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Most notable of which were three of the big four banks - CommBank, Westpac and NAB - but borrowers must be willing to fix their home loan for four years.
- CommBank: 'Wealth Package' for owner occupiers fixed for four years paying principal and interest cut by 100bps to 1.99% p.a. (comparison rate TBC*). Rate effective from 11 November.
- Westpac: 'Premier Advantage Package' for owner occupiers paying principal and interest cut by 80bps to 1.99% p.a. (3.29% comparison rate*). Rate effective from 9 November.
- NAB: 'Choice Package' for owner occupiers fixed for four years paying principal and interest cut by 81bps to 1.98% p.a. (comparison rate TBC*). Rate effective 6 November.
Note, these are packaged home loans, meaning you can expect the comparison rate to be in the 3.00% p.a. range, but watch this space.
Buying a home or looking to refinance? The table below features home loans with some of the lowest variable interest rates on the market for owner occupiers.
| Lender | Home Loan | Interest Rate | Comparison Rate* | Monthly Repayment | Repayment type | Rate Type | Offset | Redraw | Ongoing Fees | Upfront Fees | Max LVR | Lump Sum Repayment | Extra Repayments | Split Loan Option | Tags | Features | Link | Compare | Promoted Product | Disclosure |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
5.94% p.a. | 5.98% p.a. | $2,978 | Principal & Interest | Variable | $0 | $530 | 90% |
| Promoted | Disclosure | ||||||||||
5.89% p.a. | 5.80% p.a. | $2,962 | Principal & Interest | Variable | $0 | $0 | 80% |
| Promoted | Disclosure | ||||||||||
5.99% p.a. | 6.02% p.a. | $2,995 | Principal & Interest | Fixed | $0 | $0 | 60% |
| Promoted | Disclosure | ||||||||||
5.93% p.a. | 5.93% p.a. | $2,975 | Principal & Interest | Variable | $0 | $395 | 70% | Disclosure |
A number of other smaller and challenger lenders also introduced or added some sub-2% home loans quickly after the Reserve Bank announced its decision.
Suncorp
Suncorp introduced its first sub-2% home loan, taking effect from 19 November.
It's a two-year fixed loan with a 1.89% p.a. advertised interest rate.
The comparison rate and the finer details are yet to be confirmed.
HSBC
HSBC also introduced a sub-2% home loan for owner occupiers willing to fix for two years.
Paying principal & interest, the home loan is packaged, and has a rate of 1.88% p.a. (2.98% p.a. comparison rate*), and is available from 19 November.
Reduce Home Loans
Reduce was one of the few lenders to make cuts to variable rates.
- Rate Cutter Variable 60% P&I: 12 basis point cut to 1.77% p.a. (1.83% p.a. comparison rate*)
- Super Saver Variable 80% P&I: 20 basis point cut to 1.99% p.a. (2.05% p.a. comparison rate*)
UBank
Effective 13 November, UBank is cutting its three-year fixed range by 19 basis points down to 1.95% p.a. (2.36% p.a. comparison rate*).
It's for owner occupiers paying P&I, and there's no usual 'rate-lock' fee of $395 if borrowers settle on or before 31 March 2021.
The 2.36% p.a. comparison rate applies from 13 to 29 November, at which point it will revert to 2.25% p.a. when the variable rate changes take effect.
Homestar Finance
Homestar introduced a new 'Star Gold' home loan for owner occupiers paying P&I with a maximum of 60% LVR e.g. for those refinancing or with large deposits.
The rate is 1.79% p.a. (1.84% p.a. comparison rate*).
Pacific Mortgage Group
Pacific Mortgage Group was another lender that introduced a sub-2% home loan for borrowers with larger deposits or for those refinancing.
It cut its variable home loan paying P&I with a maximum LVR of 60% by 10 basis points down to 1.89% p.a. (1.89% p.a. comparison rate*).
Freedom Lend
Freedom Lend cut its 'Freedom Variable' home loan for owner occupiers paying P&I with a maximum LVR of 70%.
The rate was cut by 20 basis points down to 1.97% p.a. (1.97% p.a. comparison rate*).