Westpac hikes fixed rates by up to 0.35%
13 Nov 2025
Australia’s second largest lender, Westpac, has today increased some fixed home loan rates by up to 0.35 percentage points.
As a result of today’s move, Westpac no longer offers a home loan rate starting with a ‘4’.
The bank’s lowest fixed rate is now 5.24% for 2 years, however, this offer is only available for borrowers with at least 30% deposit. Westpac’s lowest variable rate is also 5.24%, for borrowers who apply online.
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| Westpac’s fixed rate changes | |||
|---|---|---|---|
| Term | Old rate | New rate from | Change % pts |
| 1-year | 5.19% | 5.24% | +0.05% |
| 2-year | 4.89% | 5.24% | +0.35% |
| 3-year | 5.29% | 5.39% | +0.10% |
| 4-year | 5.59% | 5.59% | – |
| 5-year | 5.59% | 5.59% | – |
Source: Canstar. Notes: based on owner occupied loans with principal and interest repayments. LVR requirements apply.
Westpac still offers some of the lowest fixed rates among the big four
As a result of these changes, Westpac now has the lowest 1-, 4- and 5-year fixed rates among the big four banks.
However, CBA offers the lowest 2-year rate at 4.99% while NAB has the lowest 3-year fixed rate among the major banks at 5.29%.
Tracking shows 43 lenders currently offer at least one fixed rate under 5%.
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| Big four banks’ lowest fixed rates from | ||||
|---|---|---|---|---|
| Term | CBA | Westpac | NAB | ANZ |
| 1-year | 5.49% | 5.24% | 5.29% | 5.29% |
| 2-year | 4.99% | 5.24% | 5.19% | 5.19% |
| 3-year | 5.34% | 5.39% | 5.29% | 5.34% |
| 4-year | 5.79% | 5.59% | 5.69% | 5.74% |
| 5-year | 5.94% | 5.59% | 5.69% | 5.74% |
Source: Canstar. Notes: based on owner occupied fixed rate loans with principal and interest repayments. LVR requirements apply.
| Lowest fixed rates on Canstar | ||
|---|---|---|
| Term | Lender | Lowest rate from |
| 1-year | Pacific Mortgage Group | 4.84% |
| 2-year | Pacific Mortgage Group, Australian Mutual | 4.74% |
| 3-year | Australian Mutual | 4.74% |
| 4-year | Firefighters Mutual, Health Professionals Bank, Teachers Mutual Bank, UniBank, Freedom Lend | 5.24% |
| 5-year | Australian Mutual | 5.19% |
Source: Canstar. Rates based on owner occupier fixed rate loans. Excludes first home buyer, green only and other special condition loans. LVR requirements apply.
Westpac just one of nine banks hiking fixed rates
Canstar’s spokesperson, Laine Gordon says, “Westpac has quietly lifted some of its shorter-term fixed home loan rates by up to 0.35 percentage points.”
“Just weeks ago, Westpac was offering one of the sharpest two-year fixed rates in the market at 4.89 per cent, however, the bank has now had to reassess its pricing.
“As a result of these changes, Westpac no longer has a home loan rate starting with a ‘4’.
“A rate increase will come as a bit of a blow for borrowers, who only recently were banking on at least one more cash rate cut this cycle.
“Canstar tracking shows nine lenders, including the Westpac Group, have hiked at least one fixed rate in the past two months and they are unlikely to be the last.
“That said, 43 lenders are still offering at least one fixed rate below 5 per cent, including Australia’s biggest bank, CBA, with a rate of 4.99 per cent fixed for two years.
“For anyone tempted to fix, it’s worth doing the maths first. Fixed rates can offer peace of mind, but they also come with trade-offs such as reduced flexibility and potentially higher costs if the cash rate does fall further.
“For borrowers chasing certainty, fixing part of your loan can be a way to hedge your bets. It lets you lock in a portion of your debt while keeping some flexibility to make extra repayments or use an offset account on the variable portion.”
This article was reviewed by our Consumer Editor Meagan Lawrence before it was updated, as part of our fact-checking process.
