No matter how much you love a property, you need to base your decision on more than gut feel. See if you can get hold of a suburb profile, which can help you get a clearer picture of the neighbourhood and estimated sale/rental prices.
First Time Buyers
Buying your first home is a big deal. As well as the excitement, there's a lot to research, and plenty of jargon to untangle before you can feel ready to make a move.
Do your Research
- Price – make sure you’ve seen enough potential properties to know what works for you, and what doesn’t. Check out how much similar properties in the area sell for – in good times and bad.
- Location – You should also check out the things you need today, like public transport and local facilities, or maybe tomorrow, like access to schools and hospitals. You should also try and find out if there are any development applications nearby that could impact the property in the future.
- Extra Costs – If you’re buying an apartment, be sure to get hold of the strata report to discover any upcoming maintenance projects that could bump your strata costs. If you’re buying a house, an up to date building and pest inspection report is essential
How can we help?
At Homestar our team can guide you through the home loan journey and help find the loan that will suit your financial needs.
Understanding Home Loans
How much can I borrow?
Discover the possibilities with our mortgage calculator. Get an estimate of how much you could afford to borrow based on your lifestyle.
What can I afford?
Calculate your borrowing power at an early stage to help narrow down your property search to things you can afford. Our Borrowing Power calculator can help you see the maximum amount you’re eligible to borrow.
How much deposit do I need?
A good place to start is to get an idea of how much you might be able to borrow. Then you’ll not only be able to take a look at what’s on the market in your price range, you’ll also have some indication of what size deposit you’ll need. Generally, most lenders like a 20% deposit of the purchase price of the property. If you have less than 20% deposit but you’re still keen to purchase, there are options available that could help you buy a property sooner.
Great Rates. Great Service. Have it all with Homestar
Our Products
Explore our range of great rates
Star Gold
Home Loan with all the features
1.79%
Interest rate p.a 1a
(Principal and Interest)"
1.84%
Comparison rate p.a 1a,2
- Up to 60% LVR
- Offset Account
- Visa Debit Card Provided with ATM Access
- Unrestricted Extra Repayments
- Free Online Redraws
- Pay Anyone & BPAY® Available
- Multiple Loan Splits Possible
- Weekly, Fortnightly or Monthly Repayments
- Schedule Recurring Payments or Transfers
Star Essentials
No-Frills Owner Occupied Loan
2.04%
Interest rate p.a 1a
(Principal and Interest)"
2.07%
Comparison rate p.a 1a,2
- Up to 80% LVR
- Unrestricted Extra Repayments
- Free Online Redraws
- Pay Anyone & BPAY® Available
- Multiple Loan Splits Possible
- Weekly, Fortnightly or Monthly Repayments
- Schedule Recurring Payments or Transfers
Star Classic
Full Features Owner Occupied
2.14%
Interest rate p.a 1a
(Principal and Interest)"
2.17%
Comparison rate p.a 1a,2
- Up to 80% LVR
- Offset Account
- Visa Debit Card Provided with ATM Access
- Unrestricted Extra Repayments
- Free Online Redraws
- Pay Anyone & BPAY® Available
- Multiple Loan Splits Possible
- Weekly, Fortnightly or Monthly Repayments
- Schedule Recurring Payments or Transfers
Star Classic Fixed
2 Years Fixed Rate
1.79%
Interest rate p.a 1a
(Principal and Interest)"
2.16%
Comparison rate p.a 1a,2
- Up to 80% LVR
- Extra Repayments up to 20k p.a.
- Free Online Redraws
- Pay Anyone & BPAY® Available
- Multiple Loan Splits Possible
- Weekly, Fortnightly or Monthly Repayments
- Schedule Recurring Payments or Transfers
Star Classic
Variable Principal and Interest
2.44%
Interest rate p.a 1b
(Principal and Interest)"
2.47%
Comparison rate p.a 1b,2
- Up to 80% LVR
- Offset Account
- Visa Debit Card Provided with ATM Access
- Unrestricted Extra Repayments
- Free Online Redraws
- Pay Anyone & BPAY® Available
- Multiple Loan Splits Possible
- Weekly, Fortnightly or Monthly Repayments
- Schedule Recurring Payments or Transfers
Star Classic
Variable Interest Only
2.74%
Interest rate p.a 1b
(Principal and Interest)"
2.77%
Comparison rate p.a 1b,2
- Up to 80% LVR
- Offset Account
- Visa Debit Card Provided with ATM Access
- Unrestricted Extra Repayments
- Free Online Redraws
- Pay Anyone & BPAY® Available
- Multiple Loan Splits Possible
- Monthly Repayments Only
- Schedule Recurring Payments or Transfers
Star Classic Fixed
2 Years Fixed Rate
1.99%
Interest rate p.a 1b
(Principal and Interest)"
2.44%
Comparison rate p.a 1b,2
- Up to 80% LVR
- Extra Repayments up to 20k p.a.
- Free Online Redraws
- Pay Anyone & BPAY® Available
- Multiple Loan Splits Possible
- Weekly, Fortnightly or Monthly Repayments
- Schedule Recurring Payments or Transfers
First Home Owner Grant
The First Home Owner Grant (FHOG) is a national scheme funded by the states and territories introduced to offset the effect of GST for first home buyers on buying their first home. Each state and territory differ in amount and have their own criteria for eligibility
How much is the First Home Owner Grant?
Each state and Territory have different amounts for the First Home Owner Grant, click one of the below links for more info on your State or Territory
Australian Capital Territory | New South Wales | Queensland | Victoria | South Australia | Western Australia | Northern Territory
Frequently Asked Questions
What is an LVR
A Loan-to-Value Ratio (LVR) is the amount you’re borrowing, shown as a percentage of the value of the property you’re buying. It will be reduced the more deposit you have. Some lenders use LVR to assess how much of a risk it is to lend to you.
What is LMI
Lenders Mortgage Insurance (LMI) is insurance that protects the lender in the event the borrower defaults and the security property is sold and the funds from the proceeds of the sale are not enough to discharge the loan. The LMI then pays the Lender the shortfall. The rights to recover the shortfall from all of the parties on the loan (borrowers) are then transferred across to the LMI who will pursue the shortfall. The cost of LMI insurance is a one off payment at the start of the loan. It is usually added to the loan amount and should not be confused with Building Insurance or Income Protection Insurance.
What is Principal and Interest
Principal and Interest loan repayments are calculated so that you pay back all of the money you borrowed (principal) and all of the interest that will be charged over the term of your loan. When the term ends (usually 30 years), you will end up with a nil balance on your loan.
What is Interest Only
An Interest Only loan allows you to pay only the interest on the loan, rather than paying back both principal and interest. At the end of the interest only period (usually five years), you will still owe the full amount you originally borrowed if you haven’t made voluntary repayments. The advantage with the interest only feature is that the loan repayments are lower during this period.
What is Variable Rate
A variable rate home loan has an interest rate that can change over time based on market movements and the official cash rate set by the RBA. The change in interest rate will have a corresponding change in home loan repayment.
What is Fixed Rate
A fixed rate home loan is a home loan with an interest rate that does not change for a set period of time. During the fixed period the mortgage repayment will remain the same.
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Enjoy the stress free, hassle free process that Homestar has to offer.
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1 Rates shown apply to new eligible Owner Occupieda or Investment loansb only, loan limits may apply depending on your product (refer to the product page) and at least one applicant is on PAYG employment. After a fixed rate term, a variable rate will apply. Rates are subject to change without notice. Existing borrowers may have different interest rates which are dependent on the rate offered to the borrower at the date when a home loan settled and any reductions or increases the lender decided to make on the existing loan over time. Accordingly, there is not one standard variable rate that applies to all Homestar home loans and existing customers can confirm their current rate(s) by logging in to internet banking or by contacting customer service. Terms, conditions, and eligibility criteria apply.
2 Comparison rates are based on a basic Homestar loan, on a $150,000 loan amount over 25 years. WARNING: This comparison rate is true only for the examples given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate.
3 Third party cost(s) incurred by service provider(s) are payable and may vary or increase depending on the service provider, nature of the service and request. Any additional cost(s) are passed on directly to the applicants(s). If there is a variation or an increase, a separate quote will be provided..
4 Disbursements payable.
Other fees and charges may apply.
DISCLAIMER: Terms, conditions and eligibility criteria apply to all our loan products and features. Fees, charges and disbursements are payable. Final approval is subject to credit assessment. Information valid as at 25th May 2021 which is subject to change without notice. Third party cost(s) incurred by service provider(s) are payable and may vary or increase depending on the service provider, nature of the service and request. Any additional cost(s) are passed on directly to the applicants(s). If there is a variation or an increase, a separate quote will be provided. Please consider if the product is appropriate for your individual circumstances. If you need assistance or have any questions about a product or feature and its suitability, please contact our Loan Specialists.
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