Newcastle Permanent
Real Options
Owner Occupied Variable Principal & Interest 0 Years 95% LVR
8.50%
Interest rate
8.55%
Comparison rate
Ratings
★ ★ ★ ★ ★ (1 reviews)
About Real Options
Key Features
- While it does not have the convenient that comes with an offset account, but $Real Options comes with a redraw facility. A redraw facility works similar to an offset account. If you put the same amount into home loan as extra repayments, your interest bill will reduce by the same amount, but still have access those extra funds if you need them later.
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
- A partial 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, a percentage of the balance in your offset account is deducted from the loan amount owing, and interest is only charged on what remains.
- 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.
- Newcastle Permanent charge a discharge fee of $250, which covers the cost for removing the mortgage that has been registered on the title of your property.
- There is upfront costs of $595 to apply for Real Options, with no ongoing account keeping fees.
Borrowing Limits
- Newcastle Permanent Real Options does not offer tier pricing for lower LVR. With Real Options, you can borrow upto $90% LVR.
- Newcastle Permanent Real Options does not offer tier pricing for lower LVR. With Real Options, you can borrow upto $95% LVR.
Eligibility
- Interest only repayment option is not available with Newcastle Permanent Real Options for buying next home.
- Interest only repayment option is not available with Newcastle Permanent Real Options 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 Newcastle Permanent or a mortgage broker just to be sure. This information should be used as a guide only.
Other rate options for Real Options
Frequently Asked Questions
Are there costs when I exit or refinance to another lender?
Newcastle Permanent charge a discharge fee of $250, which covers the cost for removing the mortgage that has been registered on the title of your property.
Does Newcastle Permanent Real Options comes with an offset account?
No, Real Options 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.
Does Newcastle Permanent Real Options comes with an offset account?
No, Real Options does not come with an offset account. While it does not have the convenient that comes with an offset account, but $Real Options comes with a redraw facility. A redraw facility works similar to an offset account. If you put the same amount into home loan as extra repayments, your interest bill will reduce by the same amount, but still have access those extra funds if you need them later.
Does Newcastle Permanent Real Options comes with an offset account?
Yes, Real Options comes with a partial offset account. A partial 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, a percentage of 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 Newcastle Permanent Real Options?
There is upfront costs of $595 to apply for Real Options, with no ongoing account keeping fees. Application fee: $595
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 Newcastle Permanent or a mortgage broker just to be sure. This information should be used as a guide only.