3 & 5 Year Fixed Rate Trends
- Thread starter JIT
- Start date
Do you know what they dropped to....because they are one of the most competitve for fixed for the Big4....
Effective Date 24/05/10
ProductFrom (%PA)To (%PA)Change (%)
Variable Home Loan Rates
Standard Variable Rate Loan, Home Improvement and Supplementary Loan*%%No Change
Simplicity PLUS Loan%%No Change
Fixed Rates
1 Year Fixed Rate6.71% 6.84%+0.13%
2 Year Fixed Rate%%No Change
3 Year Fixed Rate7.70% 7.64%-0.06%
4 Year Fixed Rate7.93%7.74%-0.19%
5 Year Fixed Rate8.03% 7.94%-0.09%
7 Year Fixed Rate%%No Change
10 Year Fixed Rate8.90%8.14%-0.76%
1 Year Fixed Interest In Advance Rate (Yearly)**6.36%6.49%+0.13%
2 Year Fixed Interest In Advance Rate (Yearly)**%%No Change
3 Year Fixed Interest In Advance Rate (Yearly)**7.35%7.29%-0.06%
4 Year Fixed Interest In Advance Rate (Yearly)**7.58%7.39%-0.19%
5 Year Fixed Interest In Advance Rate (Yearly)**7.68%7.59%-0.09%
7 Year Fixed Interest In Advance Rate (Yearly)**%%No Change
10 Year Fixed Interest In Advance Rate (Yearly)**8.55%7.79%-0.76%
ProductFrom (%PA)To (%PA)Change (%)
Variable Home Loan Rates
Standard Variable Rate Loan, Home Improvement and Supplementary Loan*%%No Change
Simplicity PLUS Loan%%No Change
Fixed Rates
1 Year Fixed Rate6.71% 6.84%+0.13%
2 Year Fixed Rate%%No Change
3 Year Fixed Rate7.70% 7.64%-0.06%
4 Year Fixed Rate7.93%7.74%-0.19%
5 Year Fixed Rate8.03% 7.94%-0.09%
7 Year Fixed Rate%%No Change
10 Year Fixed Rate8.90%8.14%-0.76%
1 Year Fixed Interest In Advance Rate (Yearly)**6.36%6.49%+0.13%
2 Year Fixed Interest In Advance Rate (Yearly)**%%No Change
3 Year Fixed Interest In Advance Rate (Yearly)**7.35%7.29%-0.06%
4 Year Fixed Interest In Advance Rate (Yearly)**7.58%7.39%-0.19%
5 Year Fixed Interest In Advance Rate (Yearly)**7.68%7.59%-0.09%
7 Year Fixed Interest In Advance Rate (Yearly)**%%No Change
10 Year Fixed Interest In Advance Rate (Yearly)**8.55%7.79%-0.76%
Whooo....hoooo!....thanks Tone...
It sure looks like we are nearing the end of the rises.....based on the rates adjusted by ANZ....there maybe another 0.25%...but the trend is down.
Also...based on the 1 yr rate increasing 15 basis points...I think we will see a stabilising of IR rather than an immediate drop.
I anycase....I am ecstatic as across my portfolio...the most expensive loan is now costing me 6.74% I/O....which is pretty good and not a problem as I intend to move cash in offsets to this loan. I have large portion with a 5 in front....and a few with low sixes...looks like I have got it moslty right this time.
Now I just need to scheme what to do next year as most of my rates come off. Hopefully I will be able to ride the downward IR cycle!
It sure looks like we are nearing the end of the rises.....based on the rates adjusted by ANZ....there maybe another 0.25%...but the trend is down.
Also...based on the 1 yr rate increasing 15 basis points...I think we will see a stabilising of IR rather than an immediate drop.
I anycase....I am ecstatic as across my portfolio...the most expensive loan is now costing me 6.74% I/O....which is pretty good and not a problem as I intend to move cash in offsets to this loan. I have large portion with a 5 in front....and a few with low sixes...looks like I have got it moslty right this time.
Now I just need to scheme what to do next year as most of my rates come off. Hopefully I will be able to ride the downward IR cycle!
http://www.asx.com.au/data/trt/ib_expectation_curve_graph.pdf
Looks like a ''double bottom''!
Fixed rates don't look like they will be moving too much for some time yet?
Looks like a ''double bottom''!
Fixed rates don't look like they will be moving too much for some time yet?
This is just for my future reference re. the 90 day bank bill futures:
http://futuresource.quote.com/quotes/quotes.jsp?s=IR-SFE&t=Future
http://www.somersoft.com/forums/showpost.php?p=673561&postcount=31
http://www.somersoft.com/forums/showpost.php?p=673680&postcount=33
This presently suggest that rates are expected to slowly keep going up all the way to Dec 2012! (buy about 1%)
So, any short-term drop in interest rates may only be temporary.
http://futuresource.quote.com/quotes/quotes.jsp?s=IR-SFE&t=Future
http://www.somersoft.com/forums/showpost.php?p=673561&postcount=31
http://www.somersoft.com/forums/showpost.php?p=673680&postcount=33
This presently suggest that rates are expected to slowly keep going up all the way to Dec 2012! (buy about 1%)
So, any short-term drop in interest rates may only be temporary.
St George just cut their 2 year fixed rate by 0.4%
http://www.smh.com.au/business/st-george-cuts-twoyear-fixed-mortgage-rate-20100602-wxus.html
Cheers,
Michael
http://www.smh.com.au/business/st-george-cuts-twoyear-fixed-mortgage-rate-20100602-wxus.html
Cheers,
Michael
Well spotted Michael.
I think this is temporary, but there may be a chance coming up to fix for 1-2 years (at most, but 1 year would be better IMO) for those who are at their serviceability limits and risk losing the lot with a few more small rate rises.
My preference is Offset as you take the money out and have no issues with how it is spent. Also the extra interest is deductible as it is a transaction account.
On a LOC of credit....if you spend it on yourself rather than an investment producing some sort of income the interest is not deductible.
On a LOC of credit....if you spend it on yourself rather than an investment producing some sort of income the interest is not deductible.
The bank can close ones LOC without notice neither explanation. However, they can't do that with the Offset account.
I heard ING also dropped their longer term interest rates last week, but not sure by how
much... ?
These were the rates as of 7th May, not including recent changes:
Fixed Rate Home Loans
Interest Rate
1 Year Fixed Rate
6.89% p.a.
2 Year Fixed Rate
7.44% p.a.
3 Year Fixed Rate
7.69% p.a.
4 Year Fixed Rate
7.94% p.a.
5 Year Fixed Rate
much... ?
These were the rates as of 7th May, not including recent changes:
Fixed Rate Home Loans
Interest Rate
1 Year Fixed Rate
6.89% p.a.
2 Year Fixed Rate
7.44% p.a.
3 Year Fixed Rate
7.69% p.a.
4 Year Fixed Rate
7.94% p.a.
5 Year Fixed Rate
Hi
So you can have your rents, wages etc into one offset account and this will reduce the monthly interest payment and if you then use money for personal use you can still claim the interest difference as a tax deduction even though the monthly payment has increased due to using the money for personal use. Is that correct.
Yes i have mentioned this to brokers and the reply is always the same it has never happened. More chance of picking up marbles with your butt cheeks.
SG
So you can have your rents, wages etc into one offset account and this will reduce the monthly interest payment and if you then use money for personal use you can still claim the interest difference as a tax deduction even though the monthly payment has increased due to using the money for personal use. Is that correct.
Yes i have mentioned this to brokers and the reply is always the same it has never happened. More chance of picking up marbles with your butt cheeks.
SG
Dragon at 6.99 for 3 years
Get in with a rate lock maybe ?
With the RBA having rabies I dont know how long such a rate position will be around
Means the markers are pricing an average 3 year SVR at or below this
ta
rolf
Get in with a rate lock maybe ?
With the RBA having rabies I dont know how long such a rate position will be around
Means the markers are pricing an average 3 year SVR at or below this
ta
rolf
That's a 0.85% drop!
This may be a silly question, but one I'd like to know the answer to if possible.
One our offset/loan accounts for an IP's has a loan of $140,000, ... we have $75,000 parked in the offset which obviously greatly reduces the monthly repayments. The loan balance continues to reduce each month as rents are deposited.
My question is: if we paid the extra into the offset to make the balance $zero, ... what happens? Obviously we'd still have the debt, but would anything come out of the account each month for the bank?
We are not planning to have the whole $140,000 parked in this offset, but I would like to know what happens if we did.
Mystery
One our offset/loan accounts for an IP's has a loan of $140,000, ... we have $75,000 parked in the offset which obviously greatly reduces the monthly repayments. The loan balance continues to reduce each month as rents are deposited.
My question is: if we paid the extra into the offset to make the balance $zero, ... what happens? Obviously we'd still have the debt, but would anything come out of the account each month for the bank?
We are not planning to have the whole $140,000 parked in this offset, but I would like to know what happens if we did.
Mystery
