A variable rate moves when the lender decides to move it: lenders usually follow the RBA cash rate, but they are not obliged to pass a change on in full, or at all. What you get in return is generally offset and redraw, unlimited extra repayments, and no break cost for refinancing. Variable rates here, owner-occupier and investment on principal and interest, start at 5.84%This is our lowest starting rate for these products. Other factors may change rates once you filter your results. See sorting and ranking for more info. p.a. (5.90% comparison rate) with Summerland Bank's ECO Home Loan.
Rates checked against every provider’s own published dataWe show all of the product information we are able to access. For banking products that is each provider’s public Consumer Data Right (CDR) Product Reference Data endpoints, published under the Consumer Data Standards (CDS) maintained by the Data Standards Body. Where a provider does not publish a field, or a row is an editorial selection, we say so. on 19 Oct 2026
Borrowing $500,000 over 30 years at the lowest advertised shown:
Monthly repayment from
$2,947/mo
Total repaid
$1,060,745
Total interest
$560,745
Estimate only, based on the lowest advertised interest rate shown and assuming equal monthly repayments. Actual repayments depend on your rate, fees and loan terms.
Suitable for Investment and Owner Occupied residential borrowing with LVR up to 95%. Fixed and Variable rates available including for construction purpose (variable only)
Suitable for Investment and Owner Occupied residential borrowing, LVR up to 95%. Fixed and Variable rates available including for construction purpose (variable only)
Suitable for Investment and Owner Occupied residential borrowing. LVR up to 95%. Fixed and Variable rates available including for construction purpose (variable only)
Get a loan that's simple to use and easy to understand. Just a great low rate that helps you pay your home off faster. Available on new loans $100,000+, borrowing less than 90% of the property value…
MyState offers a premium variable rate product for customers seeking a home loan in excess of… $100,000. If you're buying or building your own home, a residential investment property, a block of land…
The Better Choice Gold Special Basic Variable Home Loan offers a standard variable loan. Available up to 80% LVR, this loan suits borrowers that are looking for flexibility with their home loan and…
We’re proudly supporting the Government’s initiative to help Australians purchase their first home… sooner. Border Bank will help you get into your first home with our low rates and great features.
Rates and fees are sourced from each provider’s CDR Product Reference Data where the provider publishes it.
Comparison rate warning and base criteria
Base criteria: repayment figures shown in this table are calculated on a loan of $500,000 over 30 years. Repayment estimates use each loan’s advertised interest rate, with the comparison rate shown beside it as a guide to total cost. These figures are examples only. They are not a quote, and they may not include all fees and charges.
*Warning: the comparison rate shown is calculated by the lender on its own standard example, usually a $150,000 loan over 25 years. This comparison rate is true only for the example given and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate.
About this table: we publish this table so you can research credit products, by bringing together in one place the banking data lenders publish under the Consumer Data Right. Using that data, we have tried to show products that match this table’s title. This table does not compare all products, and there may be products with a lower rate in the market that are not shown here. Do your own research to find a product that suits your needs and financial goals. See how we choose products for tables like this.
Products are selected for relevance to the table and to the filters applied. They are not suggestions or recommendations, and the order they appear in is not a ranking of suitability.
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Rates, fees and charges are subject to change without notice. Before acting on any information shown here, you should confirm the rates, fees, charges and product information with the provider. For clarity, where we have used the terms “lowest” or “best”, these relate solely to the rates of interest offered by the provider and not to any other factor. The application of these terms to a particular product is subject to change without notice if the provider changes their rates.
This table does not compare every feature that may be relevant to you. Changing the filters will surface further relevant products. See how we sort and rank products and how we make money.
This information is general in nature. It does not take into account your objectives, financial situation or needs, and it is not a recommendation to apply for or hold any particular product. You should read the provider’s Key Facts Sheet, Target Market Determination and credit contract terms before deciding. CompareThat compares products. We do not arrange, approve or process applications.
What is a variable rate home loan?
A variable rate home loan has an interest rate that can move up or down over time. When rates change, so do your repayments (or the time left on the loan). Variable loans are the most common type in Australia and usually come with the most flexibility: offset accounts, redraw and unlimited extra repayments.
Why variable rates change
Lenders set variable rates with reference to their funding costs and the Reserve Bank’s cash rate, among other things. When the cash rate moves, variable rates often follow, though lenders decide their own timing and size. That means your repayments can rise or fall during the life of the loan.
Features that come with variable loans
The pay-off for less certainty is flexibility. Most variable loans let you make unlimited extra repayments, use an offset account to cut interest, and redraw surplus funds. These features can save real money for borrowers who hold a cash balance or want to pay the loan down faster.
How variable rate home loans compare
The comparison rate sits alongside the headline rate, and features are worth what they save against any package fee. For certainty, there are fixed rates. Loans can be compared side by side, and the full market is on the home loans hub.
Expert view
“A variable loan's real value is in its features as much as its rate. With a cash balance, an offset can beat a slightly lower headline rate; for paying the loan down faster, unlimited extra repayments matter more. The comparison rate and the features actually used decide it.”
JP
Jordan Pearce
Senior finance writer, CompareThat
Glossary
The key terms you’ll meet when comparing these products, reading product disclosures or talking to a provider.
Term
What it means
Cash rate
The Reserve Bank of Australia’s official interest rate, which influences the variable rates lenders charge.
Comparison rate
A single rate that combines the advertised interest rate with most fees and charges, so loans can be compared on a like-for-like basis.
Fixed rate
An interest rate locked for a set term, so repayments stay the same regardless of market movements, usually with limited extra repayments or offset.
Interest-only
A repayment type where you pay only the interest for a period; the loan balance does not reduce and the rate is often higher.
Lenders Mortgage Insurance (LMI)
A one-off insurance premium that protects the lender, usually charged when you borrow more than 80% of a property’s value.
Loan-to-value ratio (LVR)
The size of your loan expressed as a percentage of the property’s value. A 20% deposit gives an 80% LVR.
Offset account
A transaction account linked to your loan; its balance is offset against the loan, reducing the interest you are charged.
Package fee
An annual fee for a packaged loan that bundles features such as an offset account, redraw and sometimes a credit card.
Principal and interest (P&I)
A repayment type that pays down both the amount borrowed and the interest, reducing the balance over the life of the loan.
Redraw
A facility that lets you access extra repayments you have made above the minimum, if you need the money back later.
Split loan
A loan divided into fixed and variable portions, so you get repayment certainty on one part and flexibility on the other.
Variable rate
An interest rate that can move up or down with the market, usually paired with more features such as offset and unlimited extra repayments.
Common questions
Will my repayments change on a variable loan?+
They can. When your lender changes the variable rate, your repayments usually change too (or the remaining term does). Variable loans trade certainty for flexibility.
What makes variable rates go up or down?+
Lenders set them with reference to funding costs and the Reserve Bank’s cash rate, among other factors. When the cash rate moves, variable rates often follow, but each lender decides its own timing and amount.
Can I make unlimited extra repayments?+
Most variable loans allow unlimited extra repayments and let you redraw them later, which is one of the main advantages over a fixed loan.
What is a comparison rate?+
A comparison rate folds the advertised rate together with most fees into a single percentage, so loans can be compared on a like-for-like basis. For home loans it’s calculated on a $150,000 loan over 25 years, so it may not reflect the cost of a larger loan.
Can I switch from variable to fixed later?+
Usually yes. Many lenders let you fix all or part of a variable loan. Some borrowers split the loan to keep flexibility on one portion and certainty on the other.
The Numbers Behind This Market
What this market is paying or charging on average right now, and the official figures behind it.
We are not a lender, broker or bank. Product data comes straight from each provider’s own Consumer Data Right feed (Australia’s official open banking system) and is refreshed daily, so what you see reflects published rates and fees, not a sales pitch.
✓Not a credit provider: we do not lend, arrange loans or take applications.
✓Sourced from each provider’s CDR Product Reference Data, refreshed daily.
✓Payment can change where a product appears, never which products we show.
✓General information, not credit advice. CompareThat compares; it does not recommend.
Rates and fees are sourced from each provider’s CDR Product Reference Data as of the date shown. They are general information only. Not credit advice. CompareThat is not a credit provider. Payment can change where a product appears, never which products we show.
