Powered by MOMENTUM MEDIA
SUBSCRIBE TO OUR NEWSLETTER SIGN UP
Powered by MOMENTUM MEDIA

Website Notifications

Get notifications in real-time for staying up to date with content that matters to you.

HomeStart announces mortgage rate cut

yelp homestart ta yelp homestart ta
Reporter 4 minute read

The high-LVR lender has cut its standard variable mortgage rate, becoming the latest lender to reprice its offering following the Reserve Bank’s monetary policy adjustment.  

HomeStart Finance has announced that it will decrease its standard variable mortgage rate by 25bps to 5.14 per cent, effective from 20 June.

HomeStart becomes the latest lender to cut its home loan offerings following the Reserve Bank of Australia’s (RBA) decision to decrease the official cash rate to a new record low of 1.25 per cent.

Earlier this week, the lender’s Western Australian peer, Keystart Home Loans, chose not to pass on the full 25bps cut, opting instead to reduce its standard variable rate by 19bps.  

Advertisement
Advertisement

Keystart said that its decision was based on the average standard variable rate offered by the four major banks.

“Given the low deposit nature of the lending we provide, our interest rates policy enables us to manage our lending risk responsibly whilst remaining focused on our vision,” the lender noted.

Both HomeStart and Keystart were founded as part of initiatives of the South Australian and Western Australian state governments, with the primary purpose of assisting first home buyers (FHBs) by offering low-deposit home loan products.

Many pundits are expecting the recent wave of mortgage rate cuts to further fuel home loan demand from FHBs, which have also benefited from the continued fall in dwelling values.

According to the latest Lending to Households and Businesses data from the Australian Bureau of Statistics, FHB market share increased to 18.2 per cent in April, up from 17.6 per cent 12 months prior.

PROMOTED CONTENT


[Related: MyState announces ‘equitable’ rate cut]

 

 

 

 

HomeStart announces mortgage rate cut
yelp homestart ta
TheAdviser logo

If you’re feeling overworked and overwhelmed in this fast-paced mortgage market, it’s time to make some changes, and the Business Accelerator Program can help! Work smarter, not harder, in 2022 and beyond, visit the website here to secure your ticket.

yelp homestart ta

 

more from the adviser
Beau Bertoli Greg Moshal 863x385jpg

Breaking News

Prospa squares up against banks, expands SME loan

The ASX-listed lender has flagged a new “all-in-one” business...

small business owner ta

Breaking News

Business credit demand bounces back in NSW

Data from the initial days of NSW reopening after lockdown has sh...

suburb

Breaking News

Hot Property: The biggest property headlines from the week 18-22 October

The weekly round-up of the biggest news stories from across Momen...