Gateway Bank cuts regular and green home loan rates

By Maria Gil · · 2 min read
Fact Checked
homeowners happy for gateway banks new rate cuts

Gateway Bank announced new rate cuts to some of their variable interest rate home loans.

The new rates came into effect this morning:

  • Green Plus Home Loan: This eco-friendly home loan decreased by 45 basis points (bps), meaning rates start at a low 1.89% p.a. At the time of writing, this loan is amongst the lowest in Mozo’s database.  
  • Green Home Loan:  This loan, designed to help people get more energy efficient homes, decreased by 45 bps, and its new rate starts at 1.99% p.a.
  • Premium Package Home Loan: The new variable rate for owner occupiers lowered by 35 bps, making the new rate start 1.99% p.a. for loans over $250,000.
  • Low Rate Essentials Home Loan: The new variable rate for owner occupiers decreased by 47 bps, giving a new starting rate of 2.04% p.a. for loans over $250,000.

Gateway Banks’s chief executive officer Lexi Airey said that the bank is always looking for ways to be more competitive, especially in the green home loans space.

“With the upcoming COP 26 and recent IPCC report focusing attention on the need to reach net zero, we want to make it as economical as possible for Aussies to build or retrofit their homes to be energy efficient,” she said.

The bank is also offering a $2000 cashback deal until the end of this year for their green loans. (Terms and conditions apply).

How does Gateway Bank’s new rates compare?

For starters, all four loans are well below the 3.14% average variable home loan rate for owner occupiers in Mozo’s database. Its green loans are also below the average rate of 2.21% for home loans made for environmentally friendly homes found in our database. And both of Gateway Bank green loans are the lowest green loans available in Mozo’s database.

Gateway Bank is one of many home lenders slashing their rates. In the last two weeks Orange Credit Union, CBA, ING, and UBank have announced rate cuts. In the past year, interest rates have been some of the lowest they have been in years, which has led to a boom of homeowners refinancing their loans.

If you are looking to buy or refinance your home, check Mozo’s home loan comparison hub to find which loan is perfect for you.