However, two other CommBank mortgage interest rates were hiked.

Commonwealth Bank home loan cuts 

The two-year Wealth Package home loan rate was cut by 20 basis points down to 1.94% p.a. (3.93% p.a. comparison rate*) for owner occupiers paying principal & interest (P&I).

The minimum eligible loan size is $150,000 and the maximum loan-to-value ratio (LVR) is 95%.

The 'Wealth Package' line of home loans has no upfront home loan establishment fees, monthly home loan service fees or annual credit card fees, with borrowers paying an annual package fee of $395 instead. 

Below is how CommBank's home loan compares to other lenders in the market across both fixed and variable terms for owner occupiers, keeping in mind the comparison rate.

Lender

VariableMore details
Online ExclusiveUp To $4K Cashback
  • Immediate cashback upon settlement
  • $2,000 for loans up to $700,000
  • $4,000 for loans over $700,000
Online ExclusiveUp To $4K Cashback

loans.com.au – Variable Basic Cashback Home Loan (Principal and Interest) (LVR < 70%)

  • Immediate cashback upon settlement
  • $2,000 for loans up to $700,000
  • $4,000 for loans over $700,000
VariableMore details
Refinance OnlyApply In Minutes
  • No application or ongoing fees. Annual rate discount
  • Unlimited redraws & additional repayments. LVR <80%
  • A low-rate variable home loan from a 100% online lender. Backed by the Commonwealth Bank.
Refinance OnlyApply In Minutes

Unloan – Variable Rate Home Loan – Refinance Only

  • No application or ongoing fees. Annual rate discount
  • Unlimited redraws & additional repayments. LVR <80%
  • A low-rate variable home loan from a 100% online lender. Backed by the Commonwealth Bank.
VariableMore details
Unlimited Redraws
  • No annual fees - None!
  • Get fast pre-approval
  • Unlimited additional repayments free of charge
  • Redraw freely - Access your additional payments when you need them
  • Home loan specialists available today
Unlimited Redraws

ubank – Neat Variable Home Loan (Principal and Interest) (LVR < 60%)

  • No annual fees - None!
  • Get fast pre-approval
  • Unlimited additional repayments free of charge
  • Redraw freely - Access your additional payments when you need them
  • Home loan specialists available today
VariableMore details
Unlimited RedrawsApply In Minutes
  • Low Deposit (<95% LVR) with No LMI required
  • Unlimited Redraw and additional repayments
  • No Application or ongoing fees
Unlimited RedrawsApply In Minutes

Sucasa – Ultra Low Rate (Variable) - <95% LVR - No LMI (New Purchases)

  • Low Deposit (<95% LVR) with No LMI required
  • Unlimited Redraw and additional repayments
  • No Application or ongoing fees
Important Information and Comparison Rate Warning

Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to be made on variables as selected and input by the user. Some products will be marked as promoted, featured or sponsored and may appear prominently in the tables regardless of their attributes. All products will list the LVR with the product and rate which are clearly published on the product provider’s website. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. *The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of February 28, 2024. View disclaimer.

Various other packaged and non-packaged CommBank home loans for owner occupiers were also cut by either 10 or 20 basis points.

Commonwealth Bank home loan increases

Notably, however, a couple of CommBank home loans were raised by 20 basis points, as seen below: 

  • Wealth Package OO Fixed P&I 4 Years: Up to 2.19% p.a. (3.73% p.a. comparison rate*)
  • OO Fixed P&I 4 Years: Up to 2.34% p.a. (3.96% p.a. comparison rate*)

The 4-year 'Wealth Package' rate hike is notable, because this was CommBank's first foray into the sub-2% home loan world following the Reserve Bank's 'Melbourne Cup cash rate cut' in November.

This rate hike for longer fixed-term loans follows on from last week when Adelaide Bank made similar changes.

There could be various explanations for this, with financial markets 'pricing in' a Reserve Bank rate hike earlier than initially anticipated, as well as a change to the Term Funding Facility taking effect from July.

Some pundits predict this will spell an end to 'record low' fixed home loan rates.

Photo by Maksym Kozlenko on Wikimedia Commons





Ready, Set, Buy!


Learn everything you need to know about buying property – from choosing the right property and home loan, to the purchasing process, tips to save money and more!

With bonus Q&A sheet and Crossword!

By subscribing you agree to our privacy policy