Best interest rates in the market in 2021

Discussion in 'Loans & Mortgage Brokers' started by thunderstrike888, 6th Jan, 2021.

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  1. HonestShiba

    HonestShiba Well-Known Member

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    Thanks for the in-depth reply Lindsay, couldn't seem to easily find this information.

    Does the interest rate differ at all for different IO terms? For example, variable 2 year IO v variable 5 year IO period. I see a lot of people in this thread mentioning they've fixed for 2 or 3 years IO, but don't mention the IO term. Is it safe to assume usually they're on 5 year IO?

    Most bank website have IO rate listed by what I assume are their fixed terms, not their IO periods.
     
  2. Never giveup

    Never giveup Well-Known Member

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    which bank mate?
     
  3. Bux436

    Bux436 Member

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    Called CBA today to discuss rates on PPOR 70% LVR loans and they offered up:

    - 2.80% variable P&I
    - 2.19% fixed 1 year P&I

    Like others these 1 year fixed portion loans are a nice kicker whilst keeping the variable portion for linked offset account.
     
  4. Balman

    Balman Well-Known Member

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    Wondering what the best discount one has been able to get recently from CBA on the Variable rate ? Owner occupied P&I . Thanks
     
  5. Rolf Latham

    Rolf Latham Inciteful (sic) Staff Member Business Plus Member

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    few relevant data points missing but as an example

    New lending 2.74 70 LVR 2mill lend 2.74 post Jun 50 pts RBA rise

    ta
    rolf
     
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  6. Balman

    Balman Well-Known Member

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    Thanks Rolf.

    In the past CBA worked on a discount on the SVR hence the question. I assume from what you saying that the now just offer a flat rate based on numerous factors, is that correct? thanks
     
  7. Lindsay_W

    Lindsay_W Well-Known Member

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    They still do but LVR, loan amount + any new lending determines the amount of discount they will provide (always relevant factors in their pricing decisions)
    eg. a 90% LVR is going to have a different discount to 80% LVR, 70% LVR etc.
     
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  8. Fungus

    Fungus Well-Known Member

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    I've been offered a 2.51% discount on SVR for my P&I OO loan under $900k. So it's 2.79% after the recent 0.5% increase. Currently on 3.30%.

    Have a $250k IO IP property with them, and planning to pull out $100-$120k equity. They are only willing to drop the rate if I pull out some equity.
     
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  9. Balman

    Balman Well-Known Member

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    2.51% is a very good discount.
     
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  10. Balman

    Balman Well-Known Member

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    I've just negotiated a 2.4% discount on the SVR with CBA. Not as good as @Fungus 2.51% but cannot complain in the current environment
     
  11. Fungus

    Fungus Well-Known Member

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    I ended up getting 2.56% discount on SVR. The lender pushed one more time before we finalised the loan and got an extra 0.05%.

    @Balman, you still got a really good deal!
     
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  12. Balman

    Balman Well-Known Member

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    I will give it a couple of weeks and then put in another pricing request