Greater Bank introduces new 'lowest ever' home loan

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on February 10, 2021
Greater Bank introduces new 'lowest ever' home loan

Today, Greater Bank introduced a new home loan under 2% that is the lowest in Savings.com.au's market research.

Greater Bank's 'Great Rate' home loan, fixed for one year, now has an advertised rate of 1.69% p.a. (3.49% p.a. comparison rate*). 

This is for owner occupier borrowers paying principal and interest (P&I), borrowing a minimum $150,000 with at least an 80% LVR (i.e. a 20% deposit).

Out of 35-plus lenders with a home loan under 2% that Savings.com.au has analysed, Greater Bank's advertised rate is now the lowest in the market.

The advertised rate compares favourably to other fixed and variable home loan products for owner occupiers as seen below, but make sure to check the comparison rate.

Lender

Variable
More details
UNLIMITED REDRAWSSPECIAL OFFER
  • 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%
UNLIMITED REDRAWSSPECIAL 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%
Variable
More details
100% FULL OFFSET ACCOUNTNO APPLICATION FEE OR ONGOING FEES
  • 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
Variable
More details
QLD/NSW/VIC/SA METRO & INNER REGIONAL AREAS
QLD/NSW/VIC/SA METRO & INNER REGIONAL AREAS

Variable Home Loan (Principal and Interest)

  • $5000 Cashback. T&Cs Apply.
Variable
More details
REFINANCE ONLY
  • A low-rate variable home loan from a 100% online lender. Backed by the Commonwealth Bank.
REFINANCE ONLY

Variable Rate Home Loan – Refinance Only

  • A low-rate variable home loan from a 100% online lender. Backed by the Commonwealth Bank.
Variable
More details
NO ONGOING FEESFREE REDRAW FACILITY
  • Rate Match Guarantee. Tic:Toc will match the rate on identical variable P&I home loans. T&C's Apply.
NO ONGOING FEESFREE REDRAW FACILITY

Live-in Variable Loan (Principal and Interest) (LVR < 90%)

  • Rate Match Guarantee. Tic:Toc will match the rate on identical variable P&I home loans. T&C's Apply.

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 be 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. *The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of June 29, 2022. View disclaimer.

The 1.69% per annum rate represents a 20 basis point reduction over Greater Bank's previously-lowest 'Great Rate' home loan.

Fees and extra charges notwithstanding, refinancing to a 1.69% interest rate from the industry-average 2.48% on a $400,000 home loan could save upwards of $57,000 over a 30-year term.

More broadly, Greater Bank cut quite a few other products' interest rates, with the 'Ultimate' home loan also reduced to 1.69% p.a (3.72% p.a. comparison rate*).

It too is a one year fixed loan for owner occupiers, but where it differs is that it includes an offset account.

Greater Bank also cut a variety of other 'Standard', 'Ultimate', and 'Great Rate' home loans for both investors and owner occupiers by between 10 and 20 basis points.

The Newcastle-based bank continues on the 'price war' from last month where UBank cut its three-year fixed 'UHomeLoan' down to 1.75% p.a (2.22% p.a. comparison rate*).


Photo by Chelsea Pridham on Unsplash

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author-avatar
Harrison is Savings.com.au's Assistant Editor. Prior to joining Savings in January 2020, he worked for some of Australia's largest comparison sites and media organisations. With a keen interest in the economy, housing policy, and personal finance, Harrison strives to deliver and edit news and guides that are engaging, thought-provoking, and simple to read.

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