Home loan news and advice - page 58

All the latest home loan news and top tips to help you manage your home loan.

First home buyers with larger deposits set to snag cheaper rates how much will they need to save

First home buyers with 40% deposits set to snag cheaper home loans

Since the Reserve Bank’s (RBA) decision last week to reduce official interest rates to yet another record low, attention has been on the home loans market to see which banks would follow suit. While responses have been varied, with some focused on slashing variable rates and others on moving fixed rates, one thing is clear: even cheaper home loans are now on the table, especially for borrowers with loan-to-value ratios (LVRs) as low as 60%.LVR refers to the portion of the property value that you owe your lender. So a 60% LVR means you’ve either saved a 40% deposit (if you’re a new customer) or built up 40% in home equity (if you already have a mortgage).Over the past few months, there’s been an interesting trend of lenders serving up their top rate discounts to customers with LVRs of up to 60%. In light of the November RBA cut, these discounts have only gotten bigger. Take Reduce Home loans, for instance, who shaved 12 basis points (bp) off its Rate Cutter Variable loan, available only to borrowers with LVRs of 60% or less. This loan was already one of the most competitive offers in the Mozo database, but now it’s fallen even further to just 1.77% (1.83% comparison rate*).

Newcastle permanent cuts 5 year fixed rates to new lows

Newcastle Permanent cuts 5-year fixed rates to new lows

Cuts to home loan rates in response to last week’s RBA rate cut continue to flow through, with Newcastle Permanent the latest lender to bring fixed rates below the 2% mark.Effective today, its Premium Plus Package Fixed Rate Special will offer 1.98% p.a. (3.81% p.a. comparison rate*) on 1-year terms and 1.99% p.a. (3.34% p.a. comparison rate*) on 5-year terms. The new 5-year rate reflects a cut of more than 100 basis points, and at the time of writing is the lowest rate among comparable owner occupied loans in our database.Last week, Newcastle Permanent CEO Bernadette Inglis said the move “is a continuation of our commitment to support our customers over the long term and offer some financial certainty during these uncertain times.”RELATED: Which banks have cut home loan rates following the November RBA rate cut?Despite the generous cuts to fixed rates, Newcastle Permanent has made clear that its range of variable rate home loans will remain unchanged for the time being. This has been the case for most lenders following last week’s reduction to the cash rate, with only nine lenders among the 86 we track opting to cut variable rates in line with the RBA.We’ve included an overview of the new fixed rate home loan below, but if you want to see how they stack up against other offers on the market, be sure to visit our home loan comparison page, where you’ll be able to filter your search by rate and type.

Do home loan rate drops only benefit new customers

Do home loan rate drops only benefit new customers?

Whether you’re considering your first home loan or well into paying off a current mortgage, recent interest rate reductions could impact you. But it does depend on the type of home loan you’ve taken out and with which lender.

Property prices set to rise should i buy now with a 5 deposit home loan

Property prices set to rise: Should I buy now with a 5% deposit home loan?

With housing prices and rental yields on their way back up, many Australians are keen to snag a piece of the investment property market pie. In fact, 26% believe now is the best time to invest, according to recent ING research. But if you’ve been struggling to raise the standard 20% deposit, the big question for you may be whether it’s a good idea to climb the property ladder with as little as 5% saved up. Let’s take a look at the pros and cons.

Best home loans to crush your mortgage in 2021

Best home loans to crush your mortgage in 2021

If saving money on your home loan in 2021 is what you’re after, then you've come to the right place. Discovering a great value home loan could mean the difference between tens of thousands of dollars saved in interest over the course of your loan, but in practice it can be hard to find the best option amongst the dozens of different lenders and rates on the market.

How have anz commonwealth bank nab and westpac responded to the november rba cut

How have ANZ, Commonwealth Bank, NAB and Westpac responded to the November RBA cut?

The official cash rate has been reduced once again, this time by 15 basis points to a new record low 0.1% following the Reserve Bank Board’s November meeting yesterday afternoon.As usual, the ball is now in lenders' courts, with homeowners across the country waiting eagerly for news of changes to their home loan rates.So, how have Australia’s largest banks - ANZ, Commonwealth Bank, NAB and Westpac - responded to this latest rate cut? We’ve wrapped up their moves below.