Loans.com.au offers 4.75% limited-time variable rate offer after passing on full rate cut

Online mortgage lender loans.com.au is offering a variable home loan rate for new dwelling purchases of 4.75% after passing on the full RBA rate cut. 

The product is called a ‘Blackboard special” home loan, has a comparison rate of 4.77%, and is only available until May 20. 

Loans.com.au, the online arm of wholesale lender FirstMac, claims the 4.75% rate matches home loan rates in 1957. 

Loans.com.au is also offering a 4.87% refinancing rate (4.89% comparison rate) under its Dream Loan Express offer. 

Both products require a minimum 20% deposit.

It has also reduced its three-year fixed rate of 4.99% (4.91% comparison rate). 

Loans.com.au managing director Marie Mortimer said the new rates should make people consider whether they were paying too much for their home loans. 

“We have reduced home loan lending rates to the same levels as Australia in the late 1950s,” she said. 

She says many competitors had previously claimed to have broken the 5% barrier, only to be pushed back over 5% after comparison rates.

Comparison rates factor in fees and other costs into the home loan rate.

Larry Schlesinger

Larry Schlesinger

Larry Schlesinger was a property writer at Property Observer

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