The cuts were wide-ranging and varied, including a 30 basis point cut for borrowers with larger deposits, in an otherwise quiet week for rate changes.
The home loan with the biggest rate cut was the basic variable product for owner occupiers, paying interest-only, with a 60% loan-to-value ratio.
It was cut by 30 basis points down to 2.59% p.a. (2.59% p.a. comparison rate*).
All up there were about 30 individual rate changes, but a handful of other cuts included:
- Basic Variable Owner Occ P&I 60%: 15 basis point cut to 2.14% p.a. (2.14% p.a. comparison rate*)
- Basic Variable Owner Occ P&I 80%: 15 basis point cut to 2.24% p.a. (2.24% p.a. comparison rate*)
- Basic Variable Inv P&I 60%: 10 basis point cut to 2.29% p.a. (2.29% p.a. comparison rate*)
- Basic Variable Inv P&I 80%: 10 basis point cut to 2.49% p.a. (2.49% p.a. comparison rate*)
A noteworthy feature of these home loans is that the comparison rates are the same as the advertised rates - this implies there are little to no extra fees or other costs associated with the home loan.
Elsewhere, it was a pretty quiet week on the home loan front, particularly for rate cuts.
BankVic introduced a new 2 year introductory variable home loan for owner occupiers.
The rate is 1.95% p.a. (2.92% p.a. comparison rate*).
Newcastle Permanent slashed its 'Real Deal' home loan as a special offer for owner occupiers with 80% LVR paying P&I.
The rate is 10 basis points lower, now 2.49% p.a. (2.53% p.a. comparison rate*).
Meanwhile, Heritage Bank increased rates on a handful of products by 10 basis points. Some included:
- Residential Fixed 3 Years: Now 2.29% p.a. (4.07% p.a. comparison rate*)
- Residential Fixed 5 Years: Now 2.69% p.a. (3.91% p.a. comparison rate*)
- Investment Fixed 3 Years: Now 2.49% p.a. (4.51% p.a. comparison rate*)
- Investment Fixed 5 Years: Now 2.99% p.a. (4.35% p.a. comparison rate*)
Heritage's fixed home loans are for borrowers with up to 90% LVR.
The reason for the gulf between the advertised rate and comparison rate is because of a $600 application fee, and an $8 per month loan service fee, while the revert rate may also factor.
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Buying a home or looking to refinance? The table below features home loans with some of the lowest interest rates on the market for owner occupiers.
Lender | |||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Variable | More details | ||||||||||||
| FEATUREDUNLIMITED REDRAWSSPECIAL OFFER | Smart Booster Home Loan Discounted Variable - 2yr (LVR < 80%)
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Smart Booster Home Loan Discounted Variable - 2yr (LVR < 80%)
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| Variable | More details | ||||||||||||
| FEATUREDAN EASY DIGITAL APPLICATION | Neat Variable Home Loan (Principal and Interest) (LVR < 60%)
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Neat Variable Home Loan (Principal and Interest) (LVR < 60%)
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| Variable | More details | ||||||||||||
| FEATURED100% FULL OFFSET ACCOUNTNO APPLICATION FEE OR ONGOING FEES | Low Rate Home Loan - Prime (Principal and Interest) (Owner Occupied) (LVR < 60%)
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Low Rate Home Loan - Prime (Principal and Interest) (Owner Occupied) (LVR < 60%)
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| Variable | More details | ||||||||||||
| NSW/VIC/SA METRO & INNER REGIONAL AREAS$5000 CASHBACK. T&Cs APPLY. | Variable Home Loan (Principal and Interest)
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Variable Home Loan (Principal and Interest)
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- 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%
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. All products will list the LVR with the product and rate which are clearly published on the Product Provider’s web site. 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 May 29, 2022. View disclaimer.
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