It was another fairly busy week for customer-owned banks, as Heritage, CUA, and Auswide all cut home loan rates by up to 45 basis points.
Heritage Bank interest rate cuts
Heritage cut a wide variety of home loan interest rates by up to 19 basis points this week. Some of the key ones were:
- Home Advantage Investment Variable P&I <80% 150k+: 19 basis point cut to 2.99% p.a. (3.38% p.a. comparison rate*)
- Home Advantage Owner Occupier Variable 90% $700k+: 9 basis point cut to 2.99% p.a. (3.38% p.a. comparison rate*)
- DIscount Variable Owner Occupier P&I <80%: 9 basis point cut to 2.59% p.a. (2.64% p.a. comparison rate*)
This is how these lenders stack up among the wider owner occupier home loan market, as seen in the table below.
Lender | Advertised rate | Comparison rate* | Monthly repayment | Rate Type | Offset | Redraw | Ongoing Fee | Upfront Fees | LVR | Lump Sum Repayment | Additional Repayments | Pre-approval | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Variable | More details | ||||||||||||
| FEATUREDLIMITED TIME OFFER | Smart Booster Home Loan Discounted Variable - 2yr (LVR < 80%)
| ||||||||||||
Smart Booster Home Loan Discounted Variable - 2yr (LVR < 80%)
| |||||||||||||
| Variable | More details | ||||||||||||
| FEATUREDZERO APPLICATION FEESFEE FREE OFFSET | Owner Occupier Accelerates - Celebrate (LVR < 60%) (Principal and Interest)
| ||||||||||||
Owner Occupier Accelerates - Celebrate (LVR < 60%) (Principal and Interest)
| |||||||||||||
| Fixed | More details | ||||||||||||
| FEATUREDUSE A MARKET LEADING APP TO HELP YOU PAY OFF YOUR LOAN SOONER | Fixed Home Loan 1 year (Principal and Interest) (LVR < 80%)
| ||||||||||||
Fixed Home Loan 1 year (Principal and Interest) (LVR < 80%)
| |||||||||||||
| Variable | More details | ||||||||||||
| FEATUREDREFINANCE IN MINUTES, NOT WEEKS | Nano Home Loans Variable Owner Occupied, Principal and Interest (Refinance Only)
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Nano Home Loans Variable Owner Occupied, Principal and Interest (Refinance Only)
| |||||||||||||
- Fast turnaround times, can meet 30-day settlement
- For purchase and refinance, min 20% deposit
- No ongoing or monthly fees, add offset for 0.10%
Rates correct as of January 21, 2022. View disclaimer.
CUA interest rate cuts
CUA slashed a few home loans on the 'Accelerate' line for both investors and owner occupiers, all by 20 basis points.
- Accelerate Variable P&I: Down to 2.94% p.a. (2.99% p.a. comparison rate*)
- Accelerate Variable IO: Down to 3.44% p.a. (3.08% p.a. comparison rate*)
- Inv Accelerate Variable P&I: Down to 3.37% p.a. (3.42% p.a. comparison rate*)
- Inv Accelerate Variable IO: Down to 3.72% p.a. (3.56% p.a. comparison rate*)
CUA's changes come after it announced it would be renaming itself to 'Great Southern Bank'.
Auswide Bank interest rate cuts
Auswide Bank cut a wide variety of investor loans by up to 45 basis points. Some of the key ones were:
- Freedom Package Inv Variable IO 75%: 45 basis point cut to 2.99% p.a. (3.40% p.a. comparison rate*)
- Freedom Package Inv Fixed P&I 3 Years 75%: 30 basis point cut to 2.29% p.a. (4.10% p.a. comparison rate*)
- Basic Variable Investment Loan P&I 75%: 40 basis point cut to 2.59% p.a. (2.61% p.a. comparison rate*)
The 'Freedom Package' loans are discounted as a 'special offer', meaning the discounted rate could end at any time.
Horizon Bank interest rate cuts
Horizon Bank cut fixed home loans between one and three years for both owner occupiers and investors. They were all cut by 20 basis points. Some details are:
- 1 Year: Down to 2.19% p.a. (3.41% p.a. comparison rate*)
- 2 Years: Down to 2.19% p.a. (3.30% p.a. comparison rate*)
- 3 Years: Down to 2.19% p.a. (3.20% p.a. comparison rate*)
- Inv 1 Year: Down to 2.44% p.a. (3.66% p.a. comparison rate*)
- Inv 2 Years: Down to 2.44% p.a. (3.55% p.a. comparison rate*)
- Inv 3 Years: Down to 2.44% p.a. (3.45% p.a. comparison rate*)
These comparison rates are for borrowers paying P&I, borrowing up to 80% LVR (i.e. a 20% deposit).
Photo by Jaye Haych on Unsplash
