Northern Inland CU Dream Home Loan - First Home Buyer - Fixed

Ratings

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About this rate option

The Northern Inland CU Dream Home Loan offers first home buyers a 3-year fixed rate of 5.99% (comparison rate 6.61%) with principal-and-interest repayments that reduce the loan balance over time. You can borrow up to 90% of the property value, though a deposit under 20% typically means Lenders Mortgage Insurance applies. After the fixed period, the rate generally reverts to the lender's variable rate, which should be confirmed with the lender. The package includes no establishment fee and a 100% offset account.

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

About Dream 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.

Unlike in the US, there are no lenders in Australia that offer 20 or 30 year fixed rates for standard residential home loans. Northern Inland CU Dream Home Loan offers fixed loan terms between 1 - 5 years.

Fees & Costs

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.
Northern Inland CU charge a discharge fee of $200, which covers the cost for removing the mortgage that has been registered on the title of your property.
Northern Inland CU charge a discharge fee of $300, which covers the cost for removing the mortgage that has been registered on the title of your property.
Northern Inland CU may also charge you a fixed-rate break cost if you refinance out of Dream Home Loan or sell your house before the fixed term ends. It can cost thousands of dollars, and the advantages of breaking the fixed loan won't always outweigh the disadvantages.
Selling the property or refinance during the fixed rate term can trigger hefty fees for breaking a fixed rate contract, and fixed rate loans tend to have restrictions on making extra repayments. Before you lock your rate in, you need to be sure that a fixed rate home loan is suitable for your situation.

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.
Northern Inland CU Dream Home Loan does not offer tier pricing for lower LVR. With Dream Home Loan, you can borrow upto $90% LVR.

Eligibility

Interest only repayment option is not available with Northern Inland CU Dream Home Loan for buying next home.
Interest only repayment option is not available with Northern Inland CU Dream Home Loan for construction loan.
Interest only repayment option is not available with Northern Inland CU Dream Home Loan for first home buyer.
Interest only repayment option is not available with Northern Inland CU Dream Home Loan for investment loan.
Interest only repayment option is not available with Northern Inland CU Dream Home Loan for refinance.

💡 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 Northern Inland CU or a mortgage broker just to be sure. This information should be used as a guide only.

Other rate options for Dream Home Loan

Refinance Fixed · Principal & Interest 1 Year · 90% LVR

6.39%

Refinance Fixed · Principal & Interest 2 Years · 90% LVR

6.39%

Refinance Fixed · Principal & Interest 3 Years · 90% LVR

5.99%

Refinance Fixed · Principal & Interest 4 Years · 90% LVR

6.29%

Refinance Fixed · Principal & Interest 5 Years · 90% LVR

6.29%

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

5.99%

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

6.44%

Investment Variable · Principal & Interest 0 Years · Any LVR

6.44%

Construction Fixed · Principal & Interest 3 Years · 90% LVR

5.99%

Owner Occupied Fixed · Principal & Interest 1 Year · 90% LVR

6.39%

Owner Occupied Fixed · Principal & Interest 2 Years · 90% LVR

6.39%

Owner Occupied Fixed · Principal & Interest 3 Years · 90% LVR

5.99%

Frequently Asked Questions

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

Northern Inland CU charge a discharge fee of $200, which covers the cost for removing the mortgage that has been registered on the title of your property.

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

Northern Inland CU charge a discharge fee of $200, which covers the cost for removing the mortgage that has been registered on the title of your property. Northern Inland CU may also charge you a fixed-rate break cost if you refinance out of Dream Home Loan or sell your house before the fixed term ends. It can cost thousands of dollars, and the advantages of breaking the fixed loan won't always outweigh the disadvantages.

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

Northern Inland CU charge a discharge fee of $300, which covers the cost for removing the mortgage that has been registered on the title of your property. Northern Inland CU may also charge you a fixed-rate break cost if you refinance out of Dream Home Loan or sell your house before the fixed term ends. It can cost thousands of dollars, and the advantages of breaking the fixed loan won't always outweigh the disadvantages.

Does Northern Inland CU Dream Home Loan comes with an offset account?

Yes, Dream Home Loan 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 Northern Inland CU Dream Home Loan?

There is upfront costs of $500 to apply for Dream Home Loan. Document fee: $500 Dream Home Loan also comes with ongoing account fees of $350 per year. Annual fee: $350 per year

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