ANZ increases home loan interest rates
Despite increasing some home loan interest rates on fixed rate home loans, unlike Westpac and Commonwealth bank ANZ have also provided some relief to borrowers by decreasing fixed interest rates on principal and interest repayment home loan products.
Good news for owner occupiers who pay Principal and Interest loans:
Bad news owner occupiers with Interest only repayments:
With over 40% of all Australian home loans on interest only lending, we anticipate that there would be more changes in the short to medium term in the form of increase in interest rates.
Borrowers who have already fixed their home loans will not be affected by the latest round of changes.
The competition among banks, credit unions, mutual banks, and other financial institutions will continue to increase.
There are plenty of savings to be made if the borrowers know where to find them. Hence getting bankers and brokers to bid for your loan requirements online may give you the best possible opportunity to get a better home loan deal.