Powered by MOMENTUM MEDIA
the adviser logo
Growth

HomeStart reduces fixed rates by up to 50 basis points

by Reporter5 minute read
HomeStart Finance

HomeStart Finance has announced fixed rate reductions on a range of home loans.

The non-bank lender has decreased fixed rates by up to 50 basis points across a range of loans, effective from Monday (26 August).

To continue reading the rest of this article, create a free account
Already have an account? Sign in

The new reduced fixed rates on HomeStart home loans and graduate loans are:

  • 4.49 per cent p.a. for one year, down 20 basis points
  • 3.99 per cent p.a. for two years, down 50 basis points
  • 3.99 per cent p.a. for four years, down 50 basis points

For low-deposit loans, the new fixed rates are:

Advertisement
Advertisement
  • 5.49 per cent p.a. for one year, down 20 basis points
  • 4.99 per cent p.a. for the first year of a two-year fixed rate, down 50 basis points, and 3.99 per cent p.a. for the second year, down 50 basis points
  • 4.99 per cent p.a. for the first year of a three-year fixed rate, down 50 basis points, and 3.99 per cent p.a. for the second and third year, down 50 basis points

Variable rates on home loans and graduate loans, low-deposit loans and senior equity loans remain the same at 4.94 per cent p.a., 5.94 per cent p.a., and 5.84 per cent p.a., respectively. 

HomeStart joins a long line of lenders to cut their fixed rates after the official cash rate was decreased to the historic low of 1 per cent. These lenders include Westpac subsidiaries, which reduced fixed rates by up to 140 basis points; Virgin Money by up to 70 basis points; Adelaide Bank by up to 65 basis points; and ME by 40 basis points, among other lenders. 

HomeStart was founded as part of an initiative of the South Australian state government, with the primary purpose of assisting first home buyers (FHBs) by offering low-deposit home loan products.

Many analysts are expecting the recent wave of mortgage rate cuts to further fuel home loan demand from FHBs. 

[Related: Westpac introduces discount for low LVR loans]

HomeStart reduces fixed rates by up to 50 basis points
yelp homestart ta
TheAdviser logo
yelp homestart ta

JOIN THE DISCUSSION

You need to be a member to post comments. Register for free today

MORE FROM THE ADVISER

mark lewis fast ta llosc4

In Memoriam: Mark Lewis, 1963–2022

Mark Lewis passed away on Saturday (13 August). Mr Lewis was a well-known identity in the third-party broker...

READ MORE
anthony waldron mortgage choice ta ithtxm

Broker expertise key for securing right loan: Mortgage Choice

The data, which is derived from a June survey of 1,002 broker customers and conducted by Honeycomb Strategy,...

READ MORE
Mark Bouris new ifa

Brokers need to focus on the ‘value-add’: Mark Bouris

 

READ MORE
magazine
Read the latest issue of The Adviser magazine!
The Adviser is the number one magazine for Australia's finance and mortgage brokers. The publications delivers news, analysis, business intelligence, sales and marketing strategies, research and key target reports to an audience of professional mortgage and finance brokers
Read more