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How we calculate our home loan interest rates

Our low deposit home loans have provided an attainable pathway into home ownership for more than 118,000 Western Australians. Given the low deposit nature of the lending we provide, Keystart has an interest rate policy that enables us to manage our lending risk responsibly whilst remaining focused on our vision.

As of 1 November 2018, our policy is to adjust our interest rates by adopting the average of the standard variable interest rate of the four major banks, that is Australia and New Zealand Banking Group (ANZ), National Australia Bank (NAB), Westpac Banking Corporation (Westpac) and Commonwealth Bank of Australia (CBA).

Keystart is designed to help more people get into home ownership earlier by lowering the entry costs rather than offering the lowest interest rate on the market. Our interest rate policy enables us to offer low deposit home loans while managing our lending risk responsibly. 

While you may see lower rates advertised at other lenders, these lower rates are often for loans with higher deposit or equity requirements. This blog article provides tips on how to compare rates. 

Timing of rate changes

Following any RBA announcement of a change to the official cash rate, Keystart reviews the four major banks for any announcements to their standard variable home loan rates so that we can determine a new average rate, if applicable.

The loan products we use to benchmark are:
  • ANZ – Standard Variable Home Loan
  • CBA - Standard Variable Home Loan (without the wealth package)
  • NAB – Tailored Home Loan Variable Rate
  • Westpac – Rocket Repay Home Loan

In the event that one or more of the major banks move in isolation, Keystart will wait for a period of 30 days from the date of the first major bank change in order to allow for consideration of interest rate movement by the remaining major banks.  
We'll only consider a change to the interest rate when a minimum of two of the major banks move.  
Once a change to Keystart's interest rate has been approved, we'll put up a notification on our website and your Client Portal.

Read more

Read more about Keystart's interest rates, including our most recent interest rate announcement

More about Keystart's interest rates

Compare our home loan rates

Considering your options?

We've prepared some information that you may find useful when weighing up different lenders' interest rates. We have also prepared a guide to refinancing if you are considering your options. 

A guide to refinancing

Interest rate articles

What's different about Keystart?

  • Low deposit

    Keystart’s standard home loan requires a deposit as low as 2%. Meaning it takes our customers less time to save a deposit, setting them on their home ownership journey sooner.
  • Lower entry costs

    Unlike other lenders, Keystart does not charge lender’s mortgage insurance on our low deposit loans, potentially saving our customers thousands. Keystart does not charge monthly account fees either.

    More about lender's mortgage insurance

  • Refinance when you’re ready

    As a transitional lender, Keystart encourages you to refinance when you are in a position to do so.  If you are considering refinancing, you will need to take into account the current equity you have in your property, interest rates, fees and charges from the other lender.

    More about refinancing