What are the current interest rates on home loans?

Interest rates have never been as low in Australia as they are right now. How does your home loan stack up? We’ve taken a look at the current interest rates on Canstar’s database of more than 4,000 loans, and found there’s a big difference between the highest and lowest rates.

Competition is fierce in the home loan market right now. With the property market in flux due to the economic fallout of COVID-19, lenders have slashed their home loan interest rates – with some having now fallen to less than 2%.

Below is a summary of the current home loan rates on Canstar’s database. To explore rates in more detail, compare them with Canstar’s home loan selector.


Latest Owner-Occupier Principal and Interest Home Loans

Rate Statistics, as at 6 October, 2020
Variable Fixed
Basic Standard Package Average 1 Year 2 Year 3 Year 4 Year 5 Year
Average 3.17% 3.44% 3.18% 3.38% 2.53% 2.47% 2.52% 2.94% 2.96%
Min 2.29% 2.19% 2.50% 2.19% 1.90% 1.99% 1.99% 2.49% 2.49%
Max 5.04% 5.14% 4.14% 5.14% 4.96% 4.33% 4.49% 3.89% 4.06%

Source: www.canstar.com.au. Based on owner-occupier loans of $400,000, at 80% LVR with principal & interest repayments on Canstar’s database. Includes new-to-bank interest rates (including specials). Excludes honeymoon, intro-rate, and first home buyer-only home loans.


Latest Owner-Occupier Interest Only Home Loans

Rate Statistics, as at 6 October, 2020
Variable Fixed
Basic Standard Package Average 1 Year 2 Year 3 Year 4 Year 5 Year
Average 3.73% 3.89% 3.64% 3.85% 3.11% 3.12% 3.15% 3.60% 3.59%
Min 2.78% 2.59% 3.04% 2.59% 1.99% 2.15% 2.15% 2.49% 2.49%
Max 4.56% 5.39% 4.35% 5.39% 4.55% 4.63% 4.79% 5.32% 5.32%

Source: www.canstar.com.au. Based on owner-occupier loans of $400,000, at 80% LVR with interest-only payments on Canstar’s database. Includes new-to-bank interest rates (including specials). Excludes honeymoon, intro-rate, and first home buyer-only home loans.


Latest Investment Principal and Interest Home Loans

Rate Statistics, as at  6 October, 2020
Variable Fixed
Basic Standard Package Average 1 Year 2 Year 3 Year 4 Year 5 Year
Average 3.55% 3.83% 3.58% 3.76% 2.89% 2.82% 2.84% 3.26% 3.28%
Min 2.84% 2.59% 2.59% 2.59% 2.18% 2.29% 2.24% 2.69% 2.74%
Max 5.04% 5.62% 4.49% 5.62% 4.96% 4.57% 4.59% 4.59% 5.18%

Source: www.canstar.com.au. Based on investment loans of $400,000, at 80% LVR with principal & interest repayments on Canstar’s database. Includes new-to-bank interest rates (including specials). Excludes honeymoon and intro-rate home loans.


Latest Investment Interest-Only Home Loans

Rate Statistics, as at 31 August, 2020
Variable Fixed
Basic Standard Package Average 1 Year 2 Year 3 Year 4 Year 5 Year
Average 3.73% 4.07% 3.82% 3.99% 3.04% 3.00% 3.02% 3.44% 3.46%
Min 2.99% 2.79% 3.19% 2.79% 2.39% 2.39% 2.24% 2.89% 2.84%
Max 5.24% 5.87% 4.70% 5.87% 4.84% 4.79% 5.07% 4.89% 5.38%

Source: www.canstar.com.au. Based on investment loans of $400,000, at 80% LVR with interest-only payments on Canstar’s database. Includes new-to-bank interest rates (including specials). Excludes honeymoon and intro-rate home loans.


Compare Home Loans

Lowest interest rates for 1-year fixed home loans

The comparison table below displays some of the 1 year fixed rate investment home loan products on Canstar’s database with links to lenders’ websites available for a loan amount of $350,000 at 80% LVR in NSW, and available for Principal and Interest repayments. The results are sorted by ‘current rate’ (lowest to highest), then by provider name (alphabetically).

*Comparison rate based on loan amount of $150,000. Read the Comparison Rate Warning.

Lowest interest rates for 3-year fixed home loans

The comparison table below displays some of the 3 year fixed rate investment home loan products on Canstar’s database with links to lenders’ websites available for a loan amount of $350,000 at 80% LVR in NSW, and available for Principal and Interest repayments. The results are sorted by ‘current rate’ (lowest to highest), then by provider name (alphabetically).

*Comparison rate based on loan amount of $150,000. Read the Comparison Rate Warning.

Lowest interest rates for 5-year fixed home loans

The comparison tables below displays some of the 5 year fixed rate investment home loan products on Canstar’s database with links to lenders’ websites available for a loan amount of $350,000 at 80% LVR in NSW, and available for Principal and Interest repayments. The results are sorted by ‘current rate’ (lowest to highest), then by provider name (alphabetically).

*Comparison rate based on loan amount of $150,000. Read the Comparison Rate Warning.

Compare Home Loans

 

Main image source: Nattakorn_Maneerat (Shutterstock)

This article was reviewed by our Sub Editor Tom Letts before it was updated as part of our fact-checking process.

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