The four major banks lowest fixed and variable mortgage offerings ahead of August 6 RBA cash rate decision

The four major banks are currently writing around 90% of new mortgages

Three out of the four major banks – NAB, Commonwealth Bank and Westpac - are tipping the RBA to cut the cash rate to 2.5% when its board meets in just over a week (August 6).

ANZ expects the RBA to hold fire until the final quarter of the year.

Currently there is not much difference between the major banks when looking at their standard variable rates, but most customers will be offered between 50 and 85 basis points off that rate, depending on factors including how much they borrow, size of their deposit and their credit-worthiness.

These are the lowest advertised variable and fixed mortgage rates on the websites of the major banks as of July 22:

Standard variable rate offerings:

Provider

Rate

Comparison rate*

NAB

6.13%

6.22%

ANZ

6.13%

6.23%

CBA

6.15%

6.29%

Westpac

6.26%

6.39%

Lowest discount variable rate offerings

Provider

Rate

Maximum advertised discount

Comparison rate*

NAB

5.28%

85 basis points

6.22%

CBA

5.35%

80 basis points

6.29%

ANZ

5.43%

70 basis points

6.23%

Westpac

5.56%

70 basis points

6.39%

Lowest one-year fixed-rate package offerings

Provider

Rate

Comparison rate*

NAB

4.79%

5.83%

CBA

4.79%

5.93%

ANZ

4.85%

6.07%

Westpac

5.24%

6.31%

Lowest three-year fixed-rate package offerings

Provider

Rate

Comparison rate*

NAB

4.99%

5.75%

CBA

4.99%

5.84%

Westpac

4.99%

6.09%

ANZ

5.19%

5.98%


*A comparison rate includes both the interest rate and the fees and charges relating to a loan, combined into a single percentage figure. All comparison rates recorded here are calculated on the basis of secured credit of $150,000 over a 25 year term. Different amounts and terms will result in different comparison rates.

Larry Schlesinger

Larry Schlesinger

Larry Schlesinger was a property writer at Property Observer

Comments

Be the first one to comment on this article
What would you like to say about this project?