NAB just added 0.29% to my interest only home loan due to apparent changing conditions in the Australian Property Market. Sounds BS to me! The loans current variable rate sits at 4.67% after the increase, not happy.
RBA current target cash rate is only 2%, so NAB are still well ahead of the game!
Any decent competition out there at the moment? Either to take back to NAB or consider moving on.
Looking for:-
-interest only
-100% offset
Cheers!
all major banks increased their rates due to government guidance on property investments.
interestingly i heard from someone only NAB increased it regardless of investment or residential, as long as it was interest only.
Other banks also increased about 0.25% but it was strictly aimed at "investment" category of loans. So if you were paying interest only on a home occupier loan, you were not affected.
Yes this is my residence loan which I currently live in. Not an investment.
Broker here. How much is your loan and what is your LVR ?
$500k property value (approx)
$460k loan.
$350k remaining (offset).
Lol at comparing the RBA cash rate to ur home loan rate.
If u borrow in the billions over night then u stand on half a leg, but since u don't, it's not even worth mentioning.
Compare ur home loan cost to other home loan costs, thanks.
I meant the cash rate is stable at 2%, not to compare to attainable rates of course.
For owner occupied, ANZ has quite good rates, and they don't have the 0.29% loading on owner occupied.
Thats typical really. eg. I have loans and they are typical principle + interest things but because the loan amount is small i dont get a good rate… they basically said since its not $500k+ thats the best we can do… so basically they prefer new customers who want to go neck deep…
There was actually government pressure on banks to make investment loans more expensive than home loans. So they're not BSing you. All the banks have/will increase investment loans. Interest only loans are usually investment loans so i assume yours is.
I don't pay too much attention to bank rates anymore. I switched to loans.com.au and I don't intend on looking back. And yes, it has 100% offset and IO loan.