One of the best ways to save money on your home loan is to make sure you have a competitive interest rate for the type of loan you need.That’s why Australian Unity Home has negotiated with leading lenders to give us access to some of the cheapest loans on the market
For example, our award-winning variable home loan currently has an interest rate of just 4.48% p.a. (comparison rate of 4.50%), which is one of Australia’s lowest variable interest rates.
And it has no monthly or annual fees.
In addition, it offers a free valuation on application for the loan, unlimited free redraws, and unlimited extra repayments.
Plus this loan is rated the full 5 stars and ‘outstanding value’ by Canstar*. This loan is available for loans between $200,000 – $499,000.
Small interest rate savings can make a big difference
Here’s a real life example of why it pays to find a lower interest rate on your home loan.
A major bank is currently charging 4.83% p.a. (comparison rate of 5.18% p.a.) for their basic variable home loan,compared to our 4.48% (comparison rate of 4.50% p.a.).It doesn’t seem like much of a difference, but as you will see below, those savings add up over time. If you had the major bank’s loan, the default repayment on a $350,000 loan would be $1,843 per month, and your interest bill and
ongoing fees over the 30 year loan would be $324,615.
However, if you switched to an Australian Unity home loan+, your monthly repayments would reduce to $1,770 per month. If, however, you maintained your original $1,843 monthly repayments, your interest bill (we have no ongoing fees) over the life of the loan with Australian Unity would be just $261,019 – a saving of $63,596 and you would repay your loan 2.4 years sooner#.
That’s not a bad return for just switching your home loan.So call your adviser today to find out how you can make the switch and save.
*Canstar is a financial data provider. Refer to http://www.canstar.com.au/wp-ontent/uploads/2014/02/HL-Methodology-Sept-13.pdf for a description of its home loanratings methodology. #The information used for this comparison is accurate as at the date of this publication, and may be subject to change.Comparison rate based on a secured home loan of $150,000 over a 25 year period.
WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the costs of the home loan.
+Australian Unity Personal Financial Services Ltd markets and provides credit services in relation to Australian Unity Home Loans – Australian Unity is not the credit provider. The credit provider of Australian Unity Home Loans is AFSH Nominees Pty Ltd ACN 143 937 437 Australian Credit Licence 391192.