NAB home loan customers with up to 80% loan-to-value ratio (LVR) will benefit from a lower base variable rate, with a discount of up to 1.00% p.a. on their home loan.

For a NAB owner occupier customer making principal and interest (P&I) repayments, this means they may be eligible to receive an interest rate of 4.49% p.a.

Further, NAB home loan customers are also eligible to receive a 5% rate reduction on the cost of Lenders Mortgage Insurance (LMI) through NAB’s insurance partner QBE.

NAB notes these offers are available to customers purchasing new or existing homes or refinancing. 

New or existing homes must have a NatHERS 7-star rating or a Green Building Council of Australia Green Star rating to be eligible. 

NAB Executive Home Ownership Andy Kerr said the move is an important step in addressing cost of living pressures through energy efficiency.

“NAB is making it easier for customers to reduce energy bills and home loan repayments with the choices they make on the type of home that they buy,” Mr Kerr said.

“This will also provide first home buyers with additional support to enter the housing market by reducing the cost of lenders mortgage insurance.”

As a partner of QBE, Bank Australia will also offer a 5% rate reduction on the cost of LMI. 

The introduction of these offers comes as PRD research released last week revealed living within close proximity to renewable energy projects such as wind and solar farms has the ability to create a positive multiplier effect for local regions.

PRD Chief Economist Dr Asti Mardiasmo said while residing within 100 metres of a renewable energy plant may not be ideal, the surrounding area strongly benefits through the drop in energy prices.

"The average price growth over the past one, two, and five years has been 6.5%, 7.8%, and 41.0%, according to data on previous renewable energy projects," Dr Mardiasmo said.

"This is largely because rising inflation and economic growth have increased living expenses, making any decrease in expenses especially power, a significant deciding factor when choosing where to buy real estate."

Electricity prices are tipped to grow a further 35% in 2023, with the Treasurer warning this factor will be the most problematic aspect of inflation over the next six or nine months.

Advertisement 

Building or buying an energy-efficient home? This table shows some of the lowest interest rates in the market for 'green' home loans.

Update resultsUpdate
Filters
LenderHome LoanInterest Rate Comparison Rate* Monthly Repayment Repayment type Rate Type Offset Redraw Ongoing Fees Upfront Fees Max LVR Lump Sum Repayment Additional Repayments Split Loan Option TagsFeaturesLinkComparePromoted ProductDisclosure
5.99% p.a.
6.51% p.a.
$2,995
Principal & Interest
Variable
$0
$530
90%
  • No application, ongoing monthly or annual fees.
  • Available for refinance or purchases. Quick and easy online application process.
  • Dedicated loan specialist throughout the loan application.
  • Discounted interest rate for 5 years for homes with an eligible solar system
 Disclosure
5.84% p.a.
5.89% p.a.
$2,947
Principal & Interest
Variable
$null
$null
60%
5.82% p.a.
5.82% p.a.
$2,940
Principal & Interest
Variable
$0
$0
80%
5.84% p.a.
5.89% p.a.
$2,947
Principal & Interest
Variable
$0
$500
60%
5.88% p.a.
6.38% p.a.
$2,959
Principal & Interest
Variable
$350
$0
90%
5.95% p.a.
6.23% p.a.
$2,982
Principal & Interest
Variable
$299
$0
80%
5.34% p.a.
6.27% p.a.
$2,789
Principal & Interest
Fixed
$350
$0
90%
6.14% p.a.
6.85% p.a.
$3,043
Principal & Interest
Variable
$0
$720
90%
7.64% p.a.
–
$3,544
Principal & Interest
Variable
$25
$0
70%
6.19% p.a.
6.58% p.a.
$3,059
Principal & Interest
Variable
$0
$530
90%
90% LVR
  • You MUST already have Solar or a documented plan to install within 90 days to be eligible for this loan
  • Available for refinance or purchase
  • No monthly, annual or ongoing fees
 Disclosure
  • Available for purchase or refinance, min 10% deposit needed to qualify.
  • No application, ongoing monthly or annual fees.
  • Quick and easy online application process.

More details
Important Information and Comparison Rate Warning

Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to be made on variables as selected and input by the user. Some products will be marked as promoted, featured or sponsored and may appear prominently in the tables regardless of their attributes. All products will list the LVR with the product and rate which are clearly published on the product provider’s website. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. *The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of . View disclaimer.

Important Information and Comparison Rate Warning

Image by Capricious Wayfarer via Pexels



Ready, Set, Buy!


Learn everything you need to know about buying property – from choosing the right property and home loan, to the purchasing process, tips to save money and more!

With bonus Q&A sheet and Crossword!

Download Free
By subscribing you agree to our privacy policy