Best interest rates in the market in 2020

Discussion in 'Loans & Mortgage Brokers' started by Switchtronics, 8th Jan, 2020.

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  1. Redom

    Redom Mortgage Broker Business Plus Member

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    2&3 years, extra 0.10% for <70% LVR too.
     
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  2. Omnidragon

    Omnidragon Well-Known Member

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    Thanks. Should I expect annual reviews + personal guarantees on this wale and lvr?
     
  3. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    Do u need a REAL offset account, or a basic redraw/offset split ?

    ta
    rolf
     
  4. Barny

    Barny Well-Known Member

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    Real offset required.
     
  5. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    Dumb q.

    But pls put up with me

    because ?

    ta
    rolf
     
  6. Barny

    Barny Well-Known Member

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    I need access to funds instantly for investment purchases.

    Rolf can you generally beat the advertised rates from banks online? Or pretty much what’s advertised is it?
     
    Last edited: 12th Feb, 2020
  7. spludgey

    spludgey Well-Known Member

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    You can do that at least with some redraws. The one I had was instant. So the only "hassle" was that you had to transfer from your mortgage account to your savings account first.
     
  8. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    If a client comes to me with the core need of interest rates, its rare we can add value to that specific need, since that borrower is best served with any version of take away food to eat at the park bench, and they dont have a need for a sit down YumCha in comfy relaxed surroundings, nor have any food allergies, which in the borrowing world many clients actually have, but dont identify.

    You do have a small likely allergy :)

    Sounds like you need immediate access to your cash for shares etc style purchases.

    Most basic, low rate loans with NON banks have redraw offset, which may take a day to 3 days to clear funds from redraw into a proper BANK or ADI account.

    if that is ok, then the online only lowest rate will do your job if the only need is rate.

    If you cant wait that long, or are nervous about such lenders having no fed gov guarantee usually on YOUR funds in THEIR accounts, then an ADI with a separate bank style offset account is the best fit, with some options in the sub 3 space should you qualify for same

    Adelaide Bank and some mortgage managed versions of the same would do I suspect.


    Recently got 2.95 for a SVR cba lending with real EDO offset, but a bit ( lot) more than 650 k :)


    ta
    rolf
     
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  9. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    umm yes :)

    if you dont have that at the moment, you have Rolls Royce product at Corolla rates

    ta
    rolf
     
  10. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    sub 3s with ABL, and one doesnt need a large limit, but a sub 80 % lend is required

    ta
    rolf
     
  11. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    If one bought an Armani suit last week for 5000, and this week its on sale for 3000 at the same store, due to a bulk purchase - the store got a volume rebate because they secured a large factory order for an upgrade to 1st class airline crew worldwide, and their costs are way lower this week, would Fair trading get involved ?

    There is more to the back story for various reasons around funding costs, but not always, often its as simple as a you allude to, but lazy borrowers isnt the lenders issue I would have thought ?

    Recent research shows that 15 % of borrowers that can move, cant be stuffed ........................ Lazy tax.

    Our best recent one was a borrower didnt want to upset their ongoing long term relationship with borrower X and save 8 k a year in non ded payments. Its not for us to judge, we just provide the tools, and sometimes very sharp tools in the wrong hands are useless or even dangerous.

    ta
    rolf
     
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  12. kaibo

    kaibo Well-Known Member

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    3.4% interest only Investment loan 80% LVR HSBC (pretty good I reckon)
     
  13. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    Firstmac 3.39 IO no offset though, but dont need like > 250 k either.

    Whats funny here is that HSBC ran away from the broker market when the GFC hit and sold their prime broker loan book to Firstmac,

    ta

    rolf
     
  14. spludgey

    spludgey Well-Known Member

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    I've asked St George to match Westpac fixed rates of 3.09%, let's see what they come back with.
    Still weird given it's the same bank.
     
  15. spludgey

    spludgey Well-Known Member

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    Ended up getting 3.09%.
    Not quite as nice as the 2.88% that ANZ is offering, but very happy with it nevertheless.
     
  16. Peerdon

    Peerdon Member

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  17. Rex

    Rex Well-Known Member

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  18. spludgey

    spludgey Well-Known Member

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  19. Peerdon

    Peerdon Member

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    Yep that's an awesome rate! What a time to be alive lol
     
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  20. JohnPropChat

    JohnPropChat Well-Known Member

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    Cash rate is now 0.5%. Would be interesting to see how much gets passed on.
     
    thydzik likes this.

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