Commonwealth Bank home loan rate changes - May
CommBank will lift standard variable rates across its home loan portfolio by 25 basis points following the decision by the RBA on Tuesday to lift the cash rate by 25 basis points.
CommBank's new standard variable reference rates will take effect on 20 May 2022.
CommBank's new rates are as follows:
- Owner Occupier Principal and Interest Standard Variable Rate home loans will increase to 4.80% p.a.
- Investor Principal and Interest Standard Variable Rate home loans will increase to 5.38% p.a.
- Owner Occupier Interest Only Standard Variable Rate home loans will increase to 5.29% p.a.
- Investor Interest Only Standard Variable Rate home loans will increase to 5.64% p.a.
Comparison rates will be revealed as the rate changes take effect.
CommBank economists had previously forecast the first rate increase to take place at the June RBA Board meeting following confirmation that wages have started to lift towards the RBA's goal rate of 3%.
ANZ home loan rate changes - May
Rewinding back a month ago following the RBA's April decision, ANZ Head of Australian Economics David Plank forewarned while signs pointed to June May should not be ruled out for a rate hike.
Now following the lead of CommBank, ANZ will also increase variable interest home loan rates in Australia by 25 basis points.
The increase to ANZ's variable home loan rate portfolio comes a week earlier than CBA, taking effect from 13 May 2022.
ANZ's new rates are as follows:
- Standard Variable Rate Owner Occupiers Principal and Interest home loans will increase to 4.64% p.a.
- Standard Variable Rate Owner Occupiers Interest Only home loans will increase to 5.19% p.a.
ANZ notes the 25 basis point hike will increase monthly repayments by $57 on an average home loan of $450,000 for an owner occupier paying principal and interest.
Again, comparison rates will be revealed as the rate changes take effect.
ANZ Group Executive Australia Retail Maile Carnegie said in making this decision various factors were considered including the change in the official cash rate.
"While this change will impact customers in different ways, home loan customers are generally well placed to manage rising rates with around 70% of accounts ahead on repayments – many of them by two years or more," Ms Carnegie said.
Westpac home loan rate changes - May
The third of the big-four to announce a variable rate increase, Westpac will join CommBank and ANZ in lifting variable rates across its home loan portfolio by 25 basis points.
The increase to Westpac's variable home loan rate portfolio takes place from 20 May 2022.
Westpac's new rates for owner occupiers are as follows:
For over 70% loan-to-value ratio (LVR) -
- Flexi First Option Principal and Interest home loans will increase to 2.44% p.a.
- Flexi First Option Interest Only home loans will increase to 4.24% p.a.
- Rocket Repay with Package - Principal and Interest home loans will increase to 3.54% p.a.
- Rocket Repay without Package - Principal and Interest home loans will increase to 4.83% p.a.
- Rocket Repay with Package - Interest Only home loans will increase to 4.13% p.a.
- Rocket Repay without Package - Interest Only home loans will increase to 5.42% p.a.
For up to 70% loan-to-value ratio (LVR) -
- Flexi First Option Principal and Interest home loans will increase to 2.34% p.a.
- Flexi First Option Interest Only home loans will increase to 4.14% p.a.
- Rocket Repay with Package - Principal and Interest home loans will increase to 3.44% p.a.
- Rocket Repay without Package - Principal and Interest home loans will increase to 4.73% p.a.
- Rocket Repay with Package - Interest Only home loans will increase to 4.03% p.a.
- Rocket Repay without Package - Interest Only home loans will increase to 5.32% p.a.
Westpac's new rates for investors are as follows:
For over 70% loan-to-value ratio (LVR) -
- Flexi First Option Principal and Interest home loans will increase to 2.84% p.a.
- Flexi First Option Interest Only home loans will increase to 3.14% p.a.
- Rocket Investment with Package - Principal and Interest home loans will increase to 4.09% p.a.
- Rocket Investment without Package - Principal and Interest home loans will increase to 5.38% p.a.
- Rocket Investment with Package - Interest Only home loans will increase to 4.35% p.a.
- Rocket Investment without Package - Interest Only home loans will increase to 5.64% p.a.
For up to 70% loan-to-value ratio (LVR) -
- Flexi First Option Principal and Interest home loans will increase to 2.74% p.a.
- Flexi First Option Interest Only home loans will increase to 3.04% p.a.
- Rocket Investment with Package - Principal and Interest home loans will increase to 3.99% p.a.
- Rocket Investment without Package - Principal and Interest home loans will increase to 5.28% p.a.
- Rocket Investment with Package - Interest Only home loans will increase to 4.25% p.a.
- Rocket Investment without Package - Interest Only home loans will increase to 5.54% p.a.
Comparison rates for Westpac's portfolio of variable loans will be revealed as the rate changes take effect
NAB home loan rate changes - May
On Wednesday morning National Australia Bank announced a few changes to its variable rate home loans, all up by 25 basis points.
The changes will take effect from 13 May.
For its Tailored home loans, NAB's new standard interest rates will be:
- Owner Occupied Principal & Interest: 4.77% p.a.
- Owner Occupied Interest Only: 5.34% p.a.
- Investor Principal & Interest: 5.37% p.a.
- Investor Interest Only: 5.67% p.a.
Comparison rates will be revealed as the rate changes take effect.
NAB says the rate increase could add $57 a month to repayments for owner occupiers on a $400,000 30-year Choice Package mortgage paying a rate of 3.67% p.a.
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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 |
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5.99% p.a. | 5.90% p.a. | $2,995 | Principal & Interest | Variable | $0 | $0 | 80% | Apply in minutes |
| Promoted | Disclosure | |||||||||
6.09% p.a. | 6.11% p.a. | $3,027 | Principal & Interest | Variable | $0 | $250 | 60% |
| Promoted | Disclosure |
Image by Pete Wright via Unsplash
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