Athena has again reduced its variable rate home loans
Online lender Athena has started 2022 with a bang by cutting a number of its variable rates on home loans by 10 to 30 basis points.
Athena’s recent cuts, which come into effect today and apply to the AcceleRATES Variable Home Loan for both new and existing customers, have pushed a number of its variable interest rates to new lows. Here are the current tariffs:
|loan-to-value ratio||Variable rate|
|1.89% pa (1.89% pa comparison rate*) for owner-occupiers|
|70-80%||1.94% pa (1.91% pa comparison rate*) for owner-occupiers|
|70-80%||1.99% pa (1.93% pa comparison rate*) for owner-occupiers|
“There is a lot of speculation that cash rates will increase later this year, so we have an opportunity to enable our customers to save more and get their credit before that happens. That’s what our voluntary rate cut is about,” said Nathan Walsh, co-founder and CEO of Athena.
For comparison, Athena’s new interest rate of 1.99% pa (1.93% pa benchmark rate*) is a whopping 108 basis points below the current average floating rate in the Mozo owner-occupier database (P&I repayments, 80% LVR).
For a $400,000 loan repaid over 20 years, that 108 basis point interest rate differential would equate to $210 in monthly repayment savings and $50,591 in interest savings over the life of the loan.
Interested in learning more about AcceleRATES Variable Home Loans from Athena? Check out our mini reviews of three different AcceleRATES options below.
Athena – Celebrate the Variable Home Loan
- 1.89% pa (1.89% pa reference rate*) variable interest rate (
- Counter account available
- No upfront or service fees
With extremely low variable interest rates starting at 1.89% pa (1.89% pa benchmark rate*) for owner-occupiers with an LVR below 60%, Athena’s Celebrate Variable Home Loan could be an enticing option for borrowers who either have some equity in dispose of their house or make a substantial down payment. In addition to the low interest rate, the lack of upfront or service fees can also help mortgage holders keep their expenses down, while handy features like an adjustment account, additional repayment options, and redraws could give borrowers plenty of choice should they want to lower the mortgage amount the interest they pay or repay their loan faster. Remember that Athena loans are only available for property purchases in capital cities or metropolitan areas.
Athena – Variable Home Loan Vaporize
- 1.94% pa (1.91% pa comparable rate*) variable interest rate (70-80% LVR)
- No upfront or ongoing service fees
- Automatic rate drop function
The Evaporate Variable Home Loan is available to borrowers with an LVR between 70-80% and offers low variable interest rates from just 1.94% pa (1.91% pa benchmark rate*) for owner occupiers. However, the loan is not just about a sharp interest rate. That’s because there are no upfront payments or ongoing service fees, and it also offers a range of flexible features, including a balance account, additional paybacks, and a redraw feature. Additionally, the automatic rate reduction feature means Athena customers will automatically receive a rate reduction once their LVR falls below 70%. As with all Athena loans, remember that you must be purchasing property in a capital city or major population center to be eligible for this offer.
Athena – Liberate the Variable Home Loan
- 1.99% pa (1.93% pa reference rate*) variable interest rate (70-80% LVR)
- The rate is automatically lowered when the loan is repaid
- Clearing account, special repayments and redraw option
Athena’s Liberate Variable Home Loan also offers a combination of low interest rates and some useful loan features, although this offer is for owner-occupiers with an LVR between 70-80%. Borrowers who meet the bill can access variable interest rates from as little as 1.99% pa (1.93% pa comparison rate*), as well as a range of features including the ability to make additional repayments and redraws for free, and the use of a contra account . There are also no upfront or ongoing service fees to factor in, and Athena’s automatic rate reduction feature ensures you get a new, lower rate once your LVR drops below 70%. However, do not forget that Athena loans are only available for properties purchased in capital cities or large population centers.
Do you want to compare these Athena loans to other offers on the market? Visit Mozo’s home loan comparison site to compare even more options from a range of Australian lenders.
* WARNING: This rate of comparison applies only to the example or examples provided. Different amounts and maturities lead to different comparison rates. Costs such as redemption fees or prepayment penalties and cost savings such as fee waivers are not included in the comparison rate, but may affect borrowing costs. The comparative rate shown is for a secured loan with monthly principal and interest payments of $150,000 over 25 years.
** The initial monthly repayment numbers are estimates only, based on the advertised interest rate, loan amount, and entered term. Rates, fees and charges, and therefore the total cost of the loan, may vary depending on the loan amount, loan term and credit history. Actual repayments will depend on your individual circumstances and changes in interest rates.
^See information on the Mozo Experts Choice Home Loan Awards
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