Mortgage of the Year Awards 2012
The Teachers Mutual Bank Solutions Plus Home Loan is Your Mortgage’s 2012 winner in the best basic variable home loan category for building societies and credit unions.
The interest rate is one of the best available on the market, which you can access if your loan is worth $250,000 or more.
Successful applicants can borrow up to 95% of the property value with LMI. Combine this with a flexible loan term ranging from six months to 30years and the Solutions Plus Home Loan appeals to first home buyers with small deposits who are looking for a competitive interest rate.
More winning features of this product include no monthly fees and unlimited free additional repayments and redraws, with interest only or principal and interest repayment options available. However, this being a budget loan, offset accounts are not permitted.
Weekly, fortnightly or monthly repayment options mean this loan is sure to cater to everyone’s needs. A split loan facility and the ability to access the account via phone, BPay, over the counter and on the internet round out this winning Teachers Mutual Bank package.
Slipping slightly from first place last year, the IMB Budget Home Loan takes out this year’s silver medal award with a still competitive interest rate of 6.57% (6.65% comparison rate).
Just like the Teachers Mutual Bank Solutions Plus Home Loan, there’s no offset facility, but borrowers can enjoy other similar features such as a principal and interest repayments, a 95% Loan to Value Ratio with LMI, free redraw (with a $500 minimum) and unlimited free additional repayments.
The minimum loan amount is slightly higher at $75,000, but the maximum loan term is an impressive 40 years. There is an ongoing fee of $10 per month.
Taking out this year’s bronze medal is the Community CPS Australia Basic Variable Home Loan thanks to its low rate of 6.44% (6.57% comparison rate). There is an ongoing fee of $11 per month, but the product does offer an LVR of 95% and extra repayment options, though principle only repayments are allowed.