Thirteen lenders will lift their variable rates today for both owner-occupiers and investors.
A RateCity analysis shows that ‘Rate Hike Friday’ will hit mortgage holders by an average of 0.17 percentage points, which translates to $372 per year on a $300,000 home loan.
RateCity said an additional three banks have, or will increase their rates to make it at least 18 lenders in total who are bucking the RBA’s downward trend.
RateCity money editor Sally Tindall said that in the eye of the rate storm, a number of smaller lenders were still dropping their variable rates.
“We’ve identified least 24 lenders who have dropped their variable home loan rates in recent months – but there’s a catch – the overwhelming majority of these lenders will only give you the new deal if you’re a new customer,” Ms Tindall said.
“Loyalty has well and truly left the home loan market. If you want one of the lowest rates, the chances are you’ll have to switch.
“Just one bank in our research, CUA, is dropping its basic variable rate for existing customers as well as new ones. That’s a strike rate of one per cent.”
The following lenders have raised their variable mortgage rates: Adelaide Bank, AMP Bank, ANZ, Bank of Queensland, Bank SA, Bankwest, Bank of Melbourne, Bendigo Bank, Citi, CBA, CUA, ING Direct, Macquarie, ME, NAB, St. George Bank, Suncorp and Westpac.
[Related: More rate hikes 'only a matter of time']
James Mitchell has over eight years’ experience as a financial reporter and is the editor of Wealth and Wellness at Momentum Media.
He has a sound pedigree to cover the business of mortgages and the converging financial services sector having reported for leading finance titles InvestorDaily, InvestorWeekly, Accountants Daily, ifa, Mortgage Business, Residential Property Manager, Real Estate Business, SMSF Adviser, Smart Property Investment, and The Adviser.
He has also been published in The Daily Telegraph and contributed online to FST Media and Mergermarket, part of the Financial Times Group.
James holds a BA (Hons) in English Literature and an MA in Journalism.
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