NAB cuts 5-year fixed rates by 0.55%

Man on computer browsing interest rates.

National Australia Bank made a number of changes to its fixed rate suite today, cutting rates for both owner occupiers and investors by between 5 and 55 basis points.

The major bank reserved the largest cut for the 5-year term on the Tailored Home Loan (Choice Package). As of today, owner occupiers looking to fix long-term can now access rates as low as 2.24% p.a. (3.66% p.a. comparison rate*).

Today’s reductions also saw headline rates for 3-year terms dip below the 2% mark, bringing them in line with NAB’s 4-year option, which has offered 1.98% p.a. (3.69% p.a. comparison rate*) since November last year.

NAB executive of home ownership, Andy Kerr said the new rates are among the lowest offered by the bank.

“Both our 3- and 4-year fixed rates for owner-occupiers paying principal & interest are now below 2 per cent, a level that would have seemed unbelievable just a few years ago. These changes will also offer our lowest ever rate to property investors,” he said.

Owner occupiers making principal and interest repayments:

  • 1 year: 2.09% p.a. (4.16% p.a. comparison rate*)
  • 2 year: 2.04% p.a. (3.99% p.a. comparison rate*)
  • 3 year: 1.98% p.a. (3.83% p.a. comparison rate*)
  • 4 year: 1.98% p.a. (3.69% p.a. comparison rate*)
  • 5 year: 2.24% p.a. (3.66% p.a. comparison rate*)

Investors making principal and interest repayments:

  • 1 year: 2.54% p.a. (4.73% p.a. comparison rate*)
  • 2 year: 2.44% p.a. (4.53% p.a. comparison rate*)
  • 3 year: 2.44% p.a. (4.37% p.a. comparison rate*)
  • 4 year: 2.94% p.a. (4.38% p.a. comparison rate*)
  • 5 year: 2.94% p.a. (4.28% p.a. comparison rate*)

Current interest rate settings have fast-tracked plans to buy for thousands of Australians, with promising economic signs leading NAB to predict a 10 per cent increase in capital city property prices over 2021.

“For the past few months home lending applications have been at their highest level in several years as buyers flock back into the market after a quiet period through the nationwide lockdowns,” Kerr said.

“We expect the current trends to continue in the near-term given the historic low rates and government support programs.”

For information about mortgage and lending trends, visit our home loan statistics page. And to see how NAB’s new rates stack up, check out our home loan comparison page, or browse the selection below.

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Last updated 16 June 2024 Important disclosures and comparison rate warning*
  • Basic Home Loan

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

    interest rate
    comparison rate
    Initial monthly repayment
    6.25% p.a.
    fixed 3 years
    6.20% 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.

    Compare
    Details
  • Variable Home Loan 90

    Principal and Interest, LVR <90%

    interest rate
    comparison rate
    Initial monthly repayment
    6.04% p.a. variable
    6.06% p.a.

    Affordable home loan rate for buyers or refinancers. No monthly or ongoing fees. Option to add an offset for 0.10%. Access to savings with unlimited redraws available. Minimum 10% deposit required.

    Compare
    Details
  • The Better Home Loan Special Offer

    Owner Occupier, Principal & Interest, LVR<80%

    interest rate
    comparison rate
    Initial monthly repayment
    6.14% p.a. variable
    6.14% p.a.

    Enjoy a variable rate home loan with a bunch of features from Police Credit Union. Make extra repayments at any time without penalty. No monthly, annual or upfront fees. Free online redraw. Minimum 20% deposit. Qualifying criteria applies. Minimum loan amount is 200K. For new customers only. Mozo Experts Choice Home Lender Credit Union of the Year 2023.

    Compare
    Details
  • Discount Variable Home Loan

    Owner Occupier, LVR<70%

    interest rate
    comparison rate
    Initial monthly repayment
    5.99% p.a. variable
    6.01% p.a.

    A low rate home loan for owner-occupiers packed with great features including unlimited extra repayments, free online redraw, no application or monthly admin fees. Rate will vary depending on LVR. Winner of a Mozo Experts Choice 2024 Low Cost Home Loan Award^

    Compare
    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. 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.

^See information about the Mozo Experts Choice Home Loan Awards

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