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Owner Occupied Home Loans

Our owner occupied home loans is ideal for those looking to get an affordable home loan with all the benefits and easy access to managing your money.

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At Homestar Finance, we want our customers to find the best home loan that suits their needs and lifestyle. Whether it’s your first home, you’re looking to refinance or finding an investment property, Homestar Finance’s award-winning home loan rates are here to help you achieve our Aussie property dream.

Your owner occupied home loan options

Explore our market-leading range of mortgage options, rates and features: 

Star Gold

Variable principal & interest

5.98%

Interest rate p.a.1a

5.98%

Comparison rate p.a.1a,2


  • Zero fees*
  • Up to 70% LVR
  • Offset account
  • Weekly, fortnightly or monthly repayments
  • Visa Debit card provided with ATM access
  • Unrestricted extra repayments
  • Free online redraws
  • Multiple loan splits possible
  • Pay anyone, BPAY® and digital wallet payments
  • Schedule recurring payments or transfers
Find out more

Star Choice

Variable principal & interest

6.75%

Interest rate p.a.1a

6.42%

Comparison rate p.a.1a,2


  • Revert rate features
  • Up to 90% LVR
  • Offset account
  • Weekly, fortnightly or monthly repayments
  • Visa Debit card with ATM access
  • Unrestricted extra repayments
  • Free online redraws
  • Multiple loan splits
  • Pay Anyone, BPAY® and digital wallet payments
  • Schedule recurring payments or transfers
  • Lender Paid LMI
Find out more

Star Classic

Variable principal & interest

6.35%

Interest rate p.a.1a

6.38%

Comparison rate p.a.1a,2


  • Up to 80% LVR
  • Offset account
  • Weekly, fortnightly or monthly repayments
  • Visa Debit card with ATM access
  • Unrestricted extra repayments
  • Free online redraws
  • Multiple loan splits
  • Pay anyone, BPAY® and digital wallet payments
  • Schedule recurring payments or transfers
Find out more

Star Classic Fixed

Fixed principal & interest

6.95%

Interest rate p.a.1a

6.79%

Comparison rate p.a.1a,2


  • Up to 80% LVR
  • Weekly, fortnightly or monthly repayments
  • Extra repayments up to 20k p.a.
  • Free online redraws
  • Multiple loan splits
  • Pay anyone, BPAY® and digital wallet payments
  • Schedule recurring payments or transfers
Find out more

Star Essentials

Variable principal & interest

6.25%

Interest rate p.a.1a

6.28%

Comparison rate p.a.1a,2


  • Up to 80% LVR
  • Weekly, fortnightly or monthly repayments
  • Unrestricted extra repayments
  • Free online redraws
  • Multiple loan splits
  • Pay anyone, BPAY®  and digital wallet access
  • Schedule recurring payments or transfers
Find out more

Owner occupied rates + fees

Fees Star Gold Owner Occupied All Other Products
(Variable Rate)
Star Classic Fixed
(
1 - 3 years)
Star Classic
Owner Occupied
Construction
Principal & Interest Principal & Interest Principal & Interest
Application Fee $0 $0 $0 Refer to the fees located on the Construction page
Annual / Monthly Fee $0 $0 $0
Valuation Fee (per property up to $1m) $0 $0 $0
Legal Preparation Fee $0 $0 $0
Fixed Rate Lock
in Fee (optional)
$0 $0 $4953,4
Settlement Fees $0 $3953,4 $3953,4
PEXA Fee $66.333,4 $66.333,4 $66.333,4
Government Charges At Cost3,4 At Cost3,4 At Cost3,4
Disbursements (including title search fees) $1503,4 $1503,4 $1503,4
Discharge Fee $5955 $5955 $5955

Great rates. Great service. Where customers feel at home.

We're an award winning lender

Homestar Finance has been providing Australians with competitive and customer-focused home loan solutions since 2004.

Our dedicated team of loan specialists are there to support you through your home loan journey, and take the time to get to know you so we can offer our customers a personalised service – making it easy to find a home loan solution that suits you.

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Mozo Experts Choice Award 2023

Investor Home Loan

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Canstar Outstanding Value Home Loan Awards 2022

Home Lender

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Canstar Outstanding Value Home Loan Awards 2021

Variable Home Lender

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Canstar Outstanding Value Home Loan Awards 2022

Variable Home Lender

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Canstar Outstanding Value Home Loan Awards 2021

Investment Variable Home Lender

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Canstar Outstanding Value Home Loan Awards 2022

Investment Variable Home Lender

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What is an owner occupier home loan?

An owner-occupied home loan is perfect for people who are wanting to live in their own property.

Owner-Occupied home loans are suitable for purchases, refinances and construction.

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What are the features of an owner occupied home loan?

It is possible to change from owner-occupied property to an investment property, and if this occurs then the features will dissolve and new conditions will be implemented for the changing nature of the property. There are many features of an owner-occupied home loan, including the following:

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Redraw facility

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Offset account*

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Fixed interest rates

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Low ongoing fees

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No capital gains tax

* An offset account could be available, speak to your financial consultant regarding eligibility

How do owner occupier home loans work?

When applying for a home loan, a home loan specialist will assess your financial situation, employment status, and other impacting factors for your application.

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Talk to our dedicated team of home loan specialists to understand all the features on offer with each home loan, we will make sure you are not paying for features you do not need by offering a solution that meets your needs.

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When you take out a home loan and your application to borrow is accepted, you must pay back the principal of the loan plus interest.
The rate can be fixed or variable, sometimes with the option to have both. Some home loan specialists or providers offer interest-only loans too.

woman handing her a card

Deposits are required when taking out a home loan, normally around the 20% mark. If your loan is borrowing more than 70% of the property value, a lender’s mortgage insurance (LMI) might be required too. This is to ensure you will be able to repay your home loan.

What are the benefits of an owner occupied home loan?

The biggest benefit of an owner-occupied home loan is the decreased risk, compared to investment properties and mortgages for second home loans.
Owner-occupied home loans allow the borrower to live in the home for 12 months, which is usually of benefit to the borrower.

Owner-occupied home loans also carry lower interest rates, fewer fees, and different penalties than obtaining a traditional mortgage for a second home loan. If after 12 months of occupation the owner decides to sell the property, they can have a lower capital gains tax compared to if it were financed as an investment property.

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Decreased risk

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Lower interest rates

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Fewer fees

What are the requirements for an owner occupied loan?

When obtaining an owner-occupied home loan, you are required to live in the property for usually 12 months. This requirement is fundamental to the loan, and if not complied with, you could be dealing with fraudulent misconduct.

The Australian Tax Office (ATO) has the following criteria for main residence property:
  • Living at the property with your family
  • Your belongings are at the property
  • You receive mail to the property
  • You are registered on the electoral roll at the property’s address
  • Utilities are connected to the property

Owner occupied home loan rates and fees

Interest rates

The interest rates for owner-occupied home loans are traditionally lower than investment home loans. Because borrowers for owner-occupied home loans generally have fewer risk factors compared to high-investors, the rates reflect this.

Fees

There are generally fees associated with owner-occupied home loans, including the following.

However, Homestar offers home loan products with limited and some with no fees.

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What are lenders looking for?

Lenders are generally looking for people with a stable income to be able to repay their loan as per their loan agreement. Lenders have a duty of care to ensure borrowers meet their credit criteria.

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a couple looking excited and happy while looking at their phone

Ready to get started? It's simple

1

Give us a call on 1300 462 209

or fill in the contact us form or chat online
2

Talk to our sales assessment team

they will guide you step-by-step with all the information that's needed
3

Meet your dedicated loan specialist

discuss your needs and select a home loan that's right for you
4

Prequalify with ease

receive your offer, and enjoy shopping for a property with confidence

Get pre-approved with ease

Your home loan pre-approval application can be done completely online via our form with no paperwork involved! The form takes only 5 minutes to complete, and you can save your progress and finish at any time.

Get started

Let’s get to know each other!

Talk to us about your home loan needs and we will package up a home loan with the features you want and tailor the rate to your circumstance.

    Home loan enquiry

    Get started. Want to apply or have a chat? Complete the form below, and we’ll contact you within 24 hours.








    Understanding more about owner occupier home loans

    What are the differences between owner occupier and investor loans?

    The biggest difference between owner-occupied and investor loans is the nature and intention of the property.
    Owner-occupied loans are for people who are planning on living in the property as residents.
    Investor loans are for people who want to use the property as a rental and not a family home.

    What if I want to move out of my home and rent it out?

    You can do this after the allocated period has lapsed, generally 12 months. If you want to rent your home out before the allocated period you will likely be subject to fees and costs associated with investment properties rather than residential properties.

    Can I get another mortgage?

    Generally speaking, yes, you can get another mortgage.
    However there may be restrictions surrounding the second mortgage, and you will need to consult with your financial adviser. You will likely need to meet conditions specific to your current financial situation, such as having repaid a certain amount of your current mortgage or having other financial assets available as borrowing power.

    How do you save money on an owner occupied home loan?

    You can save money on an owner-occupied home loan because there are fewer costs involved. For example, the fees and interest rates are lower than an investment property home loan. As well as these lower rates, there are added fiscal benefits of obtaining owner-occupied home loans such as tax deductions and government grants.
    Overall, the combination of these benefits allows for more favourable conditions to save money, as less money is being invested in the property. 

    Explore our library of articles related to your property and investment journey

    1 Rates shown apply to new eligible Owner Occupied loans only, loan limits may apply depending on your product (refer to the product page) and at least one applicant is on PAYG employment. For fixed rate loans, after the 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 may also be payable.

    5 Discharge fee is waived if loan reaches full term as per the loan agreement. 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 15th November 2023 which is subject to change without notice. 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.

    Registered to BPAY Pty Ltd ABN 69 079 137 518