Current Home Loan interest rates

SMOKE & MIRRORS...

Loan Application Fee $500 (includes 2 splits)
Each Split After $150
Solicitors Preperation Fee - at cost
Valuation fee - at cost
Seach fee - at cost
Loan top up - up to $250
Split request $500
Switching fee $500
Redraw fee online $15
Assisted redraw fee $30


most of those would not be applicable if you decide to leave after 1 year.

even if you had $1000 of setup fees, you are looking at a comparison rate of 3.79%
 
most of those would not be applicable if you decide to leave after 1 year.

even if you had $1000 of setup fees, you are looking at a comparison rate of 3.79%

You then need to factor in the goverment mortgage registration cost.

Credit Union Discharge Cost

Government deregistration cost

Then you need to start the whole process at a different bank because the rate offered and fees are far from competative. Which could likely incur you cost with that bank at the time and also government registration cost.


Or could look for a reasonable priced financial institution that matches your service needs, banking needs, minimal fees with a consistant rate.
 
You then need to factor in the goverment mortgage registration cost.

Credit Union Discharge Cost

Government deregistration cost

Then you need to start the whole process at a different bank because the rate offered and fees are far from competative. Which could likely incur you cost with that bank at the time and also government registration cost.


Or could look for a reasonable priced financial institution that matches your service needs, banking needs, minimal fees with a consistant rate.

Wouldn't recommend refinancing each year. Its generally an administrative hassle, but also doesn't do any favours to your credit file.
 
bumping thread to reflect interest rate cut

reflected in what others have posted
bankwest $760k 4.44%
bankwest $1.3m+ 4.38%
Homeside $1m+ 4.43%
ingdirect $1m+ 4.38%
nab $1m+ 4.38%
 
My broker recently asked me if I wanted to fix my CBA home loans with:

2 years 4.84% p.a.
3 years 4.69% p.a.
5 years 4.69% p.a.
 
You're being quoted the 'standard' fixed rates, not the professional package rates. The professional package is available to one and all, but had higher fees. For smaller loan amounts, the product with the higher rates but lower fees may be more cost effective.

Keep in mind, we're talking in the order of $20-$30 per month.
 
CBA Fixed Rates changed today.

1YR 4.69%
2YR 4.59%
4YR 4.99%
5YR 4.59%

Note all discounts listed are on CBA Wealth/MAV Package

FYI the 3YR is 4.69%
 
CBA Fixed Rates changed today.

1YR 4.69%
2YR 4.59%
4YR 4.99%
5YR 4.59%

Note all discounts listed are on CBA Wealth/MAV Package

FYI the 3YR is 4.69%

Big moves downwards today from the Major's, especially in the 5 year fixed space. Obviously everyone's trying to lock in their business over the coming years.
 
Just to give you more info on the borrowings:

PPOR: 500K loan, valued at ~1M
IP: Looking at buying 550-600K

So I definitely have some equity on my PPOR to borrow 100% on IP but he said that I should do borrowing 80% on my IP from standard loan, and 20% from newly setup LOC so it won't cross securitise my PPOR.

I still need to read more about it and understand how it all works but the offer is definitely 1.25% discount off standard variable rate over life of loan, which is really attractive.

He did say that both me and my wife's total capacity is like 2.6M so probably they want us to borrow that much but just not have to draw it all down.


Hi Edison

It all depends on your current situation but on borrowings of 750+ we have offerings as low 4.38%p.a. (Comparison rate 4.58% per annum) variable with a major lender. This is 0.96 discount on the variable rate of 5.34%. The discount is less but the standard rate is lower than the big 4.

A 0.4% difference on a 1M loan is $4,000 per year so its worth considering the rate savings.

Also, borrowing 20% on your PPOR is fine and may also be tax deductible against your IP. Please seek tax advise about this.

Kindest regards,
 
Last edited:
Hi guys, would highly appreciate any of your thoughts on the offer below.

NAB just offered 4.58% on a loan of $440k, is this a gd enough offer? Still deciding between NAB and BankWest's 4.34% for the time being.

Also, just wondering if NAB is playing a hardline for saying they can't do any upfront valuations for existing clients until an application is submitted to increase loan amount?
 
NAB just offered 4.58% on a loan of $440k, is this a gd enough offer? Still deciding between NAB and BankWest's 4.34% for the time being.

Also, just wondering if NAB is playing a hardline for saying they can't do any upfront valuations for existing clients until an application is submitted to increase loan amount?

Would appreciate any of your thoughts on this.

Nab on $440k at 80% LVR im guessing? 4.58% is about right maybe 4.55-4.56 if you nag and ask.....

The bankwest 4.34% is a 3 years special only so beware...

Also NAB can do upfront val without an application( Via broker anyway- im guessing it should be the same with retail nab)
 
Nab on $440k at 80% LVR im guessing? 4.58% is about right maybe 4.55-4.56 if you nag and ask.....

The bankwest 4.34% is a 3 years special only so beware...

Also NAB can do upfront val without an application( Via broker anyway- im guessing it should be the same with retail nab)

Hi Mick,

Thanks for your prompt reply. You are right, the loan has an initial LVR at 80%. However after having had the property for 4years, I am guessing the LVR should stand somewhere around the 57% mark or higher.

But since NAB is playing a hardline on the upfront valuation, I guess I wont really find out about the property's worth until I refinance away from them. It was funny how the guy I talked to at NAB changed his line from "yes you can have the upfront valuation free of charge" to "no, you must do it together with a loan top-up application".

I understand that 4.34% from Bankwest is a honeymoon rate that only lasts for 3years. However, I guess since I am only interested in an IO loan, any headline rates are only so relevant for the next 12-24mths at best. God knows I was paying NAB at 4.98% prior to my asking of the review on the rate.

So I am really tempted by the offer coming from Bankwest, not to mention I get the benefit of a free revaluation on my existing property (as this paves way for my next purchase of an IP) and will only be paying $108 p.a for the use of an offset account (vs. $395 for NAB's package fee on Choice)

So my point of concern in this case would be "have I missed anything in my line of reasoning for switching to BankWest"??? I am just not too sure on the benefits of holding on to a big-4 bank and paying them at such higher rate anymore.

Thanks in advance again for any of your thoughts on this.
 
If your a serious investor - ie after 1-3 purchase within a 2 years time frame...than bankwest as your "foundation" property is the wrong fit...

bankwest will max your cash out/equity at $100,000 ....anything over is a pain in the *** with bankwest ( need proof or accountants letter etc..)


I presume you probably want to max your equity out so i would personally avoid bankwest....good rate but bad policy for growth investors.

P.s your loan will be over $500,000 after equity...you will be able to get a rate of 4.44- 4.49% no issues and FULLL equity + life of the loan discount + if you add a 2nd loan on top ( $1.2 m or max 2-3 property per bank is fine) your total rate 1st and 2nd loan would be 4.39-4.44%

So rate wise...dont shop for rate ( the rate will follow) shop for policy to fit your short and long term goals....rate is ALWAYS negotiable- Policy arn't ( well to a point anyway).

Cheers
 
So can any SS broker kindly confirm if it is a standard practice for NAB to not offer upfront valuation free of charge for their existing clients?:confused::confused:

The NAB guy said NAB is a conservative bank in the sense that based from what he could gauge from the RP Data, he thinks the valuation would only comes in around mid600, where on the other hand, the branch manager from Bankwest was quick to point out to me that not only the property attributes was incorrectly noted on the RP data report, the sales data on which the report was based was much more than 6mths old. As the manager is more locally based, he is more confident that the revaluation would come in at least low to mid700s if not higher.

Overall, it sounds like I will have issue with accessing full equity through NAB anyway further down the track????:eek::eek:
 
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