St. George fixed rate mortgage

The rate lock feature at St. George Bank allows you to secure the current fixed interest rate for up to 90 days, protecting you from potential rate increases. For a fee, this option ensures your rate won't change between the loan application and settlement.

Rate lock definition

A rate lock is an agreement between the borrower and the lender to secure an interest rate on a mortgage. This protects you from rising rates between the application and settlement periods.

• ensures the rate you lock in remains unchanged
• useful in unstable interest rate environments

What is the fixed rate lock-in fee for St. George?

St. George charges a rate lock fee to secure your fixed rate for 90 days. Details include:

• fee: 0.15% of the loan amount
• minimum fee: $500
• maximum fee: $1,000 for loans up to $2 million
• loans above $2 million: the fee remains 0.15% of your loan amount

At the end of a St. George fixed rate mortgage term, the interest rate will switch to the standard variable rate. If a new fixed rate term is chosen, the new rate will be set on the day the term ends.

How do you apply rate lock?

To apply for a rate lock with St. George, contact your Home Finance Manager or broker. They will assist you with the application process and ensure your rate is locked for the desired period.

Is rate lock fee refundable?

The refundability of the rate lock fee at St. George should be confirmed directly with the bank, as policies may vary.

Securing your mortgage rate

Locking in your interest rate with a St. George fixed rate mortgage provides peace of mind and may help with planning your repayments. It's a strategic move, especially when interest rates are uncertain, as it safeguards your budget against potential rate hikes.

Fixing your interest rate provides certainty and stability in your mortgage payments. This can be helpful during uncertain economic times.

St. George fixed rate mortgage

St. George Bank’s fixed home loans allow you to lock in the current rate at loan settlement. When the fixed rate period ends, the rate converts to the variable home loan interest rate.

Along with predictability, St. George provides its clients with a variety of features and benefits.

Benefits of St. George fixed home loan rates

The fixed nature of this kind of St. George mortgage offers several advantages:

• flexible repayments: choose weekly, fortnightly, or monthly repayments
• lock in a fixed rate: protects against rate increases before settlement (fees apply)
• interest in advance: pay interest in advance on investment loans and receive a discount
• package and save: enjoy discounts and fee waivers with a $395 annual package fee
• Family Pledge: use a family member’s home equity to increase your borrowing power
• end of fixed rate period: option to re-fix or revert to the standard variable rate

Fixed vs variable

Choosing between fixed and variable rates depends on your financial goals and risk tolerance.

Fixed rate

• provides certainty with stable monthly payments
• ideal for budgeting and planning
• safeguards against rising interest rates

Variable rate

• potentially lower interest payments if rates fall
• greater flexibility with extra repayments and redraw options
• higher risk if rates increase

Deciding on a St. George fixed rate mortgage involves considering your financial priorities and long-term plans. Weigh the benefits of rate certainty against the potential flexibility of variable rates.

Applying for a St. George fixed rate mortgage is straightforward. Start online and complete your application in about 20 minutes, then a lending manager will guide you through the process.

St. George fixed rate mortgage requirements

To apply for a St. George mortgage, you must be an Australian citizen or permanent resident, and at least 18 years old.

Home loan application checklist

Ensure you have the necessary documents ready when you apply.

Proof of income

• for salaried individuals: two recent payslips
• for self-employed: two years' tax returns
• for rental income: tenancy agreement or agent’s letter

Commitments

• current statements for all existing debts
• rent/board agreements or statements
• child support or maintenance documents

Borrowing purpose

• purchase agreements or contracts
• council-approved plans for construction
• refinancing requires six months of loan statements

Other documentation

• First Home Owner Grant details
• proof of deposit from asset sales or gifts

Application steps

• step 1: apply online and provide your personal and financial details
• step 2: a lending manager will contact you to discuss your application
• step 3: obtain conditional approval to understand your borrowing capacity
• step 4: receive full approval after property valuation and final checks

Getting a mortgage involves gathering the right documents, understanding the steps, and speaking to lending managers. Remember to use the St. George fixed rate mortgage calculator to make full sense of your borrowing power.

Home loan pre-approval means a lender has initially agreed to lend you money for a home purchase but hasn't given final approval. It helps you shop with confidence, showing sellers you’re serious.

What is a St. George conditional approval?

Also known as pre-approval or approval in principle, St. George conditional approval estimates how much you can borrow before making an offer. Valid for 90 days, it can be renewed if your financial circumstances remain unchanged.

Trying to obtain a St. George fixed rate mortgage provides for an optional conditional approval. This enables customers to bid or make offers with confidence, understanding their borrowing capacity.

How to apply for conditional approval

• apply online or in-person: provide financial details
• receive conditional approval: valid for 90 days
• find a property: get the property valued
• get final approval: meet conditions for unconditional approval

Knowing the importance of pre-approvals will help in qualifying for a mortgage. It sets realistic expectations, assists in budgeting your purchase, and speeds up the buying process.