Looks like Westpac are trying to entice some more home loan customers. Not sure about their interest rates, but if they can match or beat your current rate it could be a good deal.
Available for new home loan refinance applications submitted by 31 March 2019 and settled by 31 May 2019 under the Premier Advantage Package.* $250k min loan size and $395 annual package fee applies. Excludes refinances within Westpac Group."
What rate are they offering?
Banks shouldn't be allowed to advertise a mortgage product without rates
Commbank were doing the same (might also still be available for those looking at changing).
.
The PAP rates are all listed on this page: https://www.westpac.com.au/personal-banking/home-loans/packa…
$250-500k comparison rate: 5.5% p.a.
$500-$750k comparison rate: 5.45% p.a.
$750k+ comparison rate: 5.4% p.a.
Anyone moving from westpac I/O to another recently? Is the difference in interest rates significant?
Contact different banks or your mortgage broker..the rates are negotiated and depends on your circumstances..
man you'd have to be crazy to go for those rates… I'm getting ripped off by bankwest at 4.24 at the moment, just waiting for my work probation to be over….then i'm out of there…
the difference on a 30 year loan for my 4.24 compared to a 5.45 for lets say 600K the difference between $2,949 per month and $3,388 or 439 per month difference, that 2k refinance rebate is No 1 probably going to be eaten up in fees (discharge fees from your old bank etc) and financing fees on the new bank, even if its not, its gonna be eaten up in a matter of months… let alone the annual rates (of which i pay none!)
this deal deserves a neg!this is a seriously bad deal with the book rates! youd have to be a total noob to fall for this on those rates… Im assuming most people with westpack would have had to have negotiated a rate of at least 1.5 below there listed rate… listed rates are really only there so you can feel good about getting a discount!
It is just the advertised rate and doesn't include the discounts that are added on the base rate..relax..
this is a seriously bad deal with the book rates! you'd have to be a total noob to fall for this on those rates… I'm assuming most people with westpack would have had to have negotiated a rate of at least 1.5 below there listed rate… listed rates are really only there so you can feel good about getting a discount!
hence this statement?
or more specifically:
I'm assuming most people with westpack would have had to have negotiated a rate of at least 1.5 below there listed rate
Whats the average approximate refinance cost?
The refinancing out bank will charge you $350+ for a Release of Mortgage
Refinancing In bank will have their own set of fees to bring you in, so you will have to check with the individual banks. They'll charge you the package free upfront, valuation fees should be free, $17 for a title search, should be about it.
will charge you $350+ for a Release of Mortgage
I thought these fees were made illegal years back…
I work for a Big 4, trust me those fees are still alive and well
those fees are still alive and well
Might need another Royal Commission then…
"Lenders are not allowed to charge exit fees on loans taken out after 30 June 2011"
ASIC https://www.moneysmart.gov.au/borrowing-and-credit/home-loan…
@jv: Ah yeah, I wasn't working in the bank in 2011 but they've renamed the fee to a "documentation service" - which in itself IS true, there is as much work to release a mortgage as there is to release one.
Just googled the fees and charges page for one of the big banks;
Document Preparation & Production
Mortgage Discharge Fee
* Includes preparation of discharge, attending settlement and lodgement of documents where applicable - $350
@MiguelSanchez91: That's just a defacto exit fee
Worth making a complaint to ASIC and the ombudsman.
No that is exit fees. Every loan still has a discharge fee of between $300 and $500 and there is also still State mortgage stamping fees in and out. Exit fees and deferred application fees were banned. These used to be in the thousands. This is also why CBA were pushing so hard at the Royal Commission for customer pays to replace mortgage broker commissions as an application fee of several thousand dollars to refinance to another bank is in effect an exit fee on the current loan. There are also still break costs if you break a fixed interest loan.
There are also still break costs if you break a fixed interest loan.
That's very different though, with fixed interest, there is the cost of the risk premium.
@jv: Yeh it is different, but a lot of people don't realise it when they have a fixed loan even though it is as clear as in the contract. How much it is depends on the interest rate you are fixed to, the money market rate at the time of the start of the fixed period, the money market rate at the time you get a quote for the break cost from the bank, the duration left on the term of the fixed period, etc. and good luck getting a bank giving you a break down of the calculation. I broke a Westpac fixed loan years ago because they were utter crap to deal with when I was doing a sub-division on one of my properties. With only 12 months left to go on a balance of approx $200k it was a couple of thousand to break.
Clearly mistaken..
Those rates are pretty high. Getting a rate under 4% should be pretty easy these days.
Yeah I was gonna say. Was looking at a few last week and they were all sitting around the 3.8 - 4.3 mark.
i need refinancing my ing loan, as the annual package fee $299 is too expensive, is there any low cost monthly fee loan with offset account facility?
CUA perhaps
Blows my mind that there are fees in general. Are they not making enough money on interest.
vote for the greens or labor..fees will go..
You can get a loan from HSBC with a rate of 3.59%. It doesn't include an offset account, but includes unlimited redraws (via internet banking) so you can move money from your loan account to your savings account (and vice versa) with ease. No ongoing fees either.
Any minimum redraw amount?
Nope
same as ubanks rate at the moment…
You can get an ING Platinum Credit Card which is free with an ING Advantage loan. If you spend $3000/mo on credit you earn the maximum cashback amount of $30/mo, or $360/yr. Nets you an extra $61/yr. I'm sure there are better cards etc, but might be worth investigating.
Yep its 1% maximum per month.
Spoke to them earlier today actually & was advised that the current variable Home rate PIF is just shy of 3.9% and 2 years fix rate home loan rate PIF is 3.75%. This is with the $2k rebate & they agreed to waive the 1st year package fee. based on a $400k loan for anyone interested.
they lose me for not giving incentives to keep current customers
None of the Big 4 does…
Which business does?
Finalising this at the moment. Rate is 3.88% owner occupied P&I. Previous rate with an alternative Big4 bank was ~4.5%
Total refinance costs/banking package costs are working out to about $600. So $1400 off the loan. Loan balance ~500k.
Any ongoing fees?
Currently with Westpac on 4.09% PPOR P&I. Have tried before to get them to bring me under 4% but no dice. Do I have to get another bank to request to move my loan for them to adjust me to something decent? Have 1yr left on a fixed loan, is that covered under other banks break cost allowance (paying out the remainder of the interest)?
Also I hate WBC offering that 200/250k velocity point promo last year. Being a current customer you can't claim it :(
I am surprised that they aren't bringing you down closer to 4%, is that loan fixed or variable?
If it's variable, go walk to your closest bank that isn't WBC and ge them to offer you their best deal, take that deal back to WBC and I'm confident they'll start running around like headless chooks to save your business from walking out the door. Can confirm, I work for one a bank.
As for the economic cost, it will be a straight up cost to yourself. However mention it to the other bank and they might cover the costs - it's completely discretionary and really depends how much they want to pay for your business. Given you've only got a year left the economic cost may not be too much.
I have a fixed and variable portion. I guess I will have to get a quote from another bank them to get them to lower it. Thanks for the tips
What's the ozbargainers accepted variable rates for investment properties these days?
3.89% P&I for investment
ANZ is offering 2500 or 3500 depending on loan amount. Regarding rates. The matter is very subjective so won't go into that.
Disclaimer:- I work for ANZ.
PM me anymore info you are allowed would be appreciated. Thinking of changing up to ANZ maybe.
In our experience in submitting mortgages to ANZ they have been nearly uniform in approving these rebates.
If the loan size is $250,000-$750,000 = $2,500
If the loan size is $700,000+ = $3,500
The core difference between Westpac and ANZ is that Westpac Group has traditionally had slightly easier servicing hurdles. As such, the strength of the servicing is one of the key litmus tests in pursuing an offer with ANZ.
Hope this helps
Sorry to hear that.
I am refinancing to them atm , 3 yr fixed ,interest only, investment loan for 3.95% . I think owner occ was a little less from memory . My son is a mortgage broker but think this is for everyone . getting the $2k refinance credit too
was it difficult getting an interest only loan? Have been advised that they're reluctant to do anything that isn't principal & interest.
no , had to provide a whole heap of stuff but it all balanced so no issues
Not a bad deal but you will pay for it long term.
Hi deb3103. Investment loan interest only 3 year fixed at 3.95 & 2K refinance. Sound great.
Do u have anymore infor.
PM me if u do.
Thank u
If you could please tell me which bank you could do for 3.95% interest only. Thanks
They won't accept my property as it's on their list for over exposure :<
Still very interesting do people actually think how they are going to repay the principal when considering interest only loans?
Or it doesn't really matter until bubble gets bigger and first home owners can't enter. Then it all burst…but who to blame? BANKS!
suing the bank if they loose money as this stupid bitch on TV with 1.8 Mil in mortgage 5 properties with 3 kids and only husband working!
Hope this Era ends soon and the greedy will get what they deserve!
Its more strategic. For tax purposes. But yes i agree that that lady is greedy. Dont friggin buy 5 if you cant hack it.
I just don't understand if everyone with 55000 per year can get up to 1 000 000 and buy few investment properties…then pay no taxes and inflate the property market as that money shall never be given! those investments shall never be done. Thats why we have land prices just. crazy and apartments for 500 000. While the real value is 150-200. Let's be real.
Government likes the fees etc. Banks like interest too. But is it organic? Simply not fair and still everyone believes in property! always grow! we will see….
I don't believe in it and 2019-2020 are the year to show us the reality behind real values.
If those who used to have huge loans can't get anymore and evaluations came back as negative…fasten seat belts!
moreover InterestFree loans! such a nonsense!!!
I hope the bank counter-sues for "irresponsible borrowing".
Once again. Why would you join a bank that defrauds it's customers……. There is a lot that didn't come out about Westpac also. Big 4 should be banned on here… Customer owned banks only!! Better rates, better service, better customer satisfaction and no shareholder! Customers are the owners …
do you have a few suggestions? with cash rebate preferred.
the cash rebate is ridiculous as its usually chewed up by the extra fees, just go with a bank with the lowest interest rate for the services you want… (IE its not worth going with a bank with 3.5% interest if you cant redraw extra cash you put in as you need it)
For variable interest rate offers at Westpac, you will need to speak to the bank directly or chat to your mortgage broker as discounts will generally be offered in the region of 1.2% - 1.5%, depending on the circumstances of the loan.
There is also an investment I/O fixed special for 3 years at 3.99% which is not currently advertised and is set to end any day now. There is a redraw feature on the fixed loans to access up to $30k of additional repayments during the fixed term. More details on the bank website.
Then how do you know it's a bargain ?