Westpac Home Loans: Product information for 2019

Westpac have been helping Australians in the moments that matter for over 200 years¹. Westpac home loans are part of the Westpac Service Delivery promise² to consistently deliver great customer service.

In the spirit of being there to help and giving everyone a fair go with their banking, Westpac branch staff are incentivised on how well customers rate their service², not what they sell.

When you’re looking for a home loan, you usually want answers fast so you can make decisions or act to secure the property you want. Westpac is committed to simplifying their processes and your banking², helping them to make quicker decisions.

Types of Westpac home loans to choose from

Whether you want the flexibility of a variable rate home loan, or the certainty of a fixed rate, you can find a Westpac home loan to suit you. You can compare:

• Fixed rate loans: so you know what your repayments will be
• Variable rate loans: giving you flexibility should interest rates changed, which can occur based on a variety of factors
• Split loans: that give you the best of both worlds and balance out the risk of interest rate changes
• Line of credit loans: so you can use the equity you have in your existing home to buy another property, invest (or take that holiday you’ve been dreaming of). Line of credit home loans mean you only pay interest on the money you use, but you get the flexibility of having the funds on hand if you want to act fast on a purchase

Rentvesting choices with Westpac

Westpac home loans offer choices to suit rentvesters³. Rentvesting is buying an affordable rental investment property as your first property to get on the ladder, and renting where you want to live. It’s a good idea to get financial advice to make sure you’re making the most of your investment and get any tax benefits you might be eligible for.

Deposits for your Westpac home loan

Westpac home loan minimum deposits start at 5% of the property purchase price⁴. If you have less than 20% of the purchase price as a deposit, you may have to pay lenders mortgage insurance (LMI)⁵.

Depending on your Westpac home loan, you may be able to add the LMI into your loan amount and spread it out over your loan repayments⁵, instead of adding it as an upfront cost, which means you may have more cash on hand. If you don’t have a deposit, Westpac offers a Parental Guarantee option.

The Westpac Parental Guarantee

Westpac offers a Parental Guarantee option on some home loans to help you get into the property market sooner⁶. Your parents can use the equity in their home (the value of their property less what they have paid off – with a limit of 50% of the guarantor’s security), to guarantee part of your loan⁶ – they don’t need to give you or the bank cash.

Your parents can nominate how much they’re comfortable guaranteeing your loan, and you may be able to reduce or avoid paying lenders mortgage insurance (LMI)⁵ (which can be tens of thousands of dollars depending on the value of the loan and your deposit amount).

Get an edge with Approval in Principle

Also known as conditional approval⁷, when you’ve decided on the Westpac home loan that fits you, you can use their streamlined application process to secure Approval in Principle⁸. However, it’s important to note that conditional approval is subject to further checks by Westpac before being unconditionally approved.

Ready to make a switch?

When was the last time you checked if you were getting the best deal on your home loan? Refinancing⁹ (changing your loan with your existing lender, or moving to a new lender) can give you the chance to secure a lower interest rate, access new home loan features, or get rid of ones you don’t need, or to access equity in your home.

No matter who your existing loan is with, once you compare your Westpac home loan choices, if your loan qualifies, a Westpac Home Loan Expert will take charge of your loan process with their Priority Refinance process¹⁰.

iSelect is not currently offering a home loan comparison

Sources:
1. https://info.westpac.com.au/200/?fid=200yrs:1704:tile1:about_200
2. http://info.westpac.com.au/200/service-promise/
3. https://www.westpac.com.au/personal-banking/home-loans/first-time-investor/
4. https://www.westpac.com.au/personal-banking/home-loans/first-home/how-much-i-need-upfront/
5. https://www.westpac.com.au/personal-banking/home-loans/lenders-mortgage-insurance/
6. https://www.westpac.com.au/personal-banking/home-loans/first-home/parental-guarantee/
7. https://www.westpac.com.au/personal-banking/home-loans/key-steps/know-your-budget/
8. https://www.westpac.com.au/personal-banking/home-loans/first-home/preparing-to-buy/approval-in-principle/?searchsource=search-results&kw=approval%20in%20principle&cat=other&rank=3&result-type=natural
9. https://www.westpac.com.au/personal-banking/home-loans/switch-loan/refinancing-process1/
10. https://www.westpac.com.au/personal-banking/home-loans/switch-loan/