Virgin Money Home Loan Review

Virgin Money Home Loan Review

Read Here for Our Virgin Money Home Loan Review:

Virgin Money offers home loans with variable and fixed interest rates starting at 1.98% per annum.

About Virgin Money

Although Virgin Money carries the same logo as the world-renowned Virgin brand, it is a totally different entity. In fact, Virgin Money Australia is a financial services company that is fully owned by the Bank of Queensland, although it is part of the global Virgin network.

In addition to variable and fixed-rate home loans for investors and owner-occupiers, Virgin Money offers construction loans for those looking to build their own homes.

Besides home loans, Virgin Money also offers other financial products such as credit cards, savings accounts, insurance, superannuation, and transaction accounts.

Virgin Money home loan features

  • Homebuyers and property investors may choose from loan-to-value ratios (LVR) less than 60% to up to over 90% on principal and interest payments.
  • Most home loans from Virgin Money require a 20% deposit, so borrowers with small deposits might not qualify.
  • Virgin Money allows you to pay interest-only (IO) repayments for a limited period, in addition to standard principal-and-interest repayments.
  • Virgin Money Reward Me variable loans come with benefits like offset accounts.
  • Some Virgin Money home loans allow you to split your loan into fixed and variable segments.

Types of Virgin Money home loans

  1. Variable rate home loan
  • Discounted variable rates based on loan size and deposit size
  • Redraw your extra repayments from your variable rate home loan at any time with no extra charge
  • Make unlimited repayments off your loan.
  • Home Loan Companion Account – allows you to offset the interest you must pay when converting your fixed-rate loan to a variable rate loan, allowing you to pay off your mortgage sooner.
  • Home Loan Companion Account also makes it easier to make repayments and pay any fees.
  • Split your loan to get the security of a low rate for the fixed portion of your loan and all the benefits and flexibility of the variable portion of your loan.
  1. Fixed rate home loan
  • Lock in an interest rate for up to 100 days to protect yourself from any potential increases.
  • Make additional repayments of up to $10,000 per anniversary so you can pay off your loan faster.
  • Split your loan to get the security of a low rate for the fixed portion of your loan and all the benefits and flexibility of the variable portion of your loan.
  • Home Loan Companion Account – allows you to offset the interest you must pay when converting your fixed-rate loan to a variable rate loan, allowing you to pay off your mortgage sooner.
  • Home Loan Companion Account also makes it easier to make repayments and pay any fees.
  1. Construction loan
  • Virgin Money construction loans are available for new home builds, knockdowns, and rebuilds, when adding additional rooms, and when making structural renovations.
  • Construction loans are only available for licenced builders
  • Unlike traditional mortgages where you receive a lump sum of the loan amount, construction loans are paid out in periodic payments at different stages of the construction.
  • While the construction is going on, you only have to pay interest.
  • Your construction loan will automatically switch to the variable rate home loan you chose during application at the end of the construction period.
  • Should you choose to switch to a fixed rate at the end of construction, you will be allowed to select from the rates available on that day.

How do I apply for a Virgin Money home loan?

As with any bank loan, you are required to establish your identity, financial situation, and employment status when applying for a Virgin Money mortgage. The bank may also ask you to provide details about the property you intend to buy.

To be able to apply for a Virgin Money home loan, you must meet three eligibility requirements:

  1. You must be at least 18 years old
  2. You must be a resident of Australia
  3. You must have a regular source of income

To prove your eligibility, you must submit the following documents:

  • Passport, driver's licence, or certificate of birth to determine your age
  • Recent payslips to show your income
  • Bank documents declaring your assets and liabilities, including savings accounts and credit cards
  • Property documents confirming the address of the property as well as a signed contract of sale

If you want to compare rates from lenders that are similar to Virgin Money, you can start with our mortgage reviews on loan packages from Bank of Queensland, ME Bank, and ING. Use the Makes Cents comparison tool today!

Our Virgin Money Home Loan Review is just one of many. You can also read reviews on many more Home Loan Reviews at MakesCents. 



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