The fixed-rate loan is for owner occupiers making principal and interest (P&I) repayments with a loan-to-value ratio (LVR) up to 90%.

The maximum loan amount is $1 million. 

The brand's 70% LVR variable-rate home loan has also remained at 4.85% p.a. (4.87% p.a. comparison rate*).

Loans.com.au Managing Director Marie Mortimer, pictured below, said families are facing a cost-of-living crunch with rising interest rates, steep electricity bills, and growing supermarket costs.

“Many people are anxious about how they would cope with further RBA rate rises on top of the nine we’ve had already,” Ms Mortimer told Savings.com.au.

“That’s why we’ve reduced the rate on our five-year fixed rate home loan, so borrowers can achieve peace of mind in this challenging environment.

“Our five-year fixed rate home loan is aimed squarely at owner-occupiers, who want to lock in a rate they can handle for five years, so they can move forward with confidence.”

MarieMortimerLoans.jpg

Are more rate rises on the cards?

The RBA returned with a hawkish tone in the February Board meeting and warned of more rate rises in the coming months, suggesting some homeowners may be tempted to fix their rate to avoid additional increases to their repayments. 

Morgans Chief Economist Michael Knox said the RBA’s tightening was far from complete, bumping his cash rate forecast to 4.85% by August.

This suggests another possible 150 basis points of hikes are yet to come which would see the average variable owner occupier home loan jump to 6.48% p.a.

Last week, the RBA forecast more than 800,000 Australian households are likely to face further financial pressure as many shift to more expensive variable rates in 2023.

In the interests of full disclosure, Savings.com.au is an associate of loans.com.au and Firstmac.

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Buying a home or looking to refinance? The table below features home loans with five-year fixed interest rates for owner occupiers.

Update resultsUpdate
Filters
LenderHome LoanInterest Rate Comparison Rate* Monthly Repayment Repayment type Rate Type Offset Redraw Ongoing Fees Upfront Fees LVR Lump Sum Repayment Additional Repayments Split Loan Option TagsFeaturesLinkCompare
5.80% p.a.
5.89% p.a.
$2,347
Principal & Interest
Fixed
$0
$0
90%
5.94% p.a.
7.02% p.a.
$2,383
Principal & Interest
Fixed
$0
$180
95%
6.09% p.a.
6.32% p.a.
$2,421
Principal & Interest
Fixed
$6
$799
80%
5.79% p.a.
6.33% p.a.
$2,344
Principal & Interest
Fixed
$390
$0
60%
6.29% p.a.
6.23% p.a.
$2,473
Principal & Interest
Fixed
$0
$798
80%
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 . View disclaimer.

Image by Persnickety Prints via Unsplash



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