IMB Budget Home Loan - Owner Occupied - Variable

Ratings

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About this rate option

The IMB Budget Home Loan is a variable rate option for owner-occupiers with a 6.34% interest rate and a 6.23% comparison rate. This option uses interest-only repayments, keeping the balance unchanged during the interest-only period before reverting to principal-and-interest, and applies to borrowings up to 80% of the property value. The loan carries a discount off IMB's standard variable rate for the life of the loan, has no monthly fees, and offers free redraw via internet and mobile banking. It is available for new funds only.

This summary was generated from IMB’s published product data for this specific rate option. Always confirm current rates with the lender.

About Budget Home Loan

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.

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.

Fees & Costs

Generally speaking, variable home loans without offset accounts are often called basic or 'no-frills' loans, you get lower account-keeping fees and lower interest rate for your home loan. In some cases a basic home loan can actually be cost efficient than a 100% offset account.
IMB charge a discharge fee of $350, which covers the cost for removing the mortgage that has been registered on the title of your property.
There is upfront costs of $799 to apply for Budget Home Loan, with no ongoing account keeping fees.

Borrowing Limits

An LVR of 90% 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.

💡 Tip: 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.

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 IMB or a mortgage broker just to be sure. This information should be used as a guide only.

Other rate options for Budget Home Loan

Investment Variable · Interest Only 0 Years · 80% LVR

6.54%

Investment Variable · Interest Only 0 Years · 90% LVR

6.64%

Investment Variable · Interest Only 0 Years · 95% LVR

7.39%

Investment Variable · Principal & Interest 0 Years · 80% LVR

6.24%

Investment Variable · Principal & Interest 0 Years · 90% LVR

6.34%

Investment Variable · Principal & Interest 0 Years · 95% LVR

7.09%

Owner Occupied Variable · Interest Only 0 Years · 70% LVR

6.29%

Owner Occupied Variable · Interest Only 0 Years · 80% LVR

6.34%

Owner Occupied Variable · Interest Only 0 Years · 90% LVR

6.59%

Owner Occupied Variable · Principal & Interest 0 Years · 70% LVR

5.99%

Owner Occupied Variable · Principal & Interest 0 Years · 80% LVR

6.04%

Owner Occupied Variable · Principal & Interest 0 Years · 90% LVR

6.29%

Frequently Asked Questions

Are there costs when I exit or refinance to another lender?

IMB charge a discharge fee of $350, which covers the cost for removing the mortgage that has been registered on the title of your property.

Does IMB Budget Home Loan comes with an offset account?

No, Budget Home Loan does not come with an offset account. Generally speaking, variable home loans without offset accounts are often called basic or 'no-frills' loans, you get lower account-keeping fees and lower interest rate for your home loan. In some cases a basic home loan can actually be cost efficient than a 100% offset account.

What are the costs to apply for IMB Budget Home Loan?

There is upfront costs of $799 to apply for Budget Home Loan, with no ongoing account keeping fees. Application fee: $449
Document fee: $350

Fees

Application fee

Important Information

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 IMB or a mortgage broker just to be sure. This information should be used as a guide only.