Online lender Athena started 2022 with a bang by lowering a number of its variable home loan rates by 10 to 30 basis points.
Effective today, Athena’s latest reductions – which apply to its variable AcceleRATES home loan for new and existing customers – have pushed a number of its variable rates to new lows. Here are the latest prices:
|Loan-to-value ratio||Floating rate|
|1.89% pa (comparison rate 1.89% pa*) for owner-occupiers|
|70-80%||1.94% pa (comparison rate 1.91% pa*) for owner-occupiers|
|70-80%||1.99% pa (comparison rate 1.93% pa*) for owner-occupiers|
“There is a lot of speculation that the cash rate will rise later this year, so we have the opportunity to allow our customers to save more and advance on their loan before that happens. That’s what our voluntary rate cut is for,” said Athena co-founder and chief executive Nathan Walsh.
For context, Athena’s new rate of 1.99% per annum (comparator rate of 1.93% per annum*) is considerably lower by 108 basis points than the current average floating rate in the Mozo database for homeowners (P&I reimbursements, 80% LVR).
On a $400,000 loan repaid over 20 years, that 108bp spread would equate to a monthly repayment savings of $210 and $50,591 in interest saved over the life of the loan.
Want to learn more about Athena’s AcceleRATES Variable Home Loans? Check out our mini reviews of three different AcceleRATES options below.
Athena – Celebrate the Variable Home Loan
- 1.89% pa (comparison rate 1.89% pa*) variable rate (
- 100% free clearing
- No upfront fees or services
With very low variable rates starting at 1.89% per annum (comparison rate of 1.89% per annum*) for homeowners with an LVR below 60%, Athena’s Celebrate Variable Home Loan could be an attractive option for borrowers who have accumulated some equity in their home or a large deposit. In addition to the low rate, the lack of upfront fees or service charges can also help mortgage holders reduce costs, while convenient features like an offsetting account, additional repayment facility, and withdrawals could giving borrowers plenty of choice if they want to reduce the amount of interest they pay or repay their loan faster. Remember that Athena loans are only available for real estate purchases in capital cities or major population centers.
Athena – Evaporate Variable Home Loan
- 1.94% per annum (comparative rate of 1.91% per annum*) variable rate (70-80% LVR)
- Zero upfront or ongoing service fees
- Automatic Rate Drop Feature
Available to borrowers with an LVR between 70-80%, the Evaporate Variable Home Loan offers low variable interest rates starting at just 1.94% per annum (comparative rate of 1.91% per annum* ) for homeowners. The loan is not just a matter of a high rate. That’s because it has no upfront fees or ongoing service fees, and offers a number of flexible features, including a clearing account, additional refunds, and a withdrawal feature. Additionally, the automatic rate reduction feature means that Athena customers will automatically receive a rate reduction once their LVR drops below 70%. Like all loans from Athena, it’s worth remembering that you’ll need to buy property in a capital city or major population center to qualify for this offer.
Athena – Free Variable Home Loan
- 1.99% per annum (comparative rate of 1.93% per annum*) variable rate (70-80% LVR)
- The rate automatically drops as the loan is paid off
- Clearing Account, Additional Refunds and Withdrawal Facility
Athena’s Liberate Variable Home Loan also comes with a combination of low interest rates and some useful loan features, although this offer is aimed at homeowners with an LVR between 70-80%. Borrowers who fit the bill will be able to access variable rates as low as 1.99% per annum (comparative rate of 1.93% per annum*), as well as a range of features, including the ability to making free additional refunds and withdrawals, and the use of a clearing account. There are also no upfront or ongoing service fees to budget for, and Athena’s automatic rate drop feature will ensure that as soon as your LVR drops below 70%, you will receive a new, lower rate. Remember that Athena loans are only available for properties purchased in capital cities or major population centers.
Do you want to compare these Athena mortgages to other offers on the market? Head over to the Mozo home loan comparison page to compare even more options from a range of Australian lenders.
* ATTENTION: This comparison rate only applies to the example or examples given. Different amounts and durations will result in different comparison rates. Costs such as withdrawal charges or prepayment charges, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. The comparison rate displayed corresponds to a guaranteed loan with monthly principal and interest repayments of $150,000 over 25 years.
** Initial monthly repayment figures are estimates only, based on the advertised rate, loan amount and term entered. Rates, fees and charges and therefore the total cost of the loan may vary depending on the amount of your loan, the term of the loan and your credit history. Actual repayments will depend on your personal circumstances and changes in interest rates.
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