Obtaining home loans Australia mortgage is a lot easier than in other countries. The mortgage regulations are nationwide, rather than being regulated by individual states, as they are in the United States. Mortgage brokers in Australia are bound by regulations that are stricter and allow the broker a better chance at finding a mortgage with great rates and terms.

Broker services are available at no cost for most residential mortgages. Mortgage brokers work with more than 40 lenders, including private and public lending institutions, making mortgage money readily available. A banking home loan Australia package is known as a professional package and often includes a discount. When paying off your loan, payments are typically deducted from a bank account on an interval agreed upon by lender and borrower. Pay back intervals can be weekly, monthly or by the fortnight. The customer is allowed additional payments when paying back a loan with a variable interest rate, but repayment restrictions apply to fixed rate loans. The customer is allowed to pay back the interest up to 5 years in advance on either type of loan.

Variable interest rate loans are subject to redraw, but redraw is not allowed on fixed rate loans. Offset loans are available with either type of loans including 100% home loan accounts. Offset mortgages are sometimes are referred to flexible mortgages or current account mortgages and sometimes as an Australian mortgage, as these type of loans originated in Australia.

More than 80% of home loans in Australia are variable, which is similar to adjustable rates in the United States. Fixed rates are available for up to 5 years, but this varies from lender to lender and will revert to a fixed rate at the end of the variable term. The interest rate for a mortgage in Australia is about 7%, but flucuates between 5 and 9.5%.

Many Australian banks will not extend a loan to non-residents or temporary residents, no matter of their financial or asset position. Borrowers can apply for up to 80% of the value of the property and is considered a low risk loan. The value of your loan depends on several variables including proof of income, savings, and visa status and credit history.