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.
Summary
- About Bank of Melbourne
- Bank of Melbourne fixed rate home loans
- Bank of Melbourne variable rate home loans
- Bank of Melbourne home loan features
- How to apply for a Bank of Melbourne home loan
About Bank of Melbourne
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.
What home loans does Bank of Melbourne offer?
Bank of Melbourne offers home loan 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 home loan 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
Bank of Melbourne offers a range of interest rates on home loans 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.
Bank of Melbourne fixed home loans
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.
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Base criteria of: a $400,000 loan amount, fixed home loans with an LVR (loan-to-value) ratio of at least 80%. Introductory rate products were not considered for selection. This table includes only a snapshot of the lender’s products, not all of them. Monthly repayments were calculated based on the selected products’ advertised rates, applied to a $400,000 loan with a 30-year loan term. *Rates correct as at 02 March 2020. View disclaimer.
On fixed-rate home loans, Bank of Melbourne also offers 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.
Bank of Melbourne variable home loans
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.
p.a.
p.a.
repayments
Base criteria of: a $400,000 loan amount, variable home loans with an LVR (loan-to-value) ratio of at least 80%. Introductory rate products were not considered for selection. This table includes only a snapshot of the lender’s products, not all of them. Monthly repayments were calculated based on the selected products’ advertised rates, applied to a $400,000 loan with a 30-year loan term. *Rates correct as at 02 March 2020. View disclaimer.
Bank of Melbourne home loans and features
As a home loan customer at Bank of Melbourne, 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 home loan.
- 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: Bank of Melbourne can allow you to 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 Bank of Melbourne fixed home loan 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 with Bank of Melbourne can be done online. According to Bank of Melbourne, conditional approval online generally takes 15 minutes, though unconditional approval is unspecified as it depends on a multitude of factors.
Alternatively, you can send an online inquiry, give the team a call on 13 22 66 or find a local branch or mobile lender whom you can talk to in person.
Eligibility criteria
To apply for a home loan with Bank of Melbourne, 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-factor (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
