Key Features of the Best Home Loans

Some loans are better than others, but the difference isn’t always obvious. Learn what makes a good home loan – from competitive rates to mortgage offset accounts, these features make all the difference.

Key Features of the Best Home Loans

Buying a home is probably the biggest purchase you’ll ever make. It’s important to consider every aspect of your home loan and not leave anything to chance. Here are some key features that can help you choose the best home loan.

Competitive Mortgage Rate

If a home loan provider gives you a fixed rate, you know precisely what your monthly repayments will be. Variable rates can go up and down, increasing and reducing your repayments. Mortgage rates can be as low as 3.5% and easily climb past 4%. Using a mortgage calculator can help you discover what an impact different rates can have. Even a 0.05% difference can genuinely increase your monthly repayments. On a $550,000 mortgage, it can mean a difference of $80 per month (assuming the interest rate and minimum monthly repayments remain the same and there are no ongoing fees). Everyone wants low interest rates on their mortgages. While the interest rate is often the key factor when choosing a mortgage, it’s not the only one. Need a home loan?UNO. The new way to get a better deal. Get Started

No Fee for Extra Repayments

If you make extra payments, you can pay off your mortgage more quickly. Unfortunately, many lenders punish mortgage holders for extra repayments by charging fees. Let’s assume you have a $350,000 home loan for 30 years. If, after 5 years, you increase your monthly repayments by $250/month, you can save over $40,000 in interest over the life of the loan (again, assuming the interest rate and minimum monthly repayments remain the same and there are no ongoing fees). However, extra payment fees can discourage people from making quicker payments. If you plan to make extra payments, a no-fee mortgage can help you repay the loan faster.

Redraw Facility

Some home loan providers will allow you to withdraw your extra repayments. For some home owners, it can be a valuable financial safety measure. Let’s say you’ve been making extra repayments on various occasions, but you’re now short on cash. With a redraw facility, you can withdraw the extra repayments you’ve made. Be warned, however, that the home loan provider may adjust the interest, so you may be paying more on future payments. To avoid this, read all the small print on your mortgage agreement documents or consult a licensed professional to make sure you know the terms and conditions of your mortgage. How much can I borrow?Use UNO's calculator to estimate your borrowing capacity. Calculate Now

Loan Portability

Some lenders allow you to bring your mortgage with you when you relocate to a new property. This can mean considerable cost-savings when you sell one property and buy another. You are less likely to incur fees and don’t have the headache of applying for a new mortgage. Paying off one mortgage early and starting a new one for a new property will likely cost you money. But some home loan providers don’t mind if you switch a loan from one property to another. Look into your loan portability if you think there’s a chance you may relocate within the term of the mortgage.

Mortgage Offset Accounts

Some home loan providers offer mortgage offset account options. This can mean considerable savings for the duration of your mortgage. The balance in your offset mortgage savings account is set against the loan principal. The home loan provider then recalculates and reduces your interest payments accordingly. For many new homeowners, this can be a good way to save money. The information in this article is general in nature. Please seek advice from a licensed professional when making financial decisions. Book a call in with UNO

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Mike Vincent
April 10, 2024
Andrew is the best broker I have worked with and one of the few people who understands the investment journey from both a personal and professional standpoint. Andrew is an asset to anyone from a first home buyer to a seasoned investor.
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Yu Su
April 9, 2024
Amy was very help and quick respond when I have questions. Really recommended.
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John Cahill
March 7, 2024
Scott Wilkinson was my broker last year when I sought finance for a new property investment and refinance for my property port folio. He was an absolute delight to work with. He was always professional, on time and always available to talk at a moment's notice to discuss my credit options and give well considered advice; usually this was very much after-hours due to my work commitments during the day. He was always happy to talk. I had not used a mortgage broker in a long time opting to do the re-financing myself. This was primarily due to disappointing experiences I'd had with mortgage brokers in the past. However with the increasing complex nature of dealing with credit providers, I could see that I needed a good advocate to act on my behalf for this particular refinance. In all honesty I did not hold much hope that in the current credit environment I would be able to secure the finance I required for the new property investment I was wishing to secure. Scott found a way however and was able to secure the finance along with the refinance of my portfolio. I have since referred friends to Scott and I know they have been very happy with his work. He is ideal for property investors who have busy day-jobs and need someone who understands property investment strategy and is able to tailor credit advice and options to their needs. Scott provides this advice and information in a way that is clear and concise. He kept me up to date continually during the application process. He made what could have been a very stressful and frustrating process easy and straightforward. I could not recommend Scott and the team at UNO Home Loans more highly. They are all a delight.
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Sally Mackenzie
February 19, 2024
We chose Uno Home Loans from their impressive web site knowing we were going to find it hard, on many fronts, to qualify for a home loan. We were incredibly fortunate to be assigned Mike Parsons as right from the get-go, despite the complexities, he hit the ground running for us. He was incredibly knowledgeable, with years of experience but what was immediately apparent and impressive was that he was totally invested in getting us over the line, doing absolutely everything possible, including working around the clock. Despite it being a relatively small loan in the order of things, Mike never missed a beat, getting docs ready, following up and answering every request from the proposed funder immediately. He kept us informed on progress the minute anything happened, and again if anything needed to be done, he was right on it. In short, we highly recommend Uno, and Mike, knowing what a remarkable job he did, over many weeks, to get us our loan. He got us a great deal, with far better rates than we expected, so we couldn't be happier. In fact, without doubt, you'd be hard pressed to find a more personable, sharp, hard working, dedicated professional who clearly prides himself on getting his customers standout results.
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Rod
February 13, 2024
Scott and his team were just A-mazing. We felt supported through the whole process with the greatest quality and care. Every question answered right in time, or even before we asked. The process was smooth and we got the best outcomes we could have wished for.
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Angela Biddle
February 6, 2024
Our mortgage recently came up for renewal, and with interest rates skyrocketing we were looking for ways to minimise the impact. Michael and his team were proactive and attentive. Michael spent time with us to understand our circumstances. He found mortgage options that worked with our current financial situation and longer investment plans. He presented clear options, providing guidance where needed. He and his team were helpful and responsive - streamlining the process and keeping us updated through the negotiations. In the end, Uno did the heavy lifting and secured a significantly better rate than our current bank offered, all with friendly, personal service. We would highly recommend UNO Home Loans.
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Fotis Bikas
January 15, 2024
I cannot help but congratulate Scott Wilkinson of UNO Home Loans for being an absolute credit to both his company and the entire loans industry. Scott is a truly rare gem of a broker in that he will not only go the extra mile to achieve for each customer the very best deal, but his knowledge of all and sundry within the industry is unsurpassed (you will see what I mean if you speak to him). Additionally, Scott has a clear passion for imparting his wealth of information with each customer, whereas the conversation with most other brokers would simply be over if they could not get you the best deal. For me, Scott Wilkinson of UNO Home Loans stands head and shoulders above the competition and I feel privileged to benefit both from his expertise and professionalism whenever it is time for a refinance or new loan.
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Tomoharu Matsui
January 11, 2024
Michael Parsons helped me a lot when it's difficult to establish my capabilities in loan.
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Gillian Kearon
January 9, 2024
I highly recommend Mike Parsons as a mortgage broker. I couldn't fault the service provided by UNO. Thanks Mike!
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Taner T
December 20, 2023
Thank you Eren Tan for the amazing service and support. Our Loan was a little tricky and complex for other lenders but Eren managed to get it over the line in record time. His professionalism and dedication to our needs was exceptional. If you need a Loan no matter how complex your situation, make sure you contact Eren at UNO Home Loans.
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Karaipu Brown
December 20, 2023
Buying & selling a house at the same time is very stressful but Scott Wilkinson from UNO home loans made sure we knew what was happening & took most of the stress away. He always kept us up to date and if we had a concern or wanted clarification on something we were able to call him, if he didn’t know the answer straight away he will find out and contact us back.. now we are enjoying our new house and turning it into a home :)
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Chris Anderson
December 18, 2023
Just completed my first loan with UNO which was so much easier than with other other brokers I have used in the past. Our broker MIKE PARSONS always had time for me and broke things down for me in the simplest of terms and was very patient with my silly questions and my constant changing of plans. I wish I had used them in the past as I wouldn't be in the situation I'm in now. Can't recommend them highly enough. Thanks UNO and Thanks MIKE 😊
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