Bank of Melbourne offers a variety of home loan products designed to cater to the needs of different customers, including first home buyers, upgraders, refinancers, investors, and the self-employed. 

Its loan options include both principal and interest home loans as well as interest-only home loans, with variable and fixed interest rate options, the latter of which are available for terms ranging from one to five years.

The interest rates on home loans offered by Bank of Melbourne are generally relatively competitive. Though, the bank typically doesn’t offer market-leading mortgage interest rates.

Home Loan Type

Available via Bank of Melbourne?

Owner-occupier home loan

Investor home loan

Fixed rate home loans

Variable rate home loans


Low doc home loan

Green home loans

Construction loans 

95% LVR home loans

Bridging loans

Reverse mortgages

Home loans with offset accounts

Home loans with redraws

Cashback offers


Fully digital home loans

Bank of Melbourne home loans on offer

Bank of Melbourne has four main mortgage products, all of which are offered to both owner-occupiers and investors looking to make principal and interest or interest only repayments.

1. Basic home loan

The Bank of Melbourne’s Basic home loan offers a variable interest rate and a redraw facility. The bank doesn’t charge annual or monthly fees for holders of a Basic mortgage and the product allows for unlimited extra repayments.

2. Standard variable home loan 

The bank’s Standard home loan comes with a variable interest rate and an offset account. It can also be used as a construction loan, with borrowers only paying interest on the funds they’ve used during the building process. It demands an $8 monthly fee.

3. Fixed rate home loan

The bank offers a fixed-rate home loan, allowing a borrower to lock in an interest rate for between one and five years. Its fixed rate home loan comes with a monthly fee of $8.

4. Home loan with Advantage Package

Finally, the Advantage Package can be added onto the bank’s standard variable or fixed rate home loan products. The package promises a discounted interest rate and other benefits, including an offset account. It demands a $395 annual fee, but sees the $8 monthly fee charged on the original products waived.

Bank of Melbourne also offers the option to split a home loan into a fixed rate portion and a variable rate portion. 

It also provides a bridging loan product, dubbed a ‘Relocation Loan’, for existing customers purchasing a new property before selling their current property.

Bank of Melbourne home loan features and fees

Loan-to-value ratio (LVR) requirements 

The Bank of Melbourne allows loans with an LVR of up to 95%, meaning you can secure a mortgage with the bank even if your deposit if just 5% of a property's value. 

However, lender's mortgage insurance (LMI) may be applicable for those signing on with an LVR of over 80%.

Offset accounts and redraw facilities

The bank’s customers can access redraw facilities on its basic home loans.

Offset accounts are also offered on its Advantage Package home loan product and its Standard variable rate home loan.

Fees and charges

Bank of Melbourne's home loans come with various fees, including application fees for certain products, and ongoing fees for the Advantage Package. 

All but its Basic home loan product demand an establishment fee of $600 and a monthly fee of $8. Both fees are waived for those who also have the Advantage Package, which itself costs $395 a year.

Bank of Melbourne also charges a document processing fee of $100 at settlement and a loan discharge fee of $350 on the end of a mortgage agreement.

Borrowers looking to end a fixed term agreement early will also likely face a break fee, as is industry standard.