Bank of Melbourne Home Loans

Read on to compare some of Bank of Melbourne’s key home loan interest rates and the key features they have.

Bank of Melbourne is a division of Westpac Banking Corporation, founded as Victoria's local bank in 1989. It was officially relaunched in 2011 following a $1.4 billion merger with Westpac and now employs more than 1,200 people across the country. 

Bank of Melbourne issues a variety of credit, deposit and payment products, including home loans, credit cards, personal loans, transaction accounts, superannuation and more.

Read on to learn more about Bank of Melbourne's key home loan products and features.

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Compare Bank of Melbourne Mortgage Rates

Lender
Advertised rate Comparison rate Monthly repayment Rate TypeOffsetRedrawOngoing FeeUpfront FeesLVRLump Sum RepaymentAdditional RepaymentsPre-approval
FixedMore details

Fixed Rate Home Loan (Principal and Interest) 3 Years (LVR < 60%)

FixedMore details

Fixed Rate Home Loan (Principal and Interest) 2 Years (LVR 80%-95%)

FixedMore details

Fixed Rate Home Loan (Principal and Interest) 3 Years (LVR 60%-80%)

FixedMore details

Fixed Rate Home Loan (Principal and Interest) 3 Years (LVR 80%-95%)

VariableMore details
LIMITED TIME OFFER

Smart Booster Home Loan Discounted Variable - 1yr

  • Fast turnaround times, can meet 30-day settlement
  • No ongoing fees
  • Extra repayments + redraw services
LIMITED TIME OFFER

Smart Booster Home Loan Discounted Variable - 1yr

  • Fast turnaround times, can meet 30-day settlement
  • No ongoing fees
  • Extra repayments + redraw services

Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to made on variables as selected and input by the user. All products will list the LVR with the product and rate which are clearly published on the Product Provider’s web site. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. *Comparison rate is based on a loan of $150,000 over a term of 25 years. Please note the comparison rate only applies to the examples given Rates correct as of September 25, 2021. View disclaimer.

What home loans does Bank of Melbourne offer?

Bank of Melbourne offers mortgage products to people making a range of property purchases, including buying an established home, building a new home, purchasing a vacant block of land or a house and land package. These mortgage products fall under the following main categories:

  • Basic home loan: an easy, no-frills home loan with a competitive interest rate and no monthly fees
  • Portfolio loan: a flexible line of credit secured by your property
  • Building loan: designed for new builds, allowing for drawing down only the money you need as the construction is completed
  • Relocation loan: for the ability to remain in your existing home while your new property is being built
  • Advantage package: an all-in-one package that combines your home loan, credit card and transaction account

Considering other lenders? Compare home loans with these low-rate offers for owner occupiers:

Lender
Advertised rate Comparison rate Monthly repayment Rate TypeOffsetRedrawOngoing FeeUpfront FeesLVRLump Sum RepaymentAdditional RepaymentsPre-approval
VariableMore details
LIMITED TIME OFFER

Smart Booster Home Loan Discounted Variable - 2yr (LVR < 80%)

  • Fast turnaround times, can meet 30-day settlement
  • For purchase and refinance, min 20% deposit
  • No ongoing or monthly fees, add offset for 0.10%
LIMITED TIME OFFER

Smart Booster Home Loan Discounted Variable - 2yr (LVR < 80%)

  • Fast turnaround times, can meet 30-day settlement
  • For purchase and refinance, min 20% deposit
  • No ongoing or monthly fees, add offset for 0.10%
FixedMore details
NO UPFRONT OR ONGOING FEES

Basic Home Loan Fixed (Principal and Interest) (LVR < 70%) 3 Years

NO UPFRONT OR ONGOING FEES
VariableMore details
100% FULL OFFSET ACCOUNTNO APPLICATION FEE OR ONGOING FEES

Low Rate Home Loan - Prime (Principal and Interest) (Owner Occupied) (LVR < 60%)

  • No upfront or ongoing fees
  • 100% full offset account
  • Extra repayments + redraw services
100% FULL OFFSET ACCOUNTNO APPLICATION FEE OR ONGOING FEES

Low Rate Home Loan - Prime (Principal and Interest) (Owner Occupied) (LVR < 60%)

  • No upfront or ongoing fees
  • 100% full offset account
  • Extra repayments + redraw services

Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to made on variables as selected and input by the user. All products will list the LVR with the product and rate which are clearly published on the Product Provider’s web site. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. Rates correct as of September 25, 2021. View disclaimer.

Bank of Melbourne home loan rates

Bank of Melbourne offers a range of interest rates on mortgages for both owner-occupiers and property investors, including variable and fixed rates of up to five years. You can find the complete list of interest rates on their home loans here

Fixed interest rates

You can choose a fixed-rate term ranging from 1 to 5 years. Over the fixed term, your repayments will remain the same, thus allowing you to plan your budget better.

On fixed-rate mortgages, there is a rate lock feature which, for a fee, allows you to secure the advertised rate for up to 90 days while you're waiting for the loan to be settled, thereby safeguarding you from the possibility of an interest rate hike before settlement.  

Variable interest rates

With a variable rate home loan, your repayments will generally move up and down with any changes in your interest rate. While it doesn't offer the certainty of a fixed interest rate, it allows you to benefit from decreasing market rates.

Bank of Melbourne home loans and features

As a home loan customer, you might be eligible for some of the following home loan features:

  • Redraw facility: Eligible home loans will allow you to withdraw any extra repayments you have contributed on your mortgage.
  • Offset account: Available to eligible variable rate loan customers with P&I repayments, an offset facility will let you offset your savings against your mortgage, paying less interest. 
  • Pause repayments: You can apply for a repayment pause in order to reduce or stop your repayments for an approved period. Fees apply.
  • Guarantor: You can use the equity in your family member's home as security for your own property.
  • Rate lock: For a fee, you can secure the advertised rate on a fixed mortgage for up to 90 days before your new loan settles to protect yourself from the possibility of rising interest rates. 
  • Split loan: You can choose to pay part of your mortgage on a fixed rate and the other part on a variable rate.
  • Additional repayments: You can make extra repayments to your loan account in order to pay it off faster.  

How to apply for a Bank of Melbourne home loan

Applying for a mortgage can be done online. Conditional approval online generally takes 15 minutes, though unconditional approval is unspecified as it depends on a multitude of factors. 

Eligibility criteria

To apply for a mortgage you generally need to meet the following criteria:

  • You are 18 years or over
  • You are an Australian or New Zealand citizen or permanent resident
  • You are either married or de-facto (to each other) if it's a joint application
  • You can demonstrate your ability to service the loan

Documents needed

To ensure a smooth application, you'll generally need to have these documents ready for submission:

  • Savings history, which could be a copy of statements for all your savings accounts
  • Proof of income (e.g., payslips, employment letter or contract, commission or bonuses) and assets
  • Anticipated rental income, if you're purchasing a rental property
  • Estimated expenses and other liabilities (e.g., credit cards, personal loans)
  • A copy of itemised tender or quote from your builder, if you're building a house
  • First Home Owner Grant application form, if you're planning to apply for one

Bank of Melbourne Frequently asked questions

How long does it take for Bank of Melbourne to process my home loan application?

Generally, it can take several weeks for your home loan application to be fully processed and approved, as Bank of Melbourne needs to verify your identity, assess your finances and transfer security of the property. 

Pre-approval usually takes less time than unconditional approval, and you should receive pre-approval within 24-48 hours once you have submitted all the required documentation, but speak to a Bank of Melbourne lending specialist for more information on your application.

How does Bank of Melbourne verify my identity?

Bank of Melbourne can verify your identity electronically or over the phone using the personal details you have provided in your application. You can also verify your ID using Bank of Melbourne's Identification Verification form.

Why was my home loan application unsuccessful?

Your home loan application can be unsuccessful if you don't meet the eligibility criteria or haven't supplied all the documentation required for the process to move forward.