The Commonwealth Bank of Australia is the latest bank to increase costs for home buyers seeking to lock in their interest rate, raising rates on a range of fixed-rate home loans.
The country’s biggest lender on Friday 2nd Dec 2016 raised interest rates by 0.2 percentage points to 4.24 per cent for its three-year owner-occupied fixed-rate loan, the most popular term.
► Increasing rates for our 2, 3, and 5 Year Fixed Rate Home / Investment Home Loans
► Reducing rates for our 1 Year Fixed Rate Investment Home Loans
► Reducing rates for our 4 Year Fixed Rate Home / Investment Home Loans
Interest rates could be on the rise sometime in 2017. That will likely come as a shock to many Australians
Those who already have a Westpac fixed rate loan will be unaffected.
Figures provided by comparison site Canstar show property investors taking a Westpac five-year mortgage from next week who borrow $450,000 will pay an extra $158 dollars a month in repayments over 30 years.
Newcastle Permanent Fixed Rate Home Loans will take effect from 5th December
1 Year Fixed 3.99% (from 3.69%)
2 Year Fixed 3.99% (from 3.69%)
3 Year Fixed 3.99% (from 3.79%)
4 Year Fixed 4.29% (from 3.95%)
5 Year Fixed 4.39% (from 3.95%)
Banks and lenders are attributing these recent increases to higher international funding costs, due to uncertainty in global debt markets following the outcome of the US election.
Fixed and variable loans are funded differently by lenders and therefore the rates you pay depend on a variety of circumstances
The best thing to do is to compare rates from all the lenders. Let us help take the leg work out of doing this call us or email.