What is a Basic Variable Home Loan?

A Basic Variable Home Loan is a popular choice for first home buyers who purchase their new home.

The basic variable home loan is a no thrills product charging a low rate of interest, generally between .5% and 1% less than that charged on a standard variable home loan.

While a standard variable home loan has many features and allows you to make extra payments without incurring any penalties, a basic variable home loan far fewer features and you can incur penalties for making extra payments.

However, you can shop around with some lenders offering extra payment options to customers.