Home loans 101

Borrowing power (or borrowing capacity) is the amount you can borrow from a lender or bank. It is typically equivalent to your potential loan amount.

Learn more about what borrowing power is here. You can also try our borrowing calculator.

We dislike fees as much as you do! That’s why we don’t charge any application fees, ongoing account fees, or exit fees.

In certain circumstances you may be required to pay a Lenders Mortgage Insurance (LMI) premium. Learn more about why this is applied and how it works . Government fees may also apply. Your current lender may charge an exit fee when refinancing.

Every year on the anniversary of your settlement date we’ll give you an additional 0.01% p.a. loyalty discount on your rate, up to a maximum of 0.30% p.a. It’s our way of saying thanks for staying with us.

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Lender’s Mortgage Insurance, or LMI, is insurance that the lender takes out to protect itself in the event that you as the borrower can’t repay your mortgage.

LMI is:

• A one-off, non-refundable, non-transferrable premium that’s added to your home loan.
• It is collected by your lender and passed on to their insurance provider.
• It’s calculated based on the size of your deposit and how much you’re looking to borrow.
• Protects your lender against any loss they may incur if you’re unable to make loan repayments.

Learn more about LMI

Unloan offers a low cost home loan, an annual loyalty discount, a redraw facility and no annual, application, banking, account, transaction, late or exit fees. Learn more about the Unloan Home Loan.

In certain circumstances you may be required to pay a Lenders Mortgage Insurance (LMI) premium. Learn more about why this is applied and how it works. Government fees may also apply. Your current lender may charge an exit fee when refinancing.

When you refinance your home loan, it’s often to get a lower home loan rate and save money in the short and long term. By undoing your home loan with Unloan, not only are you on a low rate home loan, but you’ll receive an annual loyalty discount that increases every year you stay with us, up to 30 years.

A redraw facility lets you access extra repayments you’ve made on your home loan. Maintaining an available redraw balance can help you reduce interest on your home loan. This could come in handy if you need some extra cash down the track.



Learn more about redraw.

These are mandatory fees that are involved when taking a new home loan. This includes a mortgage registration fee, a transfer fee, and transfer duty (also known as stamp duty). These fees are charged by the government to cover the cost of registering your mortgage and transferring the property title. Learn more about government fees.