A fixed interest rate is where the interest rate is fixed for a set period of time, so repayments remain constant for that period.
A variable interest rate changes from time to time based on underlying rules, regulations and the cash rate determined by the Reserve Bank.
Principal & Interest
The repayments you make will require you to pay off a portion of the principal as well as paying interest charges. This enables your loan to be paid off during its loan term.
During the interest only period, you are only required (as a minimum) to pay the interest. When the interest only period ends, your repayments will increase to ensure the loan is paid off during the remaining loan term.
Home Loan Packages
Having multiple accounts with different banks can get messy and complicated when making repayments. A home loan package allows you to combine your eligible home loan, transaction account and other products into a single package to make life simper for you.
Mobile Lenders are your own dedicated home loan specialists. They provide one point of contact throughout, keeping you up to date every step of the way. They are available 7 days a week and will meet at a time & place that suits you. In some cases, our Mobile Lenders can even approve your new home loan on the spot.
Lenders Mortgage Insurance (LMI)
If you are borrowing more than 80% of the banks determined property value, you will be required to pay LMI.
LMI protects Suncorp Bank against loss in the event of a forced sale of a mortgage property. It does not insure you but may make it possible for you to buy a home with a smaller deposit. You will still be responsible for all amounts owing in relation to your loan.
Loan Value Ratio (LVR)
Your LVR measures the amount of the loan, compared to the banks determined value of the property. Say you want to buy a house for $500,000 and you have saved up $50,000 as a deposit. Your initial LVR would be 90%: (450,000 / 500,000 = 90%).