ANZ follows fellow major banks with fixed home loan rate hikes

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Australia’s fourth largest bank, ANZ, has lifted interest rates on several fixed home loans by between 10 and 40 basis points, becoming the last of the big four banks to do so in recent weeks.

The rate changes, which came into effect yesterday, are the third lot of increases made by ANZ since November affecting interest rates on the banks’ Fixed Rate and Fixed Rate (Breakfree Package) home loans for owner-occupier and investor borrowers.

Subsequently, the lowest fixed rates offered by ANZ are on its Fixed Rate (Breakfree Package) loan for owner occupiers with a loan-to-value ratio (LVR) under 80% are:

  • 1-year fixed rate: 2.49% p.a. (3.37% p.a. comparison rate*)
  • 2-year fixed rate: 2.89% p.a. (3.40% p.a. comparison rate*)
  • 3-year fixed rate: 3.39% p.a. (3.52% p.a. comparison rate*)
  • 4-year fixed rate: 3.79% p.a. (3.68% p.a. comparison rate*)
  • 5-year fixed rate: 3.99% p.a. (3.82% p.a. comparison rate*)

The move from ANZ comes hot on the heels of its major bank competitors, with the Commonwealth Bank, NAB and Westpac having each increased their own respective fixed home loan rates in the past fortnight.

So given these recent rate changes, how do the sharpest advertised fixed rates on offer from the major banks stack up against each other and how do they compare to the average fixed rates in the Mozo database?

Here’s a look at the fixed rates available to owner occupiers (with an 80% LVR) across one, three and five-year terms:

Lowest big four fixed home loan rates - February 9, 2022

1-year3-year5-year
ANZ2.49% p.a. (3.37% p.a. comparison rate*)3.39% p.a. (3.52% p.a. comparison rate*)3.99% p.a. (3.82% p.a. comparison rate*)
CBA2.59% p.a. (4.15% p.a. comparison rate*)3.24% p.a. (4.11% p.a. comparison rate*)3.79% p.a. (4.24% p.a. comparison rate*)
NAB2.64% p.a. (3.94% p.a. comparison rate*)3.34% p.a. (3.96% p.a. comparison rate*)3.69% p.a. (4.06% p.a. comparison rate*)
Westpac2.49% p.a. (3.64% p.a. comparison rate*)3.14% p.a. (3.66% p.a. comparison rate*)3.69% p.a. (3.86% p.a. comparison rate*)
Mozo average2.45%3.00%3.45%

As the table above indicates, the lowest fixed rates on offer from the big four banks are all higher than the current average rates in our database for the equivalent terms - some by a considerable margin.

Of course, with fixed home loan rates very much in flux at the moment, whether those margins narrow or widen further remains to be seen.

RELATED: Home loan rate check: How do ANZ, CBA, NAB and Westpac compare?

Considering locking in a rate on your own home loan? To get to grips with some of the offers on the market, pay a visit to Mozo’s dedicated fixed rate home loan comparison hub where you’ll be able to compare the latest rates from a range of Australian lenders.

Compare fixed home loans - last updated 13 August 2022

Search promoted home loans below or do a full Mozo database search . Advertiser disclosure
  • Basic Home Loan

    Fixed, Owner Occupier, Principal & Interest, LVR<70%

    interest rate
    comparison rate
    Initial monthly repayment
    4.49% p.a.
    fixed 1 year
    3.81% p.a.

    No upfront or ongoing fees. Free extra repayments and redraw facility. Option to earn Qantas points. Min 30% deposit required. Borrow up to $750,000.

    Details
  • Fixed Rate Home Loan

    Home Loan Package, Owner Occupier, Principal & Interest, LVR <80%

    interest rate
    comparison rate
    Initial monthly repayment
    5.57% p.a.
    fixed 1 year
    4.03% p.a.

    Ability to split your home loan between Fixed and Variable. Dedicated Relationship Manager. Min 20% deposit. Receive $3,288 cashback when you refinance an existing home loan of $250,000. Must apply by 31 August 2022 and settle by 31 October 2022.

    Details
  • Basic Home Loan

    Fixed, Owner Occupier, Principal & Interest, LVR 70-80%

    interest rate
    comparison rate
    Initial monthly repayment
    4.55% p.a.
    fixed 1 year
    3.91% p.a.

    Get a flexible loan structure with up to six loan accounts with different rate types. Make free extra repayments. Enjoy free redraw facility. No upfront or ongoing fees. Option to earn Qantas points.

    Details
  • Mozo Expert Choice Badge
    Fixed Rate Home Loan

    Owner Occupier, Principal & Interest, LVR<80%

    interest rate
    comparison rate
    Initial monthly repayment
    4.99% p.a.
    fixed 1 year
    3.63% p.a.

    Competitive fixed rates across 1 to 5 year terms. No application fee or annual fee. Free extra repayments (up to $10,000 per year). Winner of Australia's Best Large Mutual Bank 2022.

    Details

* WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. The comparison rate displayed is for a secured loan with monthly principal and interest repayments for $150,000 over 25 years.

** Initial monthly repayment figures are estimates only, based on the advertised rate, loan amount and term entered. Rates, fees and charges and therefore the total cost of the loan may vary depending on your loan amount, loan term, and credit history. Actual repayments will depend on your individual circumstances and interest rate changes.

^See information about the Mozo Experts Choice Home Loan Awards

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