Australia’s leading mortgage broker, Aussie, has slashed its 2 year fixed rate by 0.25 per cent to 4.64 per cent – undercutting the major banks by 0.25%.
Aussie has also cut its 3 year fixed rate to 4.89% per cent, while the 4 and 5 year fixed rates are now 5.34% and 5.44 per cent respectively.
Meanwhile Aussie has passed on last week’s 0.25 per cent rate cut on its Aussie variable rate products. The 0.25 per cent rate drop by Aussie represents a saving of about $46 a month, based on a $300,000 home loan, and Executive Chairman of Aussie, Mr John Symond, believes that the time is ripe for both first home buyers and investors to start buying.
Mr Symond said “There are now more than 700 suburbs across Australia where it is cheaper to service a principal and interest mortgage than rent, while many lenders are competing aggressively for new business.
“I believe the property market in many areas around Australia are on the move again and with rates at historic lows, the time is almost perfect for first and next home buyers, as well as investors, to get out there and secure a property”, he added.
Mr Symond also pointed out that “It is a great time to fix for those borrowers, who want certainty over their repayments for the next few years. Fixed rates are now at historic lows and offer great peace of mind for borrowers.
The new rates are effective for new and existing borrowers from Friday 16 August 2013.
All of Aussie’s products and services are accessible via its national contact centre (on 13 13 33) or by visiting their local store or www.aussie.com.au.