CBA and ANZ hike fixed home loan rates ahead of June RBA decision
On the heels of NAB and Westpac’s rate hike announcements only last week, the rest of the Big Four banks have joined in the frenzy. Today, Commonwealth Bank and ANZ escalated interest for their fixed rate owner-occupied home loans by as much as 0.80%.
CommBank made the steepest adjustments, moving up 1 and 2 year terms by 60 basis points and 3, 4, and 5 year terms by 80 bp. The change eliminates rates under 2% for its lowest fixed products.
The table below shows the new fixed rates for CommBanks’s basic Fixed Rate Home Loan for owner-occupied mortgages with P&I repayments (LVR < 95%).
CommBank Fixed Rate Home Loan - 3 June 2022
Term | Increase | New rate |
1-year | +60 bp | 3.74% p.a. (4.85% p.a. comparison rate*) |
2-year | +60 bp | 4.54% p.a (4.90% p.a. comparison rate*) |
3-year | +80 bp | 5.14% p.a (5.04% p.a. comparison rate*) |
4-year | +80 bp | 5.34% p.a (5.14% p.a. comparison rate*) |
5-year | +80 bp | 5.44% p.a (5.22% p.a. comparison rate*) |
By comparison, ANZ was a little more conservative in their changes, only lifting rates between 30-60 bp.
Here are the new rates for ANZ’s standard Fixed Rate Home Loan for owner-occupied mortgages with P&I repayments (LVR < 80%).
ANZ Fixed Rate Home Loan - 3 June 2022
Term | Increase | New rate |
1-year | +50 bp | 3.79% p.a. (3.29% p.a. comparison rate*) |
2-year | +60 bp | 4.59% p.a. (3.48% p.a. comparison rate*) |
3-year | +60 bp | 4.99% p.a. (3.70% p.a. comparison rate*) |
4-year | +40 bp | 5.09% p.a. (3.87% p.a. comparison rate*) |
5-year | +30 bp | 5.19% p.a. (4.04% p.a. comparison rate*) |
Now that all Big Four have made moves on fixed rates, we can see how the pack has reshuffled within the last week. While ANZ and CommBank were previously the cheapest two options of the four, they have now aligned rates with NAB and Westpac.
Big Four fixed rate home loans comparison (OO, P&I) - 3 June 2022
Bank | Product | Lowest 2-year rate | Lowest 5-year rate |
Westpac | Premier Advantage | 4.39% p.a. (4.10% p.a. comparison rate*) | 4.99% p.a. (4.54% p.a. comparison rate*) |
CBA | Wealth Package | 4.39% p.a. (4.56% p.a. comparison rate*) | 5.29% p.a. (5.01% p.a. comparison rate*) |
ANZ | Fixed Rate Home Loan | 4.59% p.a. (3.48% p.a. comparison rate*) | 5.19% p.a. (4.04% p.a. comparison rate*) |
NAB | Tailored Choice | 4.59% p.a. (4.64% p.a. comparison rate*) | 5.49% p.a. (5.12% p.a. comparison rate*) |
But why the new rate hike scramble?
We saw something similar back in April, when banks anticipated the Reserve Bank of Australia (RBA) would lift the official cash rate for the first time since November 2020. After the May RBA decision to raise the cash rate by 0.25%, lenders swiftly pushed up their variable products as well, altogether heightening the cost of financing a home loan no matter the type.
With the June 2022 RBA decision looming next week, the Big Four are likely preparing for another hike, which experts expect may drag the cash rate up by another 0.25% - 0.40% to pre-pandemic levels, effectively ending the emergency economic stimulus.
But while the Big Four may be the most popular banking options, they’re far from the only candidates out there. You can see how their new rates compare against smaller competitors, and brace for more rate changes with our new tracker.
Fluctuations are inevitable over time, so research is vital for hopeful buyers looking to put all this news in perspective. And don’t forget: refinancing is always an option, too.
RELATED: How to manage higher mortgage repayments
Loan details
Repayment change if rates go up
Rate talk got you worried? Read our guide for putting climbing interest in perspective. You can also use our fixed rate comparison tool to see how different offers stack up.
Compare low interest home loans - last updated 11 May 2024
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Unloan Variable
Owner Occupier, LVR <80%
interest rate
comparison rate
Initial monthly repayment5.99% p.a. variable5.90% p.a.Built by CommBank, the Unloan is the first home loan with an increasing discount (conditions apply) for borrowers. No application or banking fees. No monthly account keeping or early exit fees. Apply online in minutes.
CompareCompareUnloan Variable
Built by CommBank, the Unloan is the first home loan with an increasing discount (conditions apply) for borrowers. No application or banking fees. No monthly account keeping or early exit fees. Apply online in minutes.
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- 5.99% p.a. variable
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- 5.90% p.a.
- interest rate
- 5.99% p.a. variable
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- 5.90% p.a.
- Upfront fees
- $0
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- $0.00
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- $0.00
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- yes - free
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- yes - free
- Offset account
- no
- Maximum loan to value ratio
- 80.00%
- minimum borrowing amount
- $10,000
- maximum borrowing amount
- $10,000,000
- type of mortgage
- Variable
- Repayment types
- Principal & Interest
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- Owner Occupier
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- Weekly, Fortnightly, Monthly
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- -
Read our Mozo Review to learn more about the Unloan Unloan Variable
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Offset Home Loan
Package, Owner Occupier, LVR<60%, Principal & Interest
interest rate
comparison rate
Initial monthly repayment6.14% p.a. variable6.39% p.a.Ability to open up to 10 offset accounts per loan account. Fast online application. Linked Debit Mastercard® with fee-free access at ATMs across Australia. Package a credit card with your home loan and the annual card fee will be waived (T&Cs apply). 40% deposit required.
CompareCompareOffset Home Loan
Ability to open up to 10 offset accounts per loan account. Fast online application. Linked Debit Mastercard® with fee-free access at ATMs across Australia. Package a credit card with your home loan and the annual card fee will be waived (T&Cs apply). 40% deposit required.
- interest rate
- 6.14% p.a. variable
- comparison rate
- 6.39% p.a.
- interest rate
- 6.14% p.a. variable
- comparison rate
- 6.39% p.a.
- Upfront fees
- $350
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- $248.00 yearly
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- $400.00
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- yes - free
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- yes - free
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- yes
- Maximum loan to value ratio
- 60.00%
- minimum borrowing amount
- $150,000
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- $10,000,000
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- Variable
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- Principal & Interest
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- Owner Occupier
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- Monthly
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- -
Read our Mozo Review to learn more about the Macquarie Offset Home Loan
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Flex Home Loan
Owner Occupier, Principal & Interest, LVR <60%
interest rate
comparison rate
Initial monthly repayment6.19% p.a. variable6.43% p.a.Competitive variable rate. Multiple offset accounts available. Borrowers can also make extra repayments. Redraw facility available. Simple online application process. 40% deposit required.
CompareCompareFlex Home Loan
Competitive variable rate. Multiple offset accounts available. Borrowers can also make extra repayments. Redraw facility available. Simple online application process. 40% deposit required.
- interest rate
- 6.19% p.a. variable
- comparison rate
- 6.43% p.a.
- interest rate
- 6.19% p.a. variable
- comparison rate
- 6.43% p.a.
- Upfront fees
- $250
- Ongoing fees
- $250.00 yearly
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- $300.00
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- yes - free
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- yes - free
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- yes
- Maximum loan to value ratio
- 60.00%
- minimum borrowing amount
- -
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- -
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- Variable
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Read our Mozo Review to learn more about the ubank Flex Home Loan
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Fixed Rate
Owner Occupier, Principal & Interest, <80% LVR
interest rate
comparison rate
Initial monthly repayment6.54% p.a.
fixed 2 years7.10% p.a.Enjoy up to $3000 cashback for eligible first home buyers and $2000 cashback for refinancers on eligible home loans with the ANZ Fixed Rate Home Loan. Get the security of repayment certainty with a competitive locked in rate. No ongoing fees to pay. Offset account on 1-year fixed loans ($10/month fee applies). Interest-only payments allowed.
CompareCompareFixed Rate
Enjoy up to $3000 cashback for eligible first home buyers and $2000 cashback for refinancers on eligible home loans with the ANZ Fixed Rate Home Loan. Get the security of repayment certainty with a competitive locked in rate. No ongoing fees to pay. Offset account on 1-year fixed loans ($10/month fee applies). Interest-only payments allowed.
- interest rate
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fixed 3 years
- comparison rate
- 7.06% p.a.
- interest rate
- 6.59% p.a.
fixed 3 years
- comparison rate
- 7.06% p.a.
- Upfront fees
- $160
- Ongoing fees
- $0.00
- Discharge Fee
- $160.00
- Extra repayments
- yes - free up to to lesser of 5% of original fixed loan amount, or $5,000 each year
- Redraw facility
- no
- Offset account
- Optional - $10 per month - 1 year fixed term only
- Maximum loan to value ratio
- 80.00%
- minimum borrowing amount
- $20,000
- maximum borrowing amount
- -
- type of mortgage
- Fixed
- Repayment types
- Principal & Interest
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- Owner Occupier
- Repayment options
- Weekly, Fortnightly, Monthly
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- $3,000 cashback for eligible First Home Buyers, $2,000 cashback when you refinance loans of $250k+, apply from 1 Dec 2022, settle within 180 days.
Read our Mozo Review to learn more about the ANZ Fixed Rate
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Basic Home Loan
Owner Occupier, LVR<60%, Principal & Interest
interest rate
comparison rate
Initial monthly repayment6.14% p.a. variable6.16% p.a.Enjoy a low rate home loan with $0 application fee and $0 ongoing fees. Flexibility to split your loan and set different repayment types. Fee free redraw from your loan using online banking. Flexible ways to repay. 40% Deposit required.
CompareCompareBasic Home Loan
Enjoy a low rate home loan with $0 application fee and $0 ongoing fees. Flexibility to split your loan and set different repayment types. Fee free redraw from your loan using online banking. Flexible ways to repay. 40% Deposit required.
- interest rate
- 6.14% p.a. variable
- comparison rate
- 6.16% p.a.
- interest rate
- 6.14% p.a. variable
- comparison rate
- 6.16% p.a.
- Upfront fees
- $350
- Ongoing fees
- $0.00
- Discharge Fee
- $400.00
- Extra repayments
- yes - free
- Redraw facility
- yes - free
- Offset account
- no
- Maximum loan to value ratio
- 60.00%
- minimum borrowing amount
- $150,000
- maximum borrowing amount
- $10,000,000
- type of mortgage
- Variable
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- Principal & Interest
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Read our Mozo Review to learn more about the Macquarie Basic Home Loan
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* 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. You can change the loan amount and term in the input boxes at the top of this table. 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.
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