In an attempt to keep up with rival lenders, ANZ repriced its fixed-rate home-loan offerings, cutting interest rates by up to 60 basis points.
ANZ announced rate cuts across its packaged and non-packaged home loans for owner-occupiers and investors who wish to pay either on a principal-and-interest (P&I) or interest-only (IO) basis.
The biggest cut was with its three-year fixed-rate IO owner-occupier home loan, which now bears an interest rate of 3.99%, a 60-basis-point reduction from the previous rate of 4.59%. Borrowers who are taking the similar loan product but would like to pay on P&I basis would get a reduced rate of 3.69%.
The table below shows the latest changes to ANZ fixed-rate home loans:
|
ANZ’s owner-occupier and investor fixed rates |
||||||
|
|
Two-year fixed term |
Three-year fixed term |
Five-year fixed term |
|||
|
OLD |
NEW |
OLD |
NEW |
OLD |
NEW |
|
|
Owner-Occupier (P&I) |
n/a |
3.75% |
3.99% |
3.69% |
4.19% |
3.99% |
|
Owner- Occupier (IO) |
4.49% |
4.29% |
4.59% |
3.99% |
5.09% |
4.50% |
|
Investor (P&I) |
3.95% |
3.89% |
4.20% |
3.99% |
4.45% |
4.19% |
|
Investor (IO) |
n/a |
4.18% |
4.49% |
4.19% |
4.99% |
4.95% |
ANZ jumped aboard the rate-cut bandwagon despite the decision of the Reserve Bank of Australia to maintain the official cash rate at 1.5% in its latest monetary policy decision this month.
ANZ now offers some of the cheapest owner-occupier home-loan offerings among its rivals. The table below compares the different fixed-rate home-loan offerings of each big bank:
|
Big Four’s owner-occupier fixed rates |
|||
|
|
Two-year fixed term |
Three-year fixed term |
Five-year fixed term |
|
ANZ |
3.75% |
3.69% |
3.99% |
|
CBA |
3.79% |
3.79% |
4.09% |
|
NAB |
3.69% |
3.79% |
4.09% |
|
Westpac |
3.79% |
3.69% |
4.09% |
Collections: Mortgage News
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