Ain't no changes: RBA Board leaves rates at 2.50% at May meeting

The stable Australian dollar and next week's looming 2014/15 federal budget has seen the Reserve Bank of Australia Board keep the official cash rate at a steady 2.50% for the ninth consecutive month.

Governor Glenn Stevens said in a statement that monetary policy remains accommodative. "Interest rates are very low and savers continue to look for higher returns in response to low rates on safe instruments. Credit growth has picked up a little, while dwelling prices have increased significantly over the past year. "

Find your home loan happiness

The booming Australian housing market is beginning to show signs of slowing - big news for first home buyers. With interest rates at record lows and banks eager to win over new customers, now is a good time to check out the best in the bustling Australian home loan market.

This month, UBank tempts shopaholics with a special gift card offer of $1,961 for loans greater than $350,000 (as long as you apply before the end of May). Loan.com.au claims the title of lowest variable rate at 4.54% and the top fixed rate home loan for 1 year goes to IMB’s 3.99%.

Compare interest rates at our home loan hub, it's easy to navigate and you'll discover the standout home loans available on the market now.

Get the best of both worlds! Consider splitting your home loan, you'll receive the benefit of the variable interest when rates fall and and the security of the fixed rate if rates rise. Keep in mind, often financial providers will provide better fixed rates for those that fix a larger percent of their home loan.

For more advice, give our free home loan negotiator service a buzz by calling 13 MOZO (13 6696).

Serious saving isn't impossible

Ambitious savers forget long term deposit accounts (for now) as you'll struggle to receive a decent return on your savings. Instead check out some of the high interest savings accounts in the market that still offer competitive interest rates above the 4.00% mark.

The ME Bank Online Savings Account has a dazzling 4.60% bonus interest rate for the first 5 months, provided it's linked to a ME everyday transaction account. UBank USaver with Ultra's eye-catching rate of 4.37% is yours as long as you deposit $2,000 a month into the account. ING Direct's 4.35% for the first 4 months and Bankwest TeleNet Saver's impressive 4.30% introductory rate for the first six months are also worth a look.

Compare saving interest rates with our easy to use saving comparison tool.

Read last month's Reserve Bank interest rates update.

Top home loans - rates updated daily

Search promoted home loans below or do a full Mozo database search. Advertiser disclosure.
  • placeholder
    Mozo Experts Choice 2021
    Smart Booster Home Loan

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

    interest rate
    comparison rate
    Initial monthly repayment
    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.

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    Details
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    Mozo Experts Choice 2021
    UHomeLoan

    Owner Occupier, Principal & Interest

    interest rate
    comparison rate
    Initial monthly repayment
    1.85% p.a.
    fixed 3 years
    2.24% p.a.

    $0 fees and easy application. Choose between weekly, fortnightly or monthly repayments. 3 year fixed rates are for new Owner Occupier Principal & Interest loans.

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    Details
  • Hot DealFor a chance to win $100K towards your home loan, apply with Athena before Oct 31 & approved by Dec 15 (Please read the full T&C's)
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    Mozo Experts Choice 2021
    Celebrate Variable Home Loan

    <60% LVR, Owner Occupier, Principal & Interest

    interest rate
    comparison rate
    Initial monthly repayment
    1.99% p.a. variable
    1.99% 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.

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    Details
  • placeholder
    Variable Home Loan

    Owner Occupier, Principal & Interest

    interest rate
    comparison rate
    Initial monthly repayment
    1.99% p.a. variable
    1.99% p.a.

    Refinance only. Super-fast digital application process. Zero upfront fees. No on-going service fees. Free 100% offset sub account. Apply Online & Refinance before 29 October 2021 for the chance to WIN your home loan interest free - Save up to $1.1 million. T&Cs apply.

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    Details
  • placeholder
    Basic Home Loan

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

    interest rate
    comparison rate
    Initial monthly repayment
    2.09% p.a.
    fixed 3 years
    2.32% 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.

    Go to site
    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, loan amount and term entered. 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.

Mozo provides general product information. We don't consider your personal objectives, financial situation or needs and we aren't recommending any specific product to you. You should make your own decision after reading the PDS or offer documentation, or seeking independent advice.

While we pride ourselves on covering a wide range of products, we don't cover every product in the market. If you decide to apply for a product through our website, you will be dealing directly with the provider of that product and not with Mozo.