More Australians are turning to online mortgage lenders when taking out a home loan, and it’s proving to be a pretty savvy financial decision for many. Speedy online applications, super-efficient approval processes, and best of all, low interest rates — these are just some of the advantages that online mortgage lenders have over the major banks.
But with the playing field as packed as it is, it can be difficult to know where to start. That’s where the Mozo Experts Choice Awards^ come in. Each year, our team of data wizards pore over hundreds of mortgages to determine which ones offer the best value and the most useful features. Among this year’s winners, online lenders were quite well-represented.
So whether you’re taking your first steps up the property ladder or looking to refinance to a better loan, online mortgage lenders are well worth a look. We’ve compiled just a handful of winners from the 2021 Mozo Experts Choice Awards to help you in your search.
Compare the best online mortgages
loans.com.au Smart Booster Home Loan
Super low 1.85% p.a. variable rate (2.21% p.a. comparison rate*) for first year
If you’re looking to dip your toes into the online lending pool then allow us to introduce you to the Loans.com Smart Booster Home Loan. This loan offers a crazy-low 1.85% p.a. variable rate (2.21% p.a. comparison rate*) for the first year (with a low 2.25% p.a. revert rate) to owner-occupiers who opt for the one-year discount special. On top of this, you’ll also have the option to add an offset account with an additional 0.10% interest. And as if that’s not enough, this nifty loan received not one, but two 2021 Mozo Experts Choice Awards^ in the Low Cost Home Loan and Offset Home Loan categories.
With a new super-low 2.34% p.a. variable interest rate (2.34% p.a. comparison rate*) on amounts above $100,000, the UBank UHomeLoan Discount Offer left this year’s Mozo Experts Choice Home Loan Awards^ with two wins in the Low Cost Home Loan and Split Home Loan categories. Homebuyers and refinancers will also appreciate the features on offer, such as the ability to make free extra repayments and access a redraw facility. Just keep in mind that the Discount Offer is only available to borrowers with a minimum 20% deposit.
Since it first burst onto the scene in 2019, Athena Home Loans has scored plenty of goodwill with Aussies thanks to its low interest rates and habit of passing on RBA rate cuts in full. The Athena Celebrate Variable Home Loan offers the same great rates to both new and existing borrowers, and as an added bonus to reward borrowers for paying down their mortgage, they will automatically lower your rate as you pay off your loan. This home loan is available to refinancers and new borrowers purchasing in capital or major regional cities and was enough to impress the judges of the 2021 Mozo Experts Choice Home Loan Awards^ in which it won this year’s Home Loan Innovation Award.
The Well Home Loans Well Balanced Variable showed a superb display of performance in the 2021 Mozo Experts Choice Home Loan Awards^, taking out a whopping five awards in total. This home loan offers a competitive 1.84% p.a. (2.01% p.a. comparison rate*) for borrowers who pay a 20% deposit, plus a range of fab features, such as the ability to make free extra repayments, a redraw facility and no ongoing fees. In addition, you’ll be also able to tailor your mortgage to suit your needs thanks to the split loan option and optional offset account for $10 a month.
With a maximum LVR of 60%, the 86 400 Neat variable Home Loan is packed with a punch in value - offering variable interest rates from as little as 2.19% p.a. (2.20% p.a. comparison rate*) for owner-occupiers and from 2.44% p.a. (2.45% p.a. comparison rate*) for investors. On top of this, the mortgage charges minimal fees and offers a range of flexible features, like free extra repayments and a free redraw facility all up for grabs. Not to mention, it is currently offering a limited-time cashback deal, and even received not one, but two 2021 Mozo Experts Choice Awards^ in the Low Cost Home Loan and Investor Home Loan categories.
Customers can borrow between $150,000 and $1,500,000 with this competitive home loan from Yard. It includes a number of handy features to make the path to home ownership that much easier and affordable, including the ability to make free extra repayments and access a redraw facility in case you need the cash in your pocket again. An offset account is also available to help you save on interest, but this costs $10 per month. And with interest rates running on a tiered LVR system that start as low as 1.99% p.a. (2.02% p.a. comparison rate*), it’s no wonder this mortgage took home Mozo awards in the Offset Home Loan and Low Cost Home Loan categories in 2021.
*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 cost of the loan. The comparison rate displayed is for a secured loan with monthly principal and interest repayments for the amount and term you entered.
**Initial monthly repayment figures are estimates only, based on the advertised rate, and a loan of $500,000 repaid over 25 years. Rates, fees and charges and therefore the total cost of the loan may vary depending on your loan amount, loan term, and credit history. Actual repayments will depend on your individual circumstances and interest rate changes.