Banks tempt owner occupiers with competitive home loan deals
Now’s a great time to be purchasing or refinancing your own home, as we’ve seen a number of lenders drop their home loan interest rates for owner occupiers.
In fact we’ve seen 50 rate cuts in the past month alone, bringing the lowest home loan rate to just 3.94%. This low rate environment for owner occupiers, means you could be better off by a whopping $100 every month if you were signed up with the lowest rate loan, compared to the lowest rate one year ago that sat at 4.54%.
The competitive home loan deals available for owner occupiers, are a result of lenders looking to reduce their investor loan books to under 10% growth per annum, as requested by APRA.
Mozo data shows that the average owner occupier home loan rate is currently sitting at 4.69%, compared to the average investor loan rate at 4.81%.
Mozo Director Kirsty Lamont explained, “We’ve seen 12 lenders make cuts to loans targeted specifically at owner occupiers, while 11 increased rates on loans to investors.”
“Lenders are wanting to bridge the gap left by the slower growth in Investor lending and owner occupiers will be the big winners.”
Juicy interest rates aren’t the only incentive on offer to owner occupiers, as lenders are also introducing cash back offers, with six lenders currently offering deals of between $1,000 - $2,000 cash back to owner occupier refinancers.
Are you looking for a competitive home loan deal? Punch in your numbers into our home loan comparison tool to compare our entire database or check out the comparison table below to see some of the top deals in the market now: