Current Home Loan interest rates

so broker pays valuation out of pocket? :confused:

No we get access to 'free' valuations from the lenders. Upfront valuations can be done with a suite of lenders. Some lenders prefer applications to be submitted prior to valuations being ordered.

It just forms part of the cost basis for lenders, so these costs are reflected in the price of credit.

Cheers,
Redom
 
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,

Hi Juliana,

Things has changed since early last year. My OTP house was settled late last year so my financial situation is like this:

ANZ Bank: ALL Variable rates: 4.43% with package

PPOR Loan: 470K
IP1 Loan 1 (20% from PPOR): 118K
IP1 Loan 2 (80%): 494K
Another IP Loan (100% offseted): 114K

I am in the middle to closing the other IP loan and convert to LOC. I am getting ANZ to revalue my properties to see how much I can borrow. I am looking borrowing to 80% and have separate loan on LOC so that in the future when good opportunities comes up I can buy. I am hoping to borrow 1.4-1.5M in total.

What interest rate can you offer for 1.4-1.5M?
 
No we get access to 'free' valuations from the lenders. Upfront valuations can be done with a suite of lenders. Some lenders prefer applications to be submitted prior to valuations being ordered.

It just forms part of the cost basis for lenders, so these costs are reflected in the price of credit.

Cheers,
Redom

Hi Redom,

Is it true that NAB is actually offering $1k rebates on any current refinancing deals and is able to offer somewhere around 4.43-4.44% for a loan of $440k? (through the broker channel of course):confused::confused:
 
No we get access to 'free' valuations from the lenders. Upfront valuations can be done with a suite of lenders. Some lenders prefer applications to be submitted prior to valuations being ordered.

It just forms part of the cost basis for lenders, so these costs are reflected in the price of credit.

Cheers,
Redom

Sorry one more question, when they say 'upfront valuations' it means brokers can arrange valuations without submitting an application with the lender right? Just worried that too many credit enquiries would ruin my credit profile.
 
Sorry one more question, when they say 'upfront valuations' it means brokers can arrange valuations without submitting an application with the lender right? Just worried that too many credit enquiries would ruin my credit profile.

Yep. But brokers generally manage relationships with banks and clients. Putting through multiple valuations for clients that aren't serious generally doesn't end well for the brokers relationships long term. If you have an existing relationship with your broker, i'm sure they'll look into it for you though.

Cheers,
Redom
 
Hi Redom,

Is it true that NAB is actually offering $1k rebates on any current refinancing deals and is able to offer somewhere around 4.43-4.44% for a loan of $440k? (through the broker channel of course):confused::confused:

That is a very good rate Rwang. NAB do discount pretty well, but their carded rates don't even come close to those outlined for that loan size. With some of the other majors, you're likely to be paying more than that.

Cheers,
Redom
 
Hi Juliana,

Things has changed since early last year. My OTP house was settled late last year so my financial situation is like this:

ANZ Bank: ALL Variable rates: 4.43% with package

PPOR Loan: 470K
IP1 Loan 1 (20% from PPOR): 118K
IP1 Loan 2 (80%): 494K
Another IP Loan (100% offseted): 114K

I am in the middle to closing the other IP loan and convert to LOC. I am getting ANZ to revalue my properties to see how much I can borrow. I am looking borrowing to 80% and have separate loan on LOC so that in the future when good opportunities comes up I can buy. I am hoping to borrow 1.4-1.5M in total.

What interest rate can you offer for 1.4-1.5M?

Should be able to get it down to 4.38% without too much trouble for that loan size.

Cheers,
Redom
 
Hi Redom,

I probably won't move for 0.05% discount. I am looking at least 0.1% or more discount before moving ...

Cheers,

Edison

Try negotiating with NAB directly if you can - may get it <4.30% (will be tough though) - but their retentions team have done it before.
 
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