interest, and the option to split between fixed and variable rates. The loan also features a handy round-up feature where eligible Orange Everyday card purchases are rounded to the nearest $1 or $5, with the difference going straight to your home loan. It’s an easy way to put extra repayments on autopilot.

Gateway’s Premium home loan includes redraw, 100% offset, variable/fixed split options and add-ons that come as part of a package including an extra 0.10% interest on term deposits plus discounts on insurance. The loan is available for up to 95% of your property’s value.

Greater Bank’s Ultimate Home Loan includes offset and free redraw, and incorporates an annual fee waiver on a Greater Bank Visa Credit Card plus insurance discounts.

Having won the non-bank award last year, Pacific Mortgage Group is back in the top spot with its variable rate home loan. Enjoy unlimited extra repayments and unlimited redraw. An annual fee of $120 is charged on settlement, though PMGs rebate this fee each year. Loan terms of up to 30 years are available and home buyers can borrow up to 90% of their property’s value (with lenders mortgage insurance) up to $850,000.

Newcastle Permanent’s Premium Plus Package home loan is back as runner-up for a second year. The home loan includes the main features you’d expect in a flexible mortgage – offset, redraw and the ability to split the loan. However, it also includes options for a repayment holiday and the loan is fully portable, meaning you can take it with you if you sell up and move.

First home buyers can rejoice with First Option Credit Union’s Smart Start home loan, which is only available for first-timers. It includes free redraw and offset, and there is no annual fee, which provides further savings. As a bonus, First Option will cover up to $1000 in establishment costs.