Interest rates on fixed and variable-rate home loans are falling, despite the Reserve Bank’s decision to leave the official rate on hold for 14 months.
Around 80 lenders have dropped their rates in the past month on nearly 100 fixed rate mortgages, some by as much as 0.7 percentage points, according to Finder.com.au. Variable rate home loans also continue to fall, with dozens of mortgage rates dropping by up to 0.3 percentage points.
This week the RBA kept the cash rate on hold at 2.5%, with Governor Glenn Stevens highlighting the sharp fall to the Australian dollar. Finder.com.au spokeswoman Michelle Hutchison said lenders had leeway to drop loan rates even further.
