Big bank RBA watch: How do ANZ, CommBank, NAB and Westpac home loan rates compare after cuts?

Tom Watson

02 Oct 2019

Big banks rate cuts october content

It’s official - Australia’s big four banks have now weighed in on the October RBA decision by announcing their respective cuts to variable home loan rate offers. 

And not a single one has passed on a full 25 basis point cut. 

The Commonwealth Bank was the first of the major banks to make a move just hours after the Reserve Bank cut the official cash rate from 1.00% to 0.75%. 

Commbank announced a 0.13% reduction across its Standard Variable Rate home loan offers, with the new Standard Variable rate for owner occupiers making principal and interest repayments set to drop to 4.80% (4.95% comparison rate*) from October 22. 

NAB was the second of the big four to move, with an announcement on Tuesday evening that it would shave 0.15% off its variable rate Tailored Home Loans. The decision means the NAB Tailored Home Loan for owner occupiers making principal and interest repayments will drop to 4.77% (4.90% comparison rate*) as of October 11. 

“With the RBA cash rate at historic lows, the cost of deposits comes under pressure,” said NAB Chief Customer Officer Consumer Banking, Mike Baird, in a statement released on Tuesday night.

“This dynamic is unlikely to change for the foreseeable future, but we’re determined to support all our customers and play our part by continuing to lend to boost growth and confidence in the economy.”

                   

Meanwhile, ANZ (0.14% reduction) and Westpac (0.15% reduction) also announced changes to their respective variable home loan rates. 

ANZ’s move means that their Standard Variable Rate loan for owner occupiers making principal and interest repayments will fall to 4.79% (4.89% comparison rate*) as of October 11. 

Westpac’s decision, which will be effective as of October 16, drops the Rocket Repay Home Loan rate for owner occupiers making principal and interest repayments to 4.83% (4.97% comparison rate*). 

Are there greener pastures elsewhere for Aussie mortgage holders?  

With an average home loan rate in the Mozo database of 3.87% (for owner occupiers making principal and interest repayments) as of October 1, and a handful of lenders offering rates below 3.00%, Mozo Director, Kirsty Lamont, has urged Aussies to look beyond their current lenders if they’re not getting value for money. 

“Now that the Reserve Bank has cut rates again the door is well and truly open for new borrowers and refinancers to snag a competitive deal on their home loans,” she said. 

“If you haven't already, now is the time to take a long hard look at your current interest rate and seriously weigh up whether it may be time to give your lender the flick if they’re no longer up to scratch.”  

Among the lenders who have already announced rate cuts following the Reserve Bank’s decision, online lenders Athena Home Loans, Homestar and UBank have all passed on a full 25 basis point cut.

Athena’s Variable Home Loan now stands at 2.84% (2.80% comparison rate*), Homestar’s Star Essentials Home Loan sits at 2.74% (2.77% comparison rate*) for new borrowers and will apply to existing borrowers from October 28, while UBank’s UHomeLoan - Discount offer will drop to 2.84% (2.84% comparison rate*) from October 29.   

So if you’re ready to take the leap, make sure you check out the hot home loan offers below, or keep up to date with all the important home loan rate changes by heading over to our Naughty or Nice table.

Compare home loans 2019

Rates updated daily. Advertiser disclosure.

  • loans.com.au
    Mozo Expert Choice Badge" style="width:60px;">

    1.85% p.a.variable for 24 months and then 2.25% p.a. variable

    2.21% p.a.

    $1234

    Product details Close details
    Smart Booster Home Loan

    2 Year Discounted Variable Rate, Owner Occupier, Principal & Interest, <80% LVR

    1.85% p.a.variable for 24 months and then 2.25% p.a. variable

    2.21% p.a.

    New super low introductory rate home loan for two years. Min 20% deposit. No monthly or ongoing fees. Fast settlement times. Mozo award-winning online lender. Friendly, local Australian based team.

    Smart Booster Home Loan

    New super low introductory rate home loan for two years. Min 20% deposit. No monthly or ongoing fees. Fast settlement times. Mozo award-winning online lender. Friendly, local Australian based team.

    • 1.85% p.a.variable for 24 months and then 2.25% p.a. variable

    • 2.21% p.a.

    • $520

    • $0.00

    • $0.00

    • yes - free

    • yes - free

    • Optional - with 0.10% additional interest

    • $520

    • 80.00%

    • $50,000

    • $1,000,000

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Weekly, Fortnightly, Monthly

    Read our Mozo Review to learn more about the Smart Booster Home Loan

    Details Close

  • UBank
    Mozo Expert Choice Badge" style="width:60px;">

    1.99% p.a. variable

    1.99% p.a.

    $1234

    Product details Close details
    UHomeLoan - Discount Offer

    Owner Occupier, Principal & Interest

    1.99% p.a. variable

    1.99% p.a.

    Enjoy a super low rate. $0 fees to consider. Fast and easy online application. Free redraw and free extra repayments. Flexible payment terms. Min 20% deposit required.

    UHomeLoan - Discount Offer

    Enjoy a super low rate. $0 fees to consider. Fast and easy online application. Free redraw and free extra repayments. Flexible payment terms. Min 20% deposit required.

    • 1.99% p.a. variable

    • 1.99% p.a.

    • $0

    • $0.00

    • $0.00

    • yes - free

    • yes - free

    • no

    • $0

    • 80.00%

    • $100,000

    • -

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Weekly, Fortnightly, Monthly

    • 1.99% rate available to new applicants until 31 January, 2022. Must settle by 1 May, 2022.

    Read our Mozo Review to learn more about the UHomeLoan - Discount Offer

    Details Close

  • Athena
    Mozo Expert Choice Badge" style="width:60px;">

    1.89% p.a. variable

    1.89% p.a.

    $1234

    Product details Close details
    Celebrate Variable Home Loan

    <60% LVR, Owner Occupier, Principal & Interest

    1.89% p.a. variable

    1.89% p.a.

    Fast and efficient online application. Automatic discounts as loan is paid down. Free extra repayments and redraw facility. Zero fees. Min 40% deposit required. Winner of three Mozo Expert's Choice Awards for 2021.

    Celebrate Variable Home Loan

    Fast and efficient online application. Automatic discounts as loan is paid down. Free extra repayments and redraw facility. Zero fees. Min 40% deposit required. Winner of three Mozo Expert's Choice Awards for 2021.

    • 1.89% p.a. variable

    • 1.89% p.a.

    • $0

    • $0.00

    • $0.00

    • yes - free

    • yes - free

    • yes

    • $0

    • 60.00%

    • $100,000

    • $2,000,000

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Weekly, Fortnightly, Monthly

    Read our Mozo Review to learn more about the Celebrate Variable Home Loan

    Details Close

  • Nano

    1.99% p.a. variable

    1.99% p.a.

    $1234

    Product details Close details
    Variable Home Loan

    Owner Occupier, Principal & Interest

    1.99% p.a. variable

    1.99% p.a.

    Same low variable rate for all. No upfront or ongoing fees. Approval in minutes not weeks with a fast digital application. 100% offset sub account with no account or redraw fees. Comes with a Visa debit card, mobile App, and digital wallet (Apple and Google Pay). Refinance only. 25% deposit or equity required.

    Variable Home Loan

    Same low variable rate for all. No upfront or ongoing fees. Approval in minutes not weeks with a fast digital application. 100% offset sub account with no account or redraw fees. Comes with a Visa debit card, mobile App, and digital wallet (Apple and Google Pay). Refinance only. 25% deposit or equity required.

    • 1.99% p.a. variable

    • 1.99% p.a.

    • $0

    • $0.00

    • $0.00

    • yes - free

    • yes - free

    • yes - offset sub account

    • $0

    • 75.00%

    • $100,000

    • $2,500,000

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Monthly

    Read our Mozo Review to learn more about the Variable Home Loan

    Details Close

  • Yard
    Mozo Expert Choice Badge" style="width:60px;">

    1.99% p.a. variable

    2.02% p.a.

    $1234

    Product details Close details
    Variable Home Loan Special

    Owner Occupier, Principal & Interest, LVR <80%

    1.99% p.a. variable

    2.02% p.a.

    Yard’s low-rate variable special home loan is packed with all features – unlimited additional repayments, free redraw, 100% offset account. Enjoy a simple online application. Special rate applies to home loan applications submitted by 31st January 2022. Low Cost Home Loan winner in the Mozo's Experts Choice award 2021.

    Variable Home Loan Special

    Yard’s low-rate variable special home loan is packed with all features – unlimited additional repayments, free redraw, 100% offset account. Enjoy a simple online application. Special rate applies to home loan applications submitted by 31st January 2022. Low Cost Home Loan winner in the Mozo's Experts Choice award 2021.

    • 1.99% p.a. variable

    • 2.02% p.a.

    • $530

    • $0.00

    • $500.00

    • yes - free

    • yes - free

    • Optional - $10 per month

    • $530

    • 80.00%

    • $150,000

    • $5,000,000

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Weekly, Fortnightly, Monthly

    • Special rate applies to home loan applications submitted by 31 January 2022.

    Read our Mozo Review to learn more about the Variable Home Loan Special

    Details Close

  • Macquarie

    2.14% p.a. variable

    2.14% p.a.

    $1234

    Product details Close details
    Basic Home Loan

    Owner Occupier, LVR<60%, Principal & Interest

    2.14% p.a. variable

    2.14% p.a.

    Competitive low variable rate. No application or account management fees. Flexibility to split your loan and set different repayment types. Fee free withdrawals of your savings.

    Basic Home Loan

    Competitive low variable rate. No application or account management fees. Flexibility to split your loan and set different repayment types. Fee free withdrawals of your savings.

    • 2.14% p.a. variable

    • 2.14% p.a.

    • $0

    • $0.00

    • $400.00

    • yes - free

    • yes - free

    • no

    • $0

    • 60.00%

    • $150,000

    • $5,000,000

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Monthly

    Read our Mozo Review to learn more about the Basic Home Loan

    Details Close

  • HSBC

    1.97% p.a. variable

    1.98% p.a.

    $1234

    Product details Close details
    Discounted Home Value Loan

    Owner Occupier, Principal & Interest, LVR <70%

    1.97% p.a. variable

    1.98% p.a.

    Enjoy competitive rates for owner occupiers. Enjoy unlimited free extra repayments. Flexibility to redraw additional payments for free. No ongoing monthly service fee. Plus, $3,288 cashback offer (conditions apply).

    Discounted Home Value Loan

    Enjoy competitive rates for owner occupiers. Enjoy unlimited free extra repayments. Flexibility to redraw additional payments for free. No ongoing monthly service fee. Plus, $3,288 cashback offer (conditions apply).

    • 1.97% p.a. variable

    • 1.98% p.a.

    • $0

    • $0.00

    • $300.00

    • yes - free

    • yes - free

    • no

    • $0

    • 70.00%

    • $50,000

    • $15,000,000

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Weekly, Fortnightly, Monthly

    • Receive $3,288 cashback when you refinance an existing home loan of $250,000. Must apply by 31 March 2022 and settle by 31 May 2022.

    Read our Mozo Review to learn more about the Discounted Home Value Loan

    Details Close

  • Newcastle Permanent

    2.22% p.a. variable

    2.26% p.a.

    $1234

    Product details Close details
    Special Real Deal Home Loan

    Owner Occupier, Principal & Interest, LVR <80%

    2.22% p.a. variable

    2.26% p.a.

    No application or service fees. Flexibility to choose your repayment schedule ( weekly, fortnightly or monthly) . $2,000 cashback offer for investor & owner occupied home loans over $250k with LVR ≤80% when refinancing to Newcastle Permanent.

    Special Real Deal Home Loan

    No application or service fees. Flexibility to choose your repayment schedule ( weekly, fortnightly or monthly) . $2,000 cashback offer for investor & owner occupied home loans over $250k with LVR ≤80% when refinancing to Newcastle Permanent.

    • 2.22% p.a. variable

    • 2.26% p.a.

    • $595

    • $0.00

    • $0.00

    • yes - free

    • yes - fees apply

    • no

    • $595

    • 80.00%

    • $150,000

    • -

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Weekly, Fortnightly, Monthly

    • $2,000 cashback when you refinance your home loan from another financial institution when you apply by 31 March 2022 and are funded by 31 May 2022, min $250k, LVR <80%

    Read our Mozo Review to learn more about the Special Real Deal Home Loan

    Details Close

  • Bank of Queensland

    1.98% p.a. variable

    2.15% p.a.

    $1234

    Product details Close details
    Economy Variable Home Loan

    Owner Occupier, Principal & Interest, <70% LVR, Debt to Income ratio <6

    1.98% p.a. variable

    2.15% p.a.

    An ongoing low variable interest rate with free redraw, flexible repayment options and one free valuation. Discounted Economy variable rate available for owner occupier lending with max LVR of 70%. Refinance to BOQ by 31 January 2022 and get $3,000 cashback (T&Cs apply).

    Economy Variable Home Loan

    An ongoing low variable interest rate with free redraw, flexible repayment options and one free valuation. Discounted Economy variable rate available for owner occupier lending with max LVR of 70%. Refinance to BOQ by 31 January 2022 and get $3,000 cashback (T&Cs apply).

    • 1.98% p.a. variable

    • 2.15% p.a.

    • $450

    • $10.00 monthly

    • $350.00

    • yes - free

    • yes - free

    • no

    • $450

    • 70.00%

    • -

    • -

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Weekly, Fortnightly, Monthly

    • $3,000 refinance cashback, min $250,000, 80% LVR or less. Apply before 31 January 2022, settle by 29 April 2022.

    Read our Mozo Review to learn more about the Economy Variable Home Loan

    Details Close

  • OneTwo

    1.99% p.a. variable

    1.89% p.a.

    $1234

    Product details Close details
    Variable Rate Home Loan

    Owner Occupier, Principal & Interest, LVR <80%

    1.99% p.a. variable

    1.89% p.a.

    OneTwo’s Variable Rate Home Loan brings features a low variable rate for owner-occupier refinancers. It has low fees and rewards borrowers for repaying the loan by lowering their rate. (T&Cs apply). Available to refinancers in metro NSW and Victoria only.

    Variable Rate Home Loan

    OneTwo’s Variable Rate Home Loan brings features a low variable rate for owner-occupier refinancers. It has low fees and rewards borrowers for repaying the loan by lowering their rate. (T&Cs apply). Available to refinancers in metro NSW and Victoria only.

    • 1.99% p.a. variable

    • 1.89% p.a.

    • $0

    • $0.00

    • $0.00

    • yes - free

    • no

    • no

    • $0

    • 80.00%

    • $20,000

    • $2,000,000

    • Variable

    • Principal & Interest

    • Owner Occupier

    • Fortnightly, Monthly

    Read our Mozo Review to learn more about the Variable Rate Home Loan

    Details Close

^See information about the Mozo Experts Choice Home loans Awards