Cheapest Home Loan Packages

GOLD WINNERS BANK BANK OF SYDNEY NON-BANK PEOPLE’S CHOICE CREDIT UNION A discounted interest rate is the main attraction, with a few perks thrown in

Back in the day when package home loans were new on the mortgage scene, lenders often tried to cram as many freebies as possible into the loan. However, that was when the big banks often had insurance, financial planning and wealth management arms. These days, package loans are more about securing a super low rate for the life of the loan, with a couple of extra perks thrown in.

Bank of Sydney’s Expect More home loan package certainly delivers on this score, with a variable rate of 3.66% – that’s a massive 2.06% discount off the standard variable rate of 5.72%. If you can stump up a 30% deposit, the annual package fee of $395 is waived for the life of the loan, so in effect you’re getting a valuable rate discount for no additional outlay.

Bank of Sydney took out this award in 2018 but there are strings attached to its product. You will need to have been in the same line of work for 12 months, and the loan is restricted to properties with Sydney, Melbourne and Adelaide metro postcodes. Restrictions apply for properties in Queensland.

People’s Choice Credit Union’s home loan package, standard variable, comes with an annual package fee of $395, and for this borrowers enjoy a 1.71% saving on the standard variable rate, bringing it down to 3.59%. You will need a deposit of at least 20% to be eligible. The People’s Choice package loan offers a range of perks including an annual fee waiver on a Visa credit card (a saving of $59) and a $250 saving on personal loan application fees.

ING’s Orange Advantage home loan comes with a handy feature. Eligible purchases made using an Orange Everyday card can be rounded up to the nearest $1 or $5, with the difference going to pay down the home loan, making extra repayments effortless.

Newcastle Permanent’s Premium Plus package home loan has a range of extra benefits, including a zero application fee for personal and car loans.