Home Loan Cashback Offers for August 2021

With millions of Australians stuck at home due to the latest COVID-19 related lockdowns, you may be thinking about the very home you’re living in and whether you’re getting the best deal on your mortgage.

This may be why June 2021 broke a refinancing record for both owner-occupiers and investors, according to the latest Australian Bureau of Statistics figures. Over $16 billion in home loan value switched hands in this month alone.

Whether these COVID-19 restrictions have encouraged you to find a more comfortable space and buy your first property, or refinance your mortgage, home loan cashback deals may come in handy in helping to cover those pesky new mortgage costs.

With offers including cashback up to $4,000, waived Lenders Mortgage Insurance and bonus credit card rewards available right now, let’s explore some of the home loan deals on offer for August 2021.

What cashback deals are on offer this month?

• Cashback

There are 24 home loan lenders offering cashback deals in August, with offers from $1,000 to $4,000 on the table for eligible borrowers. Cashback deals may be offered in the form of a direct deposit, taken from the home loan balance or upfront fees, or given as a gift card.

Most home loan cashback deals are, once again, available to refinancers, with only Great Southern Bank offering first home buyer exclusivity on their cashback offer. This indicates that cashback may still be being used as a draw to encourage refinancers to switch to new lenders while covering these switching costs.

• Reduced LMI

First home buyers and refinancers alike know that Lender’s Mortgage Insurance (LMI) can climb into the thousands of dollars range, depending on the value of your property (unless your LVR is 80% or less). But building up this much equity or saving a 20% deposit – particularly in Sydney or Melbourne – can be incredibly challenging and time consuming.

Another option home loan lenders have in providing competitive sign-up benefits is through waived LMI. In August, St. George is offering a reduced LMI deal. The offer is available to eligible first home buyers with a 15% deposit looking for an owner-occupier home loan, and planning on making principal and interest repayments.

According to St. George, the eligibility requirements include:

• "Be a first home buyer applying for your first home loan for your first property
• Apply for a home loan with St. George from Monday 13 July 2020
• Your home loan has an LVR up to 85% at the time of formal approval
• Loan size must not be over $850,000
• For joint applications, only one applicant needs to be a first home buyer
• Only one property financed per application.”

• Qantas frequent flyer points

You may be able to earn bonus Qantas frequent flyer points when you sign up for a home loan.

Macquarie Bank and Qudos Bank currently offer a home loan sign-up deal that rewards borrowers with Qantas Points. These points may be available at the time of approval or released over your loan term.

Plus, you won’t need to spend on eligible purchases to earn these reward points bonuses.

Source: RateCity.com.au. Data accurate as of 09/08/2021.

• Keep in mind that there is more to a home loan than a deal being offered to you, and it’s always important to compare the interest rates, fees, and features of a loan before applying. For more information on whether one of the above loans may suit your finances, consider using our Home Loan Calculator to see how potential repayments could fit in your budget.

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