The cheapest fixed and variable mortgage offerings as August rate cut seems more likely

Expectations of a rate cut will have many borrowers reviewing their current home loan while first-home buyers will be sourcing the best deals.

Yesterday, NAB revised its interest rate forecasts, tipping the RBA to cut the cash rate to 2.5% on August 6.

The bank had previously forecast a November rate cut, but brought this forward three months following its end of June monthly business survey showing conditions slipping to a reading of minus 8 in June - well below the long-term average of five and the lowest level since May 2009.

Variable rates can be sourced from as low as 4.69% from non-bank lender Smart Finance with the Greater Building Society is offering a one-year fixed rate of 4.54%.

These are the lowest advertised variable and fixed mortgage rates based on listings on mortgage comparison websites ratecity.com.auMozo.com.au,  infochoice.com.au and finder.com.au as of July 11:

Where the headline rate is the same, the lender with the lowest comparison rate gets preference.

Lowest variable rate offerings:

Provider

Loan name

Rate

Comparison rate*

Smart finance

Horizon Loan

4.69%

5.02%

State Custodians

Peak Performance Offset

4.74%

5.11%

Loans.com.au

Blackboard Special – purchases only

4.75%

4.77%

Lowest one-year fixed-rate offerings

Provider

Loan name

Rate

Comparison rate*

Greater Building Society

Ultimate Home Loan Package

4.54%

5.49%

Newcastle Permanent

Fixed Rate

4.59%

5.71%

iMortgage.com.au

Fusion 75

4.74%

5.07%

Lowest three-year fixed-rate offerings

Provider

Loan name

Rate

Comparison rate*

HomeloanHQ

Rate Lock Home Loan

4.69%

5.19%

iMortgage.com.au

iMortgage Fusion ProPack 75

4.69%

5.23%

UBank

UHomeLoan for refinancing

4.73%

4.97%

*A comparison rate includes both the interest rate and the fees and charges relating to a loan, combined into a single percentage figure.

homeloancomparison

Larry Schlesinger

Larry Schlesinger

Larry Schlesinger was a property writer at Property Observer

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