Basic Home Loan

Enjoy no monthly fees and a lower interest rate with a Basic Home Loan1
  • A basic, no frills home loan with a lower variable interest rate1
  • $0 establishment fee if loan amount is greater than $150,0004 - for customers making Principal & Interest repayments only
  • $0 monthly service fee4
  • Flexible repayment options
  • Make extra payments to save on interest, with the option to request a redraw of your funds if you need them2
  • Ideal for first home owners or anyone who wants a no-frills, basic home loan. First home buyers may be eligible for the government’s First Home Owner Grant.

A Bank of Melbourne home loan expert will contact you at your preferred time.

A basic no frills home loan

Perfect for first home owners or anyone who wants a no-frills, basic home loan.

Lower variable interest rate

Get a lower variable interest rate1.

Choice of loan term & repayments

Choice of term up to 30 years for principal and interest repayments or up to 5 years for interest only repayments on Owner Occupier# loans and up to 10 years for interest only repayments on Residential Investment## loans

For properties or vacant land

Available to owners and investors for property or vacant land purchase.

Great features!

Features include reducing or avoiding Lender’s Mortgage Insurance3 when a family member provides additional security for part of your loan, redraw2, repayment pause and more!

Compare

Discover your borrowing power!

Fees

Establishment fee

$0 if loan amount is greater than $150,0004- for customers making Principal & Interest repayments only

Monthly administration fee

$0

Other fees and charges apply. See a complete list of fees for loan accounts.


Owner occupier interest rates
 

Term Annual Rate   Comparison rate*
Principal & Interest

Basic Home Loan Promotional Discounted Rate

Special limited time offer^

Rate includes 0.79% p.a. off the Basic Home Loan Rate

3.88% p.a. 3.89% p.a.
Basic Home Loan Rate 4.67% p.a. 4.72% p.a.
Interest only
Basic Home Loan Rate 4.87% p.a. 4.92% p.a.


Residential investment interest rates

Term Annual rate Comparison rate*
Principal & Interest
   

Basic Home Loan Promotional Discounted Rate

Special limited time offer^

Rate includes 0.81% p.a. off the Basic Home Loan Rate

4.39% p.a. 4.40% p.a.
Basic Home Loan Rate 5.20% p.a. 5.25% p.a.
Interest only
Basic Home Loan Rate 5.40% p.a. 5.45% p.a.

Repayment options for a Basic Home Loan

Frequency

Choose either:

  • Principal and interest repayments for up to 30 years, or
  • Interest only repayments for up to 5 years for Owner Occupier# home loans and 10 years for Residential Investment## home loans.

Weekly

Fortnightly

Monthly

Loans with Principal and interest repayments

yes

yes

yes

Loans with Interest only

no

no

yes

Additional payments

  • Make additional payments at any time at no cost
  • Calculate what you could save by making extra payments.

Automatic repayments

  • Set up convenient automatic repayments from your nominated bank account.
  • Enjoy no monthly transaction account service fee by having your home loan repayments deducted from a Complete Freedom Account.
  • Pay off your loan earlier and pay less interest by making additional repayments. You have same day access to redraw your extra repayments (no fee applies).
  • Redraw fee may apply depending on the product (and/or means by which the redraw is made). Any party to the loan can access the available redraw amount.  The bank has a discretion to suspend redraws.

Uses the equity in a family member’s home to reduce or eliminate the need for lenders mortgage insurance. The value of the pledge is limited to the amount needed (when combined with your deposit) so that it equals 20% of the value of the property being purchased.

Legal advice is required for the family pledge guarantor.

You may be able to pause or reduce your repayments for a set period (keep in mind, after the break your repayments may be higher for the rest of your loan term).

Apply online

Apply now. It takes just 10 minutes!

Enquire online

Enquire now and a Bank of Melbourne home loan expert will call at your preferred time.

Call us

13 22 66

To talk with a Bank of Melbourne home loan expert, say “New Mortgage” when prompted.

Visit a branch

Find your nearest branch

What you’ll need to apply

Tips

How to apply

The Detail

Conditions, fees and credit criteria apply.

Before making a decision, it’s best to read the terms and conditions:

Please read these documents and keep a copy. You can request a paper copy at a branch.

The information on our website is prepared without knowing your personal financial circumstances. Before you act on this, please consider if it’s right for you. If you need help, call 13 22 66.

* The comparison rate is based on a loan of $150,000 over a 25 year term. WARNING: This comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate.

^ Rate includes 0.79% p.a. discount for Owner Occupier purposes or a 0.81% p.a. discount for Residential Investment purposes applied to our Basic Home Loan offer for the life of the loan. This offer may be withdrawn at any time. This offer is only available for new Basic Home Loan applications received from 08 May 2017. Interest rates subject to change (and margins may apply). Call us for more information on current offers available. Excludes internal refinances and switches within St.George, Bank of Melbourne and BankSA.

1. As compared to our standard variable interest rate.

2. Redraw requests and repayment pause are subject to our approval. Fees apply.

3. Lender’s Mortgage Insurance is generally payable on loans exceeding 80% of the value of your property

4. Upfront fees and other fees and charges may apply.

# Excludes Investment loan applications where the principal property securing the loan will be used to derive rental income or where the loan application purpose is to invest in real estate or to construct or make property improvements to an investment property.

## Excludes loan applications for owner occupier purposes (where the owner owns the property in which they live or intend to live in). Includes Investment loan applications where the principal property securing the loan will be used to derive rental income or where the loan application purpose is to invest in real estate or to construct or make property improvements to an investment property.