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Fixed rates

Discussion in 'Property Finance' started by dabbler, 4th Aug, 2016.

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  1. dabbler

    dabbler Well-Known Member

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    Here we go again, another RBA cut, let's see if any of it flows to fixed rate improvements.

    Post your institution/lenders fixed rates for OO and Investment mortgage loans here.
     
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  2. tobe

    tobe Well-Known Member

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    Westpac came out with some pretty sharp rates today.
    3.99 5y oo 4.09 5y inv
     
  3. kr11

    kr11 Well-Known Member

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    Wow. Thats pretty sharp
    Is that for IO or only P+I
     
  4. Simon Moore

    Simon Moore Mortgage Broker - Melbourne Business Member

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    3.89% 3 years fixed, interest only with ME bank. Has not changed since the rate drop was announced.
     
    Last edited: 4th Aug, 2016
  5. tobe

    tobe Well-Known Member

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    Nab is the only major that prices on repayment terms. The others only have a distinction on investment or owner occ
     
  6. kr11

    kr11 Well-Known Member

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    I wonder if the other banks would match it
    I suppose having said that, 5yrs is a long time
    Especially if u want to pull out equity in that time for other ip's
     
  7. Colin Rice

    Colin Rice Mortgage Broker Australia Wide Business Member

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    Westpac usually let you do either for both.
     
  8. Redom

    Redom Mortgage Broker Business Member

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    It is a very sharp 5 year fixed - plenty to be careful about with fixing for so long (e.g selling, valuations from others, refinancing need, etc).

    From what I find 5 year fixed can sound attractive when they break a barrier (sub 4%). Nonetheless, given changing lending dynamics over that extended period of time, I'd generally only suggest it as a risk mitigation tool for those with deep borrowing levels relative to income positions.

    Westpac/BoM/StGeorge have minor differences in SVRs for I/O and P/I now too following different pass through of rate cuts.
     
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  9. miximitosis

    miximitosis Well-Known Member

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    I did notice this and suspect it was going to happen. A couple of weeks ago we got a letter from Westpac more or less stating that our interest only variable loan was having a 'name change' but don't worry it is still the same rate..... now, after the interest rate cut we are 0.03% higher than P&I.