Cash rate on hold as more banks slash fixed rates

The Reserve Bank of Australia has  left the cash rate on hold at 1.5 per cent.

Meanwhile, 22 lenders have slashed rates on more than 150 fixed home loans this year, as competition among the banks heats up.

On average, RBA data shows 3-year fixed rates are 0.58 per cent lower than discounted variable rates for owner-occupier borrowers.

Paul Marshall, CEO at RateCity.com.au, said banks were slashing rates in a bid to win market share.

“Home lending tumbled last year and as a result the banks are throwing everything at fixed rates to keep customers coming through the door,” he said.

“The lowest 3-year fixed rate is 3.64 per cent, while 5-year rates start as low as 3.74 per cent – that’s fixed until 2024.

“There are some great rates being offered at the pointy end of the competition – for both fixed and variable – so it’s a great time to review your home loan.”

Source: RBA Lending Rates, owner occupier.

Lowest advertised home loan interest rates

Source: RateCity.com.au, rates are accurate as at 5 March, 2019.