ANZ slashes special offer variable home loan rates

The bank has reduced the lowest variable rate it advertises (excluding its app-exclusive ANZ Plus Home Loan) by 15 basis points to 6.39% p.a. (6.39% p.a. comparison rate*). 

This rate includes a special offer discount and is available to eligible owner-occupiers with at least 40% deposit or equity in their property.

ANZ also remains the only big four bank currently offering a cashback deal to refinancers:

• $2,000 cashback for switching home loans worth $250,000 or more with a loan-to-value ratio (LVR) of 80% or less
• $3,000 support for eligible first-home buyers to help cover the costs of purchasing a property

The new rates advertised on the Simplicity Plus product for borrowers making principal and interest repayments are as follows:

How do ANZ's new variable rates compare to other big four banks'?

The latest variable rate changes from ANZ see its Simplicity Plus home loan among the most competitive available across the big four banks.

• CommBank offers the lowest basic variable home loan rate at 6.34% p.a. (6.72% p.a. comparison rate*) on its Standard Variable Rate mortgage, but this rate is for borrowers with its Wealth Package, requiring a $395 annual fee

See also: NAB slashes popular variable rates by up to 0.6%

For those seeking lower variable rates, both ANZ and CommBank offer self-service, app-based home loans:

• CommBank Digi Home Loan: 6.15% p.a. (6.28% p.a. comparison rate*) for eligible refinancers
• ANZ Plus Home Loan: 6.09% p.a. (6.10% p.a. comparison rate*) for eligible refinancers

More competitive rates are available elsewhere on the market, as the below table shows: 

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Loan purpose

Refinancing

Loan amount

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Lender	Home Loan	Interest Rate	Comparison Rate*	Monthly Repayment	Repayment type	Rate Type	Offset	Redraw	Ongoing Fees	Upfront Fees	Max LVR	Lump Sum Repayment	Additional Repayments	Split Loan Option	Tags	Features	Link	Compare	Promoted Product	Disclosure
loans.com.au	loans.com.au Variable Home Loan (LVR < 90%)	6.04% p.a.	6.06% p.a.	$3,011	Principal & Interest	Variable			$0	$530	90%				4.6 STAR CUSTOMER RATINGS	Available for purchase or refinance, min10% deposit needed to qualify. No application, ongoing monthly or annual fees. Dedicated loan specialist throughout the loan application.	More details	Compare	Promoted	Disclosure
Unloan	Unloan Variable Rate Home Loan LVR < 80%	5.99% p.a.	5.90% p.a.	$2,995	Principal & Interest	Variable			$0	$0	80%					A low-rate variable home loan from a 100% online lender. Backed by the Commonwealth Bank.	More details	Compare		Disclosure
Macquarie Bank	Macquarie Bank Basic Home Loan (Owner Occupier, Principal and Interest, max 60% LVR)	6.14% p.a.	6.16% p.a.	$3,043	Principal & Interest	Variable			$0	$350	60%						More details	Compare

ANZ continues to tip February cash rate cut

The big four are once again split on their forecasts for the first cash rate cut.

ANZ, along with CommBank, is still expecting the Reserve Bank of Australia (RBA) to cut in February, though both acknowledge that borrowers may be left waiting longer.

"We still see the Reserve Bank's first rate cut in February 2025,' ANZ head of Australian economics Adam Boyton said following the release of the RBA's November meeting minutes on Tuesday.

"The balance of the activity data had suggested the risks of a later start to the easing cycle were rising.

"The tone in the minutes today tempers that risk a little.'

In contrast, Westpac pushed back its forecast for the first rate cut to May in the wake of the minutes.

"An earlier start in February or March is still possible, but it is no longer more likely than a May start date," Westpac chief economist Luci Ellis said on Thursday.

Westpac is now in agreement with NAB, which delayed its prediction for the first cut last week.

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