CommBank, ANZ increase fixed home loan rates

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on June 03, 2022 Fact Checked
CommBank, ANZ increase fixed home loan rates

Big-four banks CommBank and ANZ continue to send fixed home loan rates upward, increasing this week by up to 80 basis points.

A decline in owner occupier home loan lending throughout April has not stopped two of Australia's largest banks from pushing go on more fixed home loan rate increases to kick start the month.

This is ahead of the RBA's cash rate meeting on Tuesday, with some pundits tipping a cash rate rise by up to 40 basis points, which would bring it to 0.75%.

On Friday, CommBank increased fixed home loan rates for owner occupiers and investors by up to 80 basis points. 

Key increases across CommBank's home loan portfolio for owner occupiers include:

  • Residential Fixed P&I 3 Years 95%: 80 basis point increase to 5.14% p.a. (5.04% p.a. comparison rate*)
  • Residential Fixed IO 3 Years 95%: 60 basis point increase to 5.59% p.a. (5.15% p.a. comparison rate*)
  • Residential Fixed P&I 5 Years 95%: 80 basis point increase to 5.44% p.a. (5.22% p.a. comparison rate*)
  • Residential Fixed IO 5 Years 95%: 60 basis point increase to 5.89% p.a. (5.38% p.a. comparison rate*)

Key increases across CommBank's home loan portfolio for investors include:

  • Wealth Package Investment Fixed P&I 3 Years 150k+ 95%: 80 basis point increase to 5.19% p.a. (5.22% p.a. comparison rate*)
  • Wealth Package Investment Fixed IO 3 Years 150k+ 95%: 45 basis point increase to 5.29% p.a. (5.22% p.a. comparison rate*)

ANZ

ANZ increased fixed home loan rates for owner occupiers and investors by up to 70 basis points. 

This comes a week after decreasing its variable loan offering for owner occupiers, yet increasing the same for investors out of lockstep with the RBA.

Key increases across ANZ's home loan portfolio for owner occupiers include:

  • Residential Fixed 3 Years 80-90%: 60 basis point increase to 5.04% p.a. (3.86% p.a. comparison rate*)
  • Residential Fixed IO 3 Years 80-90%: 70 basis point increase to 5.44% p.a. (3.95% p.a. comparison rate*)

Key increases across ANZ's home loan portfolio for investors include:

  • Investment Fixed 2 Years 80-90%: 60 basis point increase to 4.84% p.a. (4.19% p.a. comparison rate*)
  • Investment Fixed IO 2 Years 80-90%: 70 basis point increase to 4.94% p.a. (4.20% p.a. comparison rate*)

In November 2020 and through much of 2021, many of the major banks' three and four year fixed rates for owner occupiers were under the 2% threshold.


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Disclaimers

The entire market was not considered in selecting the above products. Rather, a cut-down portion of the market has been considered. Some providers' products may not be available in all states. To be considered, the product and rate must be clearly published on the product provider's web site. Savings.com.au, yourmortgage.com.au, yourinvestmentpropertymag.com.au, and Performance Drive are part of the Savings Media group. In the interests of full disclosure, the Savings Media Group are associated with the Firstmac Group. To read about how Savings Media Group manages potential conflicts of interest, along with how we get paid, please visit the web site links at the bottom of this page.

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Jacob Cocciolone joined the Savings team in 2021 as a Finance Journalist. Driven by a passion for keeping Australians up to date with the latest financial news and trends, his areas of interest include financial technology, investing, property and motoring.

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