Suncorp, Adelaide and Qudos Bank reduce fixed rates

Emma Duffy By on November 8, 2019
 
home loan rate cut

Photo by Holger Link on Unsplash

More banks are dropping their fixed home loan rates, enticing borrowers to lock in their rate.

With at least one more cash rate cut expected in the coming months, it’s likely these won’t be the last cuts to fixed rates we’ll see.

Many economists are tipping the Reserve Bank to take the cash rate to a further record low of 0.5% at its first meeting of 2020 in February.

Non-majors Suncorp and Adelaide Bank, and customer-owned Qudos have all dropped their fixed home loan rates, with many below 3%.

Earlier this week, popular online lender loans.com.au slashed its fixed interest rates by 20 basis points across the board, bringing some of its fixed rates below 3% for the first time.

Below are some of the lowest variable home loan rates on offer across the big four banks, customer-owned banks and larger non-banks.

Provider Ad rate
p.a.
Comp rate*
p.a.
Monthly
repayments
 
Purchase or Refi, P&I 80% Smart Home Loan 2.88% 2.90% $1,660 More details
Low Rate Home Loan w/Offset 2.90% 2.92% $1,665 More details
Base Variable Rate Special P&I 3.20% 3.20% $1,730 More details
Ad rate
p.a.
Comp rate*
p.a.
Monthly
repayments
Purchase or Refi, P&I 80% Smart Home Loan
2.88% 2.90% $1,660
More details
Low Rate Home Loan w/Offset
2.90% 2.92% $1,665
More details
Base Variable Rate Special P&I
3.20% 3.20% $1,730
More details

Base criteria of: a $400,000 loan amount, variable, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. Introductory rate products were not considered for selection. Monthly repayments were calculated based on the selected products’ advertised rates, applied to a $400,000 loan with a 30-year loan term. Rates correct as at 18 November 2019. View disclaimer.

Suncorp fixed rate cuts

Suncorp has cut fixed rates by up to 40 basis points, effective from 8 November.

The cuts apply to fixed home loan products on both principal and interest (P&I) and interest-only (IO) repayments for new owner-occupier and investors.

Suncorp Home Package Plus with Special Offer for owner-occupiers making P&I repayments:

  • Two-year fixed rate for loans with an LVR of up to 90% has been cut by 10 basis points 2.89% p.a. (3.75% p.a. comparison rate*)
  • Three-year fixed rate for loans with an LVR of up to 90% has been cut by 10 basis points 2.89% p.a. (3.70% p.a. comparison rate*)
  • Five-year fixed rate for first home buyers with an LVR of up to 95% has been cut by 40 basis points 2.99% p.a. (3.27% p.a. comparison rate*)

Suncorp Home Package Plus with Special Offer for investors making P&I repayments:

  • Two-year fixed rate for loans with an LVR of up to 90% has been cut by 10 basis points to 3.19% p.a. (4.04% p.a. comparison rate*)
  • Three-year fixed rate for loans with an LVR of up to 90% has been cut by 10 basis points to 3.19% p.a. (3.99% p.a. comparison rate*)

Suncorp Home Package Plus with Special Offer for investors making IO repayments:

  • Two-year fixed rate for loans with an LVR of up to 90% has been cut by 20 basis points to 3.39% p.a. (4.06% p.a. comparison rate*)
  • Three-year fixed-rate loans with an LVR of up to 90% has been cut by 20 basis points to 3.39% p.a. (4.02% p.a. comparison rate*)
  • Two-year fixed rate for loans with an LVR of up to 90% has been cut by 10 basis points to 3.49% p.a. (5.05%

Adelaide Bank fixed rate cuts

Adelaide Bank has lowered its fixed rates by up to 10 basis points, effective from 6 November for new customers.

Adelaide Bank SmartFix:

  • Two-year fixed for owner-occupiers making P&I repayments has been cut by 10 basis points to 2.89% p.a. (3.26% p.a. comparison rate*)
  • Three-year fixed for owner-occupiers making P&I repayments has been cut by 8 basis points to 2.91% p.a. (3.25% p.a. comparison rate*)

Adelaide Bank SmartSaver:

  • Two-year fixed for owner-occupiers making P&I repayments has been cut by 10 basis points to 2.89% p.a. (3.07% p.a. comparison rate*)
  • Three-year fixed for owner-occupiers making P&I repayments has been cut by 8 basis points to 2.91% p.a. (3.06% p.a. comparison rate*)

Qudos Bank fixed rate cuts

Customer-owned Qudos has also reduced its fixed rates for new owner-occupiers making P&I repayments by 10 basis points, effective from 4 November.

Qudos fixed rate cuts for owner-occupiers with 80% LVR:

  • One-year fixed for loans with an LVR of 80% has been cut by 10 basis points to 2.89% p.a. (3.30% p.a. comparison rate*)
  • Two-year fixed for loans with an LVR of 80% has been cut by 10 basis points to 2.89% p.a. (3.26% p.a. comparison rate*)
  • Three-year fixed for loans with an LVR of 80% has been cut by 10 basis points to 2.89% p.a. (3.23% p.a. comparison rate*)
  • Four-year fixed for loans with an LVR of 80% has been cut by 10 basis points to 3.09% p.a. (3.26% p.a. comparison rate*)
  • Five-year fixed for loans with an LVR of 80% has been cut by 10 basis points to 3.09% p.a. (3.24% p.a. comparison rate*)

Qudos fixed rate cuts for owner-occupiers with 90% LVR:

  • One-year fixed for loans with an LVR of 90% has been cut by 10 basis points to 2.99% p.a. (3.31% p.a. comparison rate*)
  • Two-year fixed for loans with an LVR of 90% has been cut by 10 basis points to 2.99% p.a. (3.28% p.a. comparison rate*)
  • Three-year fixed for loans with an LVR of 90% has been cut by 10 basis points to 2.99% p.a. (3.25% p.a. comparison rate*)
  • Four-year fixed for loans with an LVR of 90% has been cut by 10 basis points to 3.19% p.a. (3.29% p.a. comparison rate*)
  • Five-year fixed for loans with an LVR of 90% has been cut by 10 basis points to 3.19% p.a. (3.28% comparison rate*)

Disclaimers

The entire market was not considered in selecting the above products. Rather, a cut-down portion of the market has been considered which includes retail products from at least the big four banks, the top 10 customer-owned institutions and Australia’s larger non-banks:

  • The big four banks are: ANZ, CBA, NAB and Westpac
  • The top 10 customer-owned Institutions are the ten largest mutual banks, credit unions and building societies in Australia, ranked by assets under management in 2018. They are (in descending order): Credit Union Australia, Newcastle Permanent, Heritage Bank, Peoples’ Choice Credit Union, Teachers Mutual Bank, Greater Bank, IMB Bank, Beyond Bank, Bank Australia and P&N Bank.
  • The larger non-bank lenders are those who (in 2019) has more than $9 billion in Australian funded loans and advances. These groups are: Resimac, Pepper, Liberty and Firstmac.

Some providers’ products may not be available in all states.

In the interests of full disclosure, Savings.com.au and loans.com.au are part of the Firstmac Group. To read about how Savings.com.au manages potential conflicts of interest, along with how we get paid, please click through onto the web site links.

*Comparison rate includes both the interest rate and the fees and charges relating to a loan, combined into a single percentage figure. The interest rate per annum is based on a loan credit of $150,000 and a loan term of 25 years.

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Emma Duffy
Emma Duffy joined Savings.com.au as a Finance Journalist in 2019 after spending a year as the editor of The Real Estate Conversation. She's most passionate about improving the financial literacy of millennials by writing about complex financial topics in a way that's easy for the average Joe (or Jill) to understand.
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