Today’s update

 

Australian Home Loan Rate Cuts • NAB-owned ubank and CommBank-backed Bankwest have lowered advertised home loan rates by up to 73 basis points. • ING and Macquarie also joined in, slashing variable rates and unveiling a new market-leading fixed rate. • The rate cuts come as new data from the ABS shows Australia’s economy has slowed to a crawl, suggesting the first downwards move is not too far away. NAB’s ubank slashes rates by up to 73 basis points: • Ubank’s Flex range, which comes with an offset account, has seen significant changes to variable interest rates. • Interest rate changes for owner-occupiers making principal and interest repayments include: – 6.09% p.a. for one year -35bp for two years -5.54% for three years -4.55% for four years -6.03% for five years ING’s Bankwest lowers advertised fixed rates by up to 50 basis points: • Bankwest’s Western Australia-based brand dropped many of its advertised fixed home loan rates by as much as half a percentage point to as low as 5.89% p.a. • The lowest rates in the bank’s fixed home loan lineup currently belong to its Complete Home Loan Package. Macquarie unveils fixed home loan rates as low as 5.59% p.a.: • The not-quite-big-four bank has dropped its offers to sit among the lowest on the market, having been bested by HSBC last week.

In recent developments in the Australian home loan market, several major banks have reduced their advertised interest rates. Notably, NAB’s ubank and CommBank’s Bankwest have made significant cuts, with rates dropping by up to 73 basis points.

Additionally, ING and Macquarie have joined in with their own rate reductions. ING has lowered its variable rates, while Macquarie has introduced a new competitive fixed rate.

Recent Rate Changes

In recent weeks, the big banks have not hesitated to adjust their rates. NAB reduced its rates in July, followed by Macquarie in August. CommBank also made cuts to variable rates a couple of weeks ago.

This flurry of rate adjustments comes as new data from the Australian Bureau of Statistics (ABS) reveals that the Australian economy grew by just 0.2% in the June quarter, signaling a slowdown. This economic data might influence the Reserve Bank of Australia (RBA) to consider lowering the cash rate soon, although no immediate cut is expected.

Current Interest Rates from Major Lenders

NAB’s ubank Cuts Rates by Up to 73 Basis Points

NAB’s digital bank, ubank, has significantly lowered its variable interest rates for home loans. The changes apply to ubank’s Flex product range, which includes an offset account but carries higher fees compared to its basic Neat product range.

Here are the new rates for owner-occupiers making principal and interest repayments:

• Flex Variable <60% LVR: Reduced by 5 basis points to 6.09% p.a. (Comparison rate: 6.33% p.a.)
• Flex Variable 60-80% LVR: Reduced by 5 basis points to 6.14% p.a. (Comparison rate: 6.38% p.a.)
• Flex Variable 80-85% LVR: Reduced by 10 basis points to 6.64% p.a. (Comparison rate: 6.88% p.a.)

For investors, ubank has also adjusted its rates:

• Investment Flex Variable P&I <60% LVR: Reduced by 5 basis points to 6.24% p.a. (Comparison rate: 6.48% p.a.)
• Investment Flex Variable P&I 60-80% LVR: Reduced by 5 basis points to 6.29% p.a. (Comparison rate: 6.53% p.a.)
• Investment Flex Variable IO <60% LVR: Reduced by 10 basis points to 6.54% p.a. (Comparison rate: 6.59% p.a.)
• Investment Flex Variable IO 60-80% LVR: Reduced by 5 basis points to 6.64% p.a. (Comparison rate: 6.66% p.a.)

ING Reduces Variable and Fixed Rates by Up to 60 Basis Points

ING has also joined the rate reduction trend. It has cut variable rates for loans with LVRs between 80% and 90%. Now, borrowers with ING’s Mortgage Simplifier or Orange Advantage home loans can access rates as low as 6.34% p.a., which is 5 basis points lower than before (Comparison rates: 6.37% p.a. and 6.62% p.a., respectively).

For fixed rate home loans, ING has made the following adjustments for owner-occupiers with LVRs of 80% or less:

• One Year Fixed: Reduced by 30 basis points to 6.09% p.a. (Comparison rate: 6.16% p.a.)
• Two Years Fixed: Reduced by 35 basis points to 5.84% p.a. (Comparison rate: 6.11% p.a.)
• Three Years Fixed: Reduced by 30 basis points to 5.79% p.a. (Comparison rate: 6.07% p.a.)
• Four Years Fixed: Reduced by 45 basis points to 5.84% p.a. (Comparison rate: 6.06% p.a.)
• Five Years Fixed: Reduced by 45 basis points to 5.84% p.a. (Comparison rate: 6.03% p.a.)

Bankwest Cuts Fixed Rates by Up to 50 Basis Points

CommBank’s Bankwest has also adjusted its fixed home loan rates, with reductions of up to 50 basis points. The lowest rates now start at 5.89% p.a. for certain fixed terms. This move is part of Bankwest’s transition to a digital-only bank by the end of 2024, which will see many of its branches closed or converted into CommBank outlets.

Here are the new rates for owner-occupiers with LVRs of 80% or less who choose the Complete Home Loan Package:

• One Year Fixed: Reduced by 40 basis points to 6.19% p.a. (Comparison rate: 7.28% p.a.)
• Two Years Fixed: Reduced by 50 basis points to 5.89% p.a. (Comparison rate: 7.14% p.a.)
• Three Years Fixed: Reduced by 40 basis points to 5.89% p.a. (Comparison rate: 7.05% p.a.)
• Four Years Fixed: Reduced by 40 basis points to 5.99% p.a. (Comparison rate: 7.00% p.a.)
• Five Years Fixed: Reduced by 50 basis points to 5.99% p.a. (Comparison rate: 6.92% p.a.)

Macquarie Introduces Fixed Rates as Low as 5.59% p.a.

Macquarie has also made headlines with its latest rate cuts, lowering its fixed home loan rates to some of the lowest levels available. The bank’s new rates are competitive, having recently surpassed HSBC’s offers.

The updated fixed rates for owner-occupiers making principal and interest repayments are:

• One Year Fixed ≤70% LVR: Reduced by 10 basis points to 5.79% p.a. (Comparison rate: 6.13% p.a.)
• One Year Fixed ≤80% LVR: Reduced by 10 basis points to 5.89% p.a. (Comparison rate: 6.18% p.a.)
• One Year Fixed ≤95% LVR: Reduced by 10 basis points to 6.15% p.a. (Comparison rate: 7.10% p.a.)
• Two Years Fixed ≤70% LVR: Reduced by 20 basis points to 5.59% p.a. (Comparison rate: 6.06% p.a.)
• Two Years Fixed ≤80% LVR: Reduced by 20 basis points to 5.69% p.a. (Comparison rate: 6.12% p.a.)
• Two Years Fixed ≤95% LVR: Reduced by 20 basis points to 6.09% p.a. (Comparison rate: 6.99% p.a.)
• Three Years Fixed ≤70% LVR: Reduced by 20 basis points to 5.59% p.a. (Comparison rate: 6.01% p.a.)
• Three Years Fixed ≤80% LVR: Reduced by 20 basis points to 5.69% p.a. (Comparison rate: 6.07% p.a.)
• Three Years Fixed ≤95% LVR: Reduced by 20 basis points to 6.09% p.a. (Comparison rate: 6.89% p.a.)

Other Notable Rate Movements

The rate reductions extend beyond the major banks. Other lenders have also adjusted their rates:

• Bank of Queensland’s ME Bank: Reduced variable interest rates by up to 1.11%, especially impacting borrowers with deposits between 10% and 20%, with investor rates seeing the most significant cuts.
• Heritage Bank & People’s Choice: Both have cut fixed rates by up to 10 basis points. The two banks, which merged last year, are yet to trade under their new name—People First Bank.
• Teachers Mutual Bank Group: Includes Teachers Mutual Bank, Firefighters Mutual Bank, Health Professionals Bank, and Unibank. The group has reduced rates by up to 20 basis points, with the Your Way Plus home loan now offering variable rates from 6.24% p.a.

Get Expert Advice on Your Home Loan Options

With so many changes in the home loan market, finding the best rate for your needs can be overwhelming. At ASK Financials, we are here to help you navigate these options and secure the most competitive rates available.

Contact us today to discuss your home loan options with our experts and ensure you get the best deal for your financial situation. Don’t miss out on potential savings—let us help you make an informed decision!

For more information or to schedule a consultation, visit our website or give us a call. Our team is ready to assist you in achieving your home loan goals.

Breaking News: Home Loan Rates Slashed! 

Exciting Update: Major banks have just cut their home loan rates! It’s a golden opportunity for buyers. Swipe to discover the new lowest rates in the market! 

NAB’s ubank: Up to 73 Basis Points Off! 

New Rates Alert: NAB-owned ubank has slashed rates by up to 73 basis points! Owner-occupiers, check out these new rates. Don’t miss your chance for savings!

ING Joins the Rate Cut Frenzy! 

Save More: ING has reduced both variable and fixed rates. Get competitive rates starting as low as 5.84% p.a. for fixed terms! See how much you can save!

Bankwest Cuts Fixed Rates by Up to 50 Basis Points! 

Lowest Fixed Rates: Bankwest has dropped its fixed home loan rates by up to 50 basis points. Check out their new rates and lock in your savings today!

Macquarie’s New Record-Low Fixed Rates! 

Top Offer: Macquarie is now offering fixed home loan rates as low as 5.59% p.a. This is one of the best deals in the market. Swipe to see more details!

Rate Trends: Why Now is the Time to Act! 

Economic Shift: With Australia’s economy slowing, banks are lowering rates. This trend might continue, so act fast to secure the best rates while they last!

Need Help Navigating the Market? Contact ASK Financial! 

Expert Advice: Overwhelmed by the changes? Let our experts help you find the best rate for your needs. Contact ASK Financial today.

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