Ratings
LVR options
LVR is an acronym for Loan-To-Value Ratio. The LVR is the amount you are borrowing against the property value being used as security, represented as a percentage.
An LVR of 95% is a high risk, whereas an LVR of 80% or less is considered safe by most lenders. The majority of lenders will require you to pay Lenders Mortgage Insurance (LMI) if you borrow over 80% LVR.
70%
LVR
Horizon Bank
95%
LVR
Horizon Bank
Repayment options
Interest only loans have traditionally been tailored to investors so they can reduce their mortgage repayments and maximise their tax benefits and overall return on investment (ROI). However, getting home loan with interest only (IO) has its place and some lenders are willing to consider your application if you can provide valid reasons.
Tips: To get approved for an interest only home loan you need to have a strong enough income to afford principal and interest (P&I) repayments once your interest only term expires. Sometimes extending your interest only period can be tough and getting approved for a P&I refinance is a lot easier.
Paying pricinpal and interest
Horizon Bank
Paying interest only
Horizon Bank
Q&As
Does Horizon Bank Home Sweet Standard comes with an offset account?
Yes, Home Sweet Standard comes with a 100% offset account.
A 100% offset account is an account linked to your home loan where you can park your savings and spare cash to reduce the interest you pay. Then, when interest is calculated on your home loan, the balance in your offset account is deducted from the loan amount owing, and interest is only charged on what remains.
What are the costs to apply for Horizon Bank Home Sweet Standard?
There is upfront costs of $1120 to apply for Home Sweet Standard.
- Application fee: $350
- Valuation fee: $330
- Legal fee: $440
Home Sweet Standard also comes with ongoing account fees of $150 per year.
- Annual fee: $150 per year
Are there costs when I exit or refinance to another lender?
Horizon Bank charge a discharge fee of $435, which covers the cost for removing the mortgage that has been registered on the title of your property.
IMPORTANT: Lenders change their policy from time to time so this information is current only accurate at the time that it was written. You should always check with Horizon Bank or a mortgage broker just to be sure. This information should be used as a guide only.