More good News for Homeowners and Buyers

Writen by: on June 13, 2012



Its been a week now since the Reserve Bank of Australia announced a 0.25% cut to the official interest rate, down to 3.50%. So, where are we a week on from this decision?

Many of you will be pleased to hear that the majority of lenders have decreased their interest rates in response to the RBA’s decision.

ANZ were the only major lender to pass on the full 25 basis-point cut, trimming its standard rate to 6.80 per cent. NAB has decreased their standard variable rate by 0.21% down to 6.78%, the lowest of all the majors.

Current Bank Interest Rates Rate Cut
ANZ -0.25%
BankWest -0.20%
Commonwealth Bank -0.21%
NAB -0.21%
St George Bank -0.18%
Suncorp Bank -0.20%
Westpac -0.20%
Macquarie -0.21%

 

What does this mean for you? Well, for those who are looking to buy a home, decreasing rates is certainly a good thing in terms of mortgage affordability.

For home owners and investors, this could be a great opportunity to refinance. Even being able to decrease your interest rate by a small amount can mean significant savings to your back pocket a month.

Time will tell if the RBA’s latest decision will help relieve some of the pressures that we know homeowners and small businesses are facing at present.  At the very least, consumer confidence over the coming months will play a big part in future movements by our Reserve Bank.

Written by

Kylie has almost 10 years of widespread experience in Australia’s finance industry and has worked in a variety of roles including loan processing, customer service, and credit analysis. These skills enable her to provide genuine advice that is always in the best interest of each individual and their specific financial needs. Kylie’s talent and commitment to clients is expressed by this quote: “Promise only what you can deliver. Then deliver more than you can promise.” You can find her on Google+ and facebook or write to her at kylie@financinghope.com.au.