However, this is coming from rates that were previously among the lowest on market.
For the most part, these fixed rates are still lower than what's on offer at the other major banks.
The lowest fixed rate at Macquarie is now 5.69% p.a. for two, three, four and five year fixed terms on owner occupier loans with LVR up to 70%.
This is a 30 basis point increase, but is still lower than any of the advertised fixed rates at the big four.
This follows its surprising move on Monday to up the rate on its popular unconditional savings account to 5.00% p.a.
Macquarie new owner occupier fixed rates
These are the new fixed rates for owner occupiers with Macquarie.
All rates are for borrowers repaying both the principal and interest, although interest only rates were also increased.
| Product | Rate Change |
|---|---|
| Basic 1 Year Fixed (LVR up to 70%) | Up 10 bps to 5.85% p.a. (6.14% p.a. comparison rate*) |
| Basic 2 Year Fixed (LVR up to 70%) | Up 30 bps to 5.69% p.a. (6.08% p.a. comparison rate*) |
| Basic 3 Year Fixed (LVR up to 70%) | Up 30 bps to 5.69% p.a. (6.04% p.a. comparison rate*) |
| Basic 4 Year Fixed (LVR up to 70%) | Up 30 bps to 5.69% p.a. (6.00% p.a. comparison rate*) |
| Basic 5 Year Fixed (LVR up to 70%) | Up 30 bps to 5.69% p.a. (5.97% p.a. comparison rate*) |
| Basic 1 Year Fixed (LVR up to 80%) | Up 10 bps to 5.95% p.a. (6.19% p.a. comparison rate*) |
| Basic 2 Year Fixed (LVR up to 80%) | Up 30 bps to 5.79% p.a. (6.14% p.a. comparison rate*) |
| Basic 3 Year Fixed (LVR up to 80%) | Up 30 bps to 5.79% p.a. (6.10% p.a. comparison rate*) |
| Basic 4 Year Fixed (LVR up to 80%) | Up 30 bps to 5.79% p.a. (6.07% p.a. comparison rate*) |
| Basic 5 Year Fixed (LVR up to 80%) | Up 30 bps to 5.79% p.a. (6.04% p.a. comparison rate*) |
| Basic 1 Year Fixed (LVR up to 95%) | Up 10 bps to 6.19% p.a. (7.11% p.a. comparison rate*) |
| Basic 2 Year Fixed (LVR up to 95%) | Up 30 bps to 6.29% p.a. (7.03% p.a. comparison rate*) |
| Basic 3 Year Fixed (LVR up to 95%) | Up 30 bps to 6.29% p.a. (6.95% p.a. comparison rate*) |
| Basic 4 Year Fixed (LVR up to 95%) | Up 30 bps to 6.29% p.a. (6.88% p.a. comparison rate*) |
| Basic 5 Year Fixed (LVR up to 95%) | Up 30 bps to 6.29% p.a. (6.81% p.a. comparison rate*) |
These rates are for the Offset Home Loan Package, which allows up to 10 offset accounts.
Importantly, offset accounts with Macquarie don't actually take effect until the fixed period is over.
| Product | Rate Change |
|---|---|
| Offset 1 Year Fixed (LVR up to 70%) | Up 10 bps to 5.85% p.a. (6.36% p.a. comparison rate*) |
| Offset 2 Year Fixed (LVR up to 70%) | Up 30 bps to 5.69% p.a. (6.30% p.a. comparison rate*) |
| Offset 3 Year Fixed (LVR up to 70%) | Up 30 bps to 5.69% p.a. (6.26% p.a. comparison rate*) |
| Offset 4 Year Fixed (LVR up to 70%) | Up 30 bps to 5.69% p.a. (6.23% p.a. comparison rate*) |
| Offset 5 Year Fixed (LVR up to 70%) | Up 30 bps to 5.69% p.a. (6.20% p.a. comparison rate*) |
| Offset 1 Year Fixed (LVR up to 80%) | Up 10 bps to 5.95% p.a. (6.41% p.a. comparison rate*) |
| Offset 2 Year Fixed (LVR up to 80%) | Up 30 bps to 5.79% p.a. (6.36% p.a. comparison rate*) |
| Offset 3 Year Fixed (LVR up to 80%) | Up 30 bps to 5.79% p.a. (6.33% p.a. comparison rate*) |
| Offset 4 Year Fixed (LVR up to 80%) | Up 30 bps to 5.79% p.a. (6.30% p.a. comparison rate*) |
| Offset 5 Year Fixed (LVR up to 80%) | Up 30 bps to 5.79% p.a. (6.27% p.a. comparison rate*) |
| Offset 1 Year Fixed (LVR up to 95%) | Up 10 bps to 6.19% p.a. (7.33% p.a. comparison rate*) |
| Offset 2 Year Fixed (LVR up to 95%) | Up 30 bps to 6.29% p.a. (7.25% p.a. comparison rate*) |
| Offset 3 Year Fixed (LVR up to 95%) | Up 30 bps to 6.29% p.a. (7.17% p.a. comparison rate*) |
| Offset 4 Year Fixed (LVR up to 95%) | Up 30 bps to 6.29% p.a. (7.10% p.a. comparison rate*) |
| Offset 5 Year Fixed (LVR up to 95%) | Up 30 bps to 6.29% p.a. (7.03% p.a. comparison rate*) |
Macquarie new investment fixed rates
These are the new fixed rates at Macquarie for property investors on the Basic Fixed Investment loan:
| Product | Rate Change |
|---|---|
| Basic Investment 1 Year Fixed (LVR up to 70%) | Up 10 bps to 5.99% p.a. (6.33% p.a. comparison rate*) |
| Basic Investment 2 Year Fixed (LVR up to 70%) | Up 30 bps to 5.85% p.a. (6.27% p.a. comparison rate*) |
| Basic Investment 3 Year Fixed (LVR up to 70%) | Up 30 bps to 5.85% p.a. (6.23% p.a. comparison rate*) |
| Basic Investment 4 Year Fixed (LVR up to 70%) | Up 30 bps to 5.85% p.a. (6.19% p.a. comparison rate*) |
| Basic Investment 5 Year Fixed (LVR up to 70%) | Up 30 bps to 5.85% p.a. (6.15% p.a. comparison rate*) |
| Basic Investment 1 Year Fixed (LVR up to 80%) | Up 10 bps to 6.09% p.a. (6.44% p.a. comparison rate*) |
| Basic Investment 2 Year Fixed (LVR up to 80%) | Up 30 bps to 5.95% p.a. (6.38% p.a. comparison rate*) |
| Basic Investment 3 Year Fixed (LVR up to 80%) | Up 30 bps to 5.95% p.a. (6.33% p.a. comparison rate*) |
| Basic Investment 4 Year Fixed (LVR up to 80%) | Up 30 bps to 5.95% p.a. (6.29% p.a. comparison rate*) |
| Basic Investment 5 Year Fixed (LVR up to 80%) | Up 30 bps to 5.95% p.a. (6.26% p.a. comparison rate*) |
| Basic Investment 1 Year Fixed (LVR up to 90%) | Up 10 bps to 6.49% p.a. (7.23% p.a. comparison rate*) |
| Basic Investment 2 Year Fixed (LVR up to 90%) | Up 30 bps to 6.19% p.a. (7.09% p.a. comparison rate*) |
| Basic Investment 3 Year Fixed (LVR up to 90%) | Up 30 bps to 6.19% p.a. (6.99% p.a. comparison rate*) |
| Basic Investment 4 Year Fixed (LVR up to 90%) | Up 30 bps to 6.19% p.a. (6.90% p.a. comparison rate*) |
| Basic Investment 5 Year Fixed (LVR up to 90%) | Up 30 bps to 6.19% p.a. (6.82% p.a. comparison rate*) |
And with the offset account:
| Product | Rate Change |
|---|---|
| Offset Investment 1 Year Fixed (LVR up to 70%) | Up 10 bps to 5.99% p.a. (6.55% p.a. comparison rate*) |
| Offset Investment 2 Year Fixed (LVR up to 70%) | Up 30 bps to 5.85% p.a. (6.49% p.a. comparison rate*) |
| Offset Investment 3 Year Fixed (LVR up to 70%) | Up 30 bps to 5.85% p.a. (6.45% p.a. comparison rate*) |
| Offset Investment 4 Year Fixed (LVR up to 70%) | Up 30 bps to 5.85% p.a. (6.41% p.a. comparison rate*) |
| Offset Investment 5 Year Fixed (LVR up to 70%) | Up 30 bps to 5.85% p.a. (6.38% p.a. comparison rate*) |
| Offset Investment 1 Year Fixed (LVR up to 80%) | Up 10 bps to 6.09% p.a. (6.66% p.a. comparison rate*) |
| Offset Investment 2 Year Fixed (LVR up to 80%) | Up 30 bps to 5.95% p.a. (6.60% p.a. comparison rate*) |
| Offset Investment 3 Year Fixed (LVR up to 80%) | Up 30 bps to 5.95% p.a. (6.56% p.a. comparison rate*) |
| Offset Investment 4 Year Fixed (LVR up to 80%) | Up 30 bps to 5.95% p.a. (6.52% p.a. comparison rate*) |
| Offset Investment 5 Year Fixed (LVR up to 80%) | Up 30 bps to 5.95% p.a. (6.48% p.a. comparison rate*) |
| Offset Investment 1 Year Fixed (LVR up to 90%) | Up 10 bps to 6.49% p.a. (7.45% p.a. comparison rate*) |
| Offset Investment 2 Year Fixed (LVR up to 90%) | Up 30 bps to 6.19% p.a. (7.31% p.a. comparison rate*) |
| Offset Investment 3 Year Fixed (LVR up to 90%) | Up 30 bps to 6.19% p.a. (7.21% p.a. comparison rate*) |
| Offset Investment 4 Year Fixed (LVR up to 90%) | Up 30 bps to 6.19% p.a. (7.12% p.a. comparison rate*) |
| Offset Investment 5 Year Fixed (LVR up to 90%) | Up 30 bps to 6.19% p.a. (7.04% p.a. comparison rate*) |
Any RBA implications?
This rate hike is particularly noteworthy given the vast majority of home loan rate movements in the past couple of months have been cuts.
Mortgage holders praying for relief from the RBA might be alarmed that one of Australia's biggest banks hiking home loan rates points away from cash rate cuts any time soon.
However, lenders changing home loan rates does not necessarily mean taking a position on when the RBA will cut.
In late August, yields on Australian Government bonds dropped off pretty sharply, which suggests that global markets and investors feel rate cuts may be coming sooner than RBA boss Michelle Bullock's rhetoric would suggest.
Home loan rate cuts followed, particularly on fixed rates, as banks took advantage of lower cost of funding.
Bond yields have increased through October, so it could simply be a case of Macquarie adjusting to higher funding costs.
The digitally-focused bank may be adjusting to the yield curve, and may be more agile and sensitive to wholesale changes than other banks.
For now, three of the four major banks are predicting the RBA will cut in February 2025, while CommBank maintain that cuts could well fall before the end of the year.
"We remain of the view that softer economic data, a further deceleration in inflation and the easing of monetary policy by many other major central banks will see the RBA begin to cut interest rates later in 2024," CommBank economist Stephen Halmarick said on Tuesday.
The CommBank Household Spending index declined 0.7% through September, which Mr Halmarick says supports this position.
Picture by Tienna Mallorca on Unsplash
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