The decision from NAB comes after Australia’s largest bank lifted fixed home loan rates by 140 basis points on Thursday.

The increase from NAB means some fixed rates across their portfolio now begin with a 6, with the figure of 7% looming large in wake of future rate increases.

AMP Chief Economist Shane Oliver said rising fixed rates along with a host of other factors are having a cooling effect on house prices.

“We expect national average property prices to have a top to bottom fall of 15 to 20% over the next 18 months reflecting the combination of poor affordability, rising fixed mortgage rates and further rate hikes from the RBA pushing up variable rates…” Mr Oliver said.

Key changes to NAB’s fixed rate home loan portfolio for new owner occupiers with 95% loan-to-value ratio include:

  • Tailored Fixed P&I 1 Year: 110 basis point increase to 4.79% p.a. (5.39% p.a. comparison rate*)
  • Tailored Fixed P&I 3 Years: 80 basis point increase to 5.89% p.a. (5.57% p.a. comparison rate*)
  • Tailored Fixed IO 1 Year: 30 basis point increase to 5.29% p.a. (5.58% p.a. comparison rate*)
  • Tailored Fixed IO 3 Years: 75 basis point increase to 6.19% p.a. (5.72% p.a. comparison rate*)
  • Choice Package Tailored Fixed - P&I 2 Years 150k+: 100 basis point increase to 5.59% p.a. (5.23% p.a. comparison rate*)
  • Choice Package Tailored Fixed - P&I 4 Years 150k+: 80 basis point increase to 6.19% p.a. (5.60% p.a. comparison rate*)

For investors with 90% loan-to-value ratio, key changes include:

  • Investment Tailored Fixed P&I 1 Year: 90 basis point increase to 5.09% p.a. (5.92% p.a. comparison rate*)
  • Investment Tailored Fixed P&I 3 Years: 80 basis point increase to 6.09% p.a. (6.06% p.a. comparison rate*)
  • Investment Tailored Fixed IO 1 Year: 90 basis point increase to 5.19% p.a. (6.02% p.a. comparison rate*)
  • Investment Tailored Fixed IO 3 Years: 70 basis point increase to 6.09% p.a. (6.09% p.a. comparison rate*)
  • Choice Package Investment Tailored Fixed - P&I 2 Years 150k+: 65 basis point increase to 5.49% p.a. (5.69% p.a. comparison rate*)
  • Choice Package Investment Tailored Fixed - P&I 4 Years 150k+: 70 basis point increase to 6.19% p.a. (5.98% p.a. comparison rate*)

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LenderHome LoanInterest 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 TagsFeaturesLinkComparePromoted ProductDisclosure
5.69% p.a.
6.13% p.a.
$2,899
Principal & Interest
Fixed
$0
$530
90%
  • Available for purchase or refinance, min 10% deposit needed to qualify.
  • No application, ongoing monthly or annual fees.
  • Flexibility to split your loan with both fixed and variable rates
 Disclosure
5.69% p.a.
6.08% p.a.
$2,899
Principal & Interest
Fixed
$0
$350
70%
5.79% p.a.
6.25% p.a.
$2,931
Principal & Interest
Fixed
$250
$250
60%
5.54% p.a.
6.08% p.a.
$2,852
Principal & Interest
Fixed
$0
$0
90%
5.80% p.a.
5.94% p.a.
$2,934
Principal & Interest
Fixed
$0
$0
90%
5.84% p.a.
6.00% p.a.
$2,947
Principal & Interest
Fixed
$0
$600
95%
5.94% p.a.
6.11% p.a.
$2,978
Principal & Interest
Fixed
$0
$350
80%
5.89% p.a.
7.05% p.a.
$2,962
Principal & Interest
Fixed
$395
$350
80%
5.99% p.a.
7.47% p.a.
$2,995
Principal & Interest
Fixed
$0
$835
95%
6.04% p.a.
6.21% p.a.
$3,011
Principal & Interest
Fixed
$10
$220
80%
5.89% p.a.
7.45% p.a.
$2,962
Principal & Interest
Fixed
$395
$150
70%
5.89% p.a.
6.62% p.a.
$2,962
Principal & Interest
Fixed
$8
$350
70%
6.19% p.a.
7.19% p.a.
$3,059
Principal & Interest
Fixed
$null
$160
95%
6.39% p.a.
8.27% p.a.
$3,124
Principal & Interest
Fixed
$0
$0
95%
More home loans
  • Available for purchase or refinance, min 10% deposit needed to qualify.
  • No application, ongoing monthly or annual fees.
  • Quick and easy online application process.

More details
Important Information and Comparison Rate Warning

Base criteria of: a $400,000 loan amount, variable, fixed, principal and interest (P&I) home loans with an LVR (loan-to-value) ratio of at least 80%. However, the ‘Compare Home Loans’ table allows for calculations to be made on variables as selected and input by the user. Some products will be marked as promoted, featured or sponsored and may appear prominently in the tables regardless of their attributes. All products will list the LVR with the product and rate which are clearly published on the product provider’s website. Monthly repayments, once the base criteria are altered by the user, will be based on the selected products’ advertised rates and determined by the loan amount, repayment type, loan term and LVR as input by the user/you. *The Comparison rate is based on a $150,000 loan over 25 years. Warning: this comparison rate is true only for this example and may not include all fees and charges. Different terms, fees or other loan amounts might result in a different comparison rate. Rates correct as of . View disclaimer.

Important Information and Comparison Rate Warning

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