Rates On Hold For May

This week the  Reserve Bank of Australia decided to keep rates on hold. Depending on global and local economic conditions they expect to make less frequent  and smaller rate reductions.

Most lenders have not adjusted their variable rates but some are increasing their fixed rate loans for 3 to 10 years. Depending on the lender you are likely to find a 3 year fixed at 5.30% and a 5 year fixed at 6.00% 

Lenders are also reducing their portfolio risk by decreasing the amount a person can borrow against a properties value. NAB and St George are the last to introduce the 90% maximum borrow amount, however, some banks lend up to 95% providing there is an established relationship with the bank for a minimum of 6 months.

100% home loans have disappeared from the mortgage market unless you can use other property as security for the loan.

If you need help and require a loan above 90% please feel free to contact us.