A second-tier lender has today unveiled a heavily discounted variable rate loan that will be available via accredited brokers.
From Saturday 12 February, borrowers will have access to Bankwest's Super Start Home Loan, which boasts an interest rate of 6.90 per cent p.a.
The mortgage, which is available via brokers and the direct channel, will offer customers a 0.8 per cent p.a discount off the lender’s standard variable rate for the first three years of the loan.
After three years the mortgage will then revert to the second tier’s Lite Home Loan variable rate for the life of the loan.
Bankwest’s national sales operations manager David Ewens told The Adviser that customers would be able to borrow up 95 per cent LVR plus LMI.
“The mortgage also boasts no on-going fees and no maximum borrowings,” he said.
Bankwest is not the first lender to sharpen its pricing in a bid to boost market share.
Las month, ING DIRECT, Citibank and CBA all announced changes to their respective pricing structures, with Citibank slashing almost 1 per cent off its Mortgage Plus Home Loan product.