flagFounded: 1985 in Australia, 1812 in the USA

businessOwned by: NYSE Listed

monetization_onFunded by: Retail deposits and wholesale capital markets

securityLMI Provider: QBE

account_balanceLender type: International Bank

Citibank isn’t a lender that most Australians consider when applying for their home loan. Citibank doesn’t have a large branch network and most of its advertising is for credit cards, so most people hear about their home loans from a mortgage broker.

However, they’ve got some unique products and clever credit policies which make it a great choice for some borrowers. That being said for many people there is a better option to choose from.


How do Citibank’s home loans compare?

They’re great at

But they’ve got some drawbacks…


What home loans types do they have?

Citibank has a very simple product range which includes their Basic Variable Home Loan with no frills and their Mortgage Plus Professional Package which has an offset account and bigger discounts for loans over $250,000 or $500,000.

The choice of which loan to take really depends on what specials Citibank has on at any one time. In some cases that means their Basic Loan is cheaper, and at other times it’s their Mortgage Plus Package.

Citibank also tends to be competitive with Fixed Rate Loans under their Mortgage Plus Package for terms of 1 – 5 years. This combined with their free rate lock offer means that you can fix your rate without the upfront fees that other banks charge for locking in your rate at the time of application.


Can I negotiate a better rate with Citibank?

Citibank can sometimes offer negotiated pricing for larger loans, however in most cases their special rates are already sharp enough.

A good mortgage broker can lodge a pricing request for you with Citibank as well as other lenders.


Citibank client story: Julian, NSW

Goal

Situation

Cash out equity loan, refinance, spouse visa.

Background

Julian moved to Australia from the UK a couple of years ago on a 820 Spouse Visa.

At the time, he and his wife were able to buy their first home and they have since been renovating the old place to bring it back to its former glory.

Having already gone through a lot of their own savings, Julian still needed more funds to complete the renovation works. Luckily, the property had grown in value so he was looking to access some equity.

Solution

The couple’s home loan was first approved by Citibank and they were still happy with the service so they decided they just wanted to do a straight refinance and cash out.

In the end, they were able to cash out $60,000 for renovations and their broker was able to refinance them to a cheaper interest rate.


Compare Citibank to other lenders

Not sure which lender is right for you? Our Home Loan Experts can help!

Talk to one of our mortgage brokers by calling us on 1300 889 743 or complete our free assessment form.

  • Richardson

    What is rate lock?

  • Hi Richardson,
    Rate lock is an option you can choose when applying for a fixed rate loan. Here, the lender will charge a rate lock fee (up to 0.20% of the loan amount) and the interest rate that you applied for is locked in so you are not affected if rates move before your loan is advanced.

  • Klien

    What’s the max loan amount that we may borrow at 85% LVR and still avoid LMI?

  • Hey Klien,
    You can generally borrow up to a max $1 mil at 85% LVR and still qualify for a no LMI home loan. Do note that you’re generally required to have a clean credit history and meet the minimum income criteria.

  • Jim

    So Citibank aren’t great at low doc and no doc loans then… I’d like to enquire how much I can borrow with a no doc loan. Not confirmed I’m getting that though.

  • Hi Jim,
    We can help you obtain a no doc loan for up to 65% of the property value through larger second tier lenders at rates that are 2-3% higher than the banks. Note that you can borrow up to 80% of the property value though only expensive short term caveat loans are available.