Best interest rates in the market in 2020

I also got rates 0.1% less than the published rates for my IP IO ($330k loan; 2.79%).
Went to my relationship manager who asked for a rate review. Mind you, my total lend at CBA is > $1.5 million, < 80% LVR.
Perhaps speak to your broker? Or relationship manager at CBA?

 

I know WBC will do a 70% LVR rate of 2.49% for P and I loans for investors on their package.
The challenge - wait for a little longer or lock it in Eddie?

 

What are you waiting for?

 

Several banks have 3yr fixed investor loans for 2.49%

You can get IO IP 3 years for 2.69%

 

Yes as mentioned earlier in the thread
I was just posting ANZ's fixed rates for people to compare

 

Adelaide Bank
1 - 3 years Investment Fixed Interest Only 2.55%
1 - 3 years Investment Fixed P&I 2.35%

 

I asked if the rates were negotiable. They asked if I had contacted other banks. I quoted (estimated) 2.59 at another bank and they agreed.

 

Got the same deal:
Investment IO
CBA
1yr Fixed 2.79%

Just called and asked if they could do any better than 2.89%. No hard bargaining just a simple question. Was already happy with 2.89% so anything better was a bonus

 

Unibank 2.25% fixed for 4 years, IP, 100% offset

Sounds like a very appealing rate, though I know nothing of the bank.

 

Part of teachers mutual bank. Own by members.

 

I'm liking the looks of this has anyone here dealt with this bank before.

 

I'm with NAB and effectively stuck, as I fail servicability and can't refinance.

Loan $1.17m; prop value $1.6m. LVR ~74%.
Income 138k
Owner Occupier

I am hassling Nab retention team; I tried quoting St George (2.54% variable, 1.89% fixed 4 year...3k rebates) - NAB said they won't consider as they aren't a Big4 bank and NAB offers far superior app, top standing company blah blah...

Then I tried quoting CBA 2.59% variable and 1.97% fixed 2 year ($2k rebate CBA + $4k broker). Again NAB unwilling to budge.

I don't know if it hurts my case but I last got them down in August 2020 so they probably see me as a serial pest always hassling them for a better deal.

I was on 2.69% and they've came down to 2.66% variable.

They won't negotiate on their fixed rates at all. So it's either 2.09% 2/3 year; or 1.98% 4 year.

I'm very tempted to go on 1.98% 4 year. [splitting a portion to keep offset going]

Is 4 years a bad idea to lock in for in these uncertain economic times?

Thoughts going through my head:

• what if inner city areas are less appealing because WFH becomes mainstream [I'm in inner west and so far it seems it's booming again with amenity, everyone loves the restaurants and lifestyle...]
• what if interest rates go negative and rates drop even more [probably very unlikely]
• what if I decide to sell and want a tree-change myself, further out of the city... [guess I could make it an IP (again) for the rest of the fixed term, and rent...]
• When I first took this loan 3 years ago it was 4.2% and I was *STRUGGLING* big time to keep up with it. Now it could be 1.98% for 4 years this is a massive change.

Would love to hear anyone's thoughts for or against, fixing for 4 years.

I'm wondering in the difference between 2.09% 2 year and 1.98% 4 year if it's worth locking in for the extra 2 years, just for a saving of $21 per week... (I owe $1m), or if maintaining that flexibility after 2 years is worth the extra cost. Oh, I wish we had a crystal ball!

 

I'm assuming that this isn't your only loan then? Because just based on those parameters, I would assume that you'd be able to move.

 

yep it is my only loan, I have no other debt. But the three brokers I have spoke to over the past 6 mths, have said moving isn't possible. Except one said St George *MAY* be able to happen if NAB doesn't play ball to let them know...

I thought my income of 138k (it used to be 170k, but Bonus was not paid this year due to covid), is not enough to pass servicability, as an owner occupier, on this size loan ($1,170,000)?

 

Just looking at TicToc they have investment property P&I fixed for 1 year 2.17 anyone here delt with them..

 

Yes, best to use a broker though

 

Hi All,
Does anyone have any firsthand experience with the Aussie 'Elevate' home loan? I understand they go through Bank of Adelaide.
They're offering the best interest rate and a 100% offset on the fixed account. Reads pretty well on paper, concern is I might be missing something. Anyone with firsthand experience they could share would go a long way. Is the online/phone service reliable and intuitive? Anything else to be mindful of?
Any feedback would be great.
Thanks

 

Fixed rate with offset - is this a new thing, or am I catching up?

 

I think it is a new thing. Pretty sure ANZ does this for 1 year fixed terms. It seems almost to be a promotional type thing. Hopefully all fixed loans become like that.. wouldn't that be nice!