The decision from NAB comes after Australia’s largest bank lifted fixed home loan rates by 140 basis points on Thursday.

The increase from NAB means some fixed rates across their portfolio now begin with a 6, with the figure of 7% looming large in wake of future rate increases.

AMP Chief Economist Shane Oliver said rising fixed rates along with a host of other factors are having a cooling effect on house prices.

“We expect national average property prices to have a top to bottom fall of 15 to 20% over the next 18 months reflecting the combination of poor affordability, rising fixed mortgage rates and further rate hikes from the RBA pushing up variable rates…” Mr Oliver said.

Key changes to NAB’s fixed rate home loan portfolio for new owner occupiers with 95% loan-to-value ratio include:

  • Tailored Fixed P&I 1 Year: 110 basis point increase to 4.79% p.a. (5.39% p.a. comparison rate*)
  • Tailored Fixed P&I 3 Years: 80 basis point increase to 5.89% p.a. (5.57% p.a. comparison rate*)
  • Tailored Fixed IO 1 Year: 30 basis point increase to 5.29% p.a. (5.58% p.a. comparison rate*)
  • Tailored Fixed IO 3 Years: 75 basis point increase to 6.19% p.a. (5.72% p.a. comparison rate*)
  • Choice Package Tailored Fixed - P&I 2 Years 150k+: 100 basis point increase to 5.59% p.a. (5.23% p.a. comparison rate*)
  • Choice Package Tailored Fixed - P&I 4 Years 150k+: 80 basis point increase to 6.19% p.a. (5.60% p.a. comparison rate*)

For investors with 90% loan-to-value ratio, key changes include:

  • Investment Tailored Fixed P&I 1 Year: 90 basis point increase to 5.09% p.a. (5.92% p.a. comparison rate*)
  • Investment Tailored Fixed P&I 3 Years: 80 basis point increase to 6.09% p.a. (6.06% p.a. comparison rate*)
  • Investment Tailored Fixed IO 1 Year: 90 basis point increase to 5.19% p.a. (6.02% p.a. comparison rate*)
  • Investment Tailored Fixed IO 3 Years: 70 basis point increase to 6.09% p.a. (6.09% p.a. comparison rate*)
  • Choice Package Investment Tailored Fixed - P&I 2 Years 150k+: 65 basis point increase to 5.49% p.a. (5.69% p.a. comparison rate*)
  • Choice Package Investment Tailored Fixed - P&I 4 Years 150k+: 70 basis point increase to 6.19% p.a. (5.98% p.a. comparison rate*)

Advertisement

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
5.79% p.a.
6.67% p.a.
$2,344
Principal & Interest
Fixed
$395
$0
95%
5.79% p.a.
6.37% p.a.
$2,344
Principal & Interest
Fixed
$390
$0
60%
5.69% p.a.
6.37% p.a.
$2,319
Principal & Interest
Fixed
$350
$0
90%
5.80% p.a.
5.91% p.a.
$2,347
Principal & Interest
Fixed
$0
$0
90%
5.84% p.a.
6.69% p.a.
$2,357
Principal & Interest
Fixed
$0
$900
70%
5.94% p.a.
7.92% p.a.
$2,383
Principal & Interest
Fixed
$0
$800
70%
5.94% p.a.
7.15% p.a.
$2,383
Principal & Interest
Fixed
$0
$180
95%
5.69% p.a.
6.36% p.a.
$2,319
Principal & Interest
Fixed
$150
$350
70%
5.99% p.a.
6.12% p.a.
$2,396
Principal & Interest
Fixed
$0
$350
70%
  • $0 application Fee
  • Estimate your borrowing power in as little as one minute
  • Safeguard against possible interest rate rises and fix at a great rate now
5.99% p.a.
7.76% p.a.
$2,396
Principal & Interest
Fixed
$395
$0
80%
6.04% p.a.
6.28% p.a.
$2,408
Principal & Interest
Fixed
$0
$0
80%
6.09% p.a.
6.19% p.a.
$2,421
Principal & Interest
Fixed
$0
$350
80%
5.99% p.a.
6.32% p.a.
$2,396
Principal & Interest
Fixed
$6
$799
80%
6.15% p.a.
7.96% p.a.
$2,437
Principal & Interest
Fixed
$8
$600
60%
6.19% p.a.
6.17% p.a.
$2,447
Principal & Interest
Fixed
$0
$798
80%
6.14% p.a.
7.34% p.a.
$2,434
Principal & Interest
Fixed
$0
$0
60%
6.59% p.a.
7.27% p.a.
$2,552
Principal & Interest
Fixed
$0
$160
90%
6.59% p.a.
6.83% p.a.
$2,552
Principal & Interest
Fixed
$8
$0
70%
6.59% p.a.
7.68% p.a.
$2,552
Principal & Interest
Fixed
$395
$0
70%
6.59% p.a.
6.43% p.a.
$2,197
Interest-only
Fixed
$0
$300
95%
More home loans
  • Immediate cashback upon settlement
  • $2,000 for loans up to $700,000
  • $4,000 for loans over $700,000

More details
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 Pavel Danilyuk via Pexels



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!

Download Free
By subscribing you agree to our privacy policy