Hervey Bay Independent : 28th January 2016
Fixed rate demand continues to rise Demand for fi xed rate home loans continues to rise, with new data showing this type of product accounted for almost one in every fi ve loans written in December. According to the latest national home loan approval data from Mortgage Choice, fi xed rate home loans accounted for 19.44% of all loans written throughout the month of December – up from 17.39% recorded the month prior. Mortgage Choice Mortgage Broker & Franchisee Peta Short said this was the second consecutive month that fi xed rate demand had increased. “This spike in demand for fi xed rates comes just months after the majority of Australia’s lenders lifted the interest rates across their NATIONAL Variable rate Basic variable Standard variable Ongoing discount Line of credit Introductory rate Fixed rate Dec-15 80.56% 15.00% 10.53% 52.07% 2.72% 0.24% 19.44% NSW/ACT Variable rate Basic variable Standard variable Ongoing discount Line of credit VIC/TAS suite of variable rate home loans,” Peta said. At the end of October, many of Australia’s lenders lifted the interest rates on their suite of variable home loan rate products outside of any movements by the Reserve Bank of Australia. “A lot of mortgage holders are now acutely aware that Australia’s banks can and will lift their variable rates as they see fi t. As such, it isn’t surprising to see an increasing number of Australians opting for the security of a fi xed rate home loan,” Peta said. “Moving forward, and depending on what the Reserve Bank’s does with the offi cial cash rate next month, I wouldn’t be surprised to see an increasing number of Australians looking to fi x part or all of their mortgage.” Nov-15 82.61% 15.55% 13.09% 51.78% 1.75% 0.45% 17.39% QLD Across the country, demand for fi xed rate home loans was highest in New South Wales, with this type of product accounting for 25.35% of all loans written. South Australia and Queensland weren’t far behind, with fi xed rate products accounting for 20.25% and 19.13% respectively. At the other end of the spectrum, fi xed rate demand was lowest in Victoria, with this home loan type accounting for 10.65% of all loans written in the month of December. Overall, fi xed rate demand increased in four of the fi ve states. Despite this, variable rate home loans – specifi cally ongoing discount loans – continued to prove the most popular home loan product amongst borrowers. 6 month average 83.17% 14.96% 14.73% 50.15% 2.14% 1.18% 16.83% SA/NT 74.65% 89.35% 80.37% 79.75% 9.56% 10.85% 19.59% 14.54% 26.06% 11.75% 8.91% 10.02% 51.57% 56.49% 51.72% 43.01% 2.17% 1.26% 5.67% 0.65% Introductory rate 0.30% 0.26% 0.03% 0.01% Fixed rate Important information This article is for general information purposes only. It has been prepared without considering your objectives, fi nancial situation or needs. You should, before acting on the advice, consider its appropriateness to your circumstances. About Mortgage Choice Mortgage Choice is an ASX listed company that seeks to help Australians with all of their fi nancial needs. Established in 1992, Mortgage Choice was originally established to help Australians improve their fi nancial situation by offering a choice of home loan providers, coupled with the expert advice of a mortgage professional. Since that time, the company has grown and developed into a fully fl edged fi nancial services provider. Today, Mortgage Choice helps customers source car loans, personal loans, credit cards, commercial loans, asset fi nance, deposit bonds, and risk and general insurance. Further, the company offers Australians access to real, relevant and affordable fi nancial advice through our qualifi ed fi nancial advisers. Mortgage Choice has no balance sheet or funding risk, and consistently delivers strong profi ts and attractive yields. It listed on the ASX in 2004 (MOC) and is a member of the Mortgage & Finance Association of Australia (MFAA). Mortgage Choice holds an Australian Credit Licence: no. 382869 and Mortgage Choice Financial Planning Pty Limited holds an Australian Financial Services Licence: no. 422854. Both licences are issued by ASIC. Recent recognition: 2015, 2014 Australian Broking Awards Best Diversifi cation Program; 2013, 2012, 2011 Australian Broking Awards Major Brokerage of the Year – Franchise; 2013, 2012 Australian Broking Awards Best Ethical/Social Responsibility Program; 2012 Australian Broking Awards Best Training and Education; No.1 on The Adviser magazine’s 2012, 2011, 2010 and 2009 Top 25 Brokerages list; 2012, 2010, 2009, 2008, 2006 and 2005 MFAA Awards Retail Aggregator/Originator of the Year; 2011, 2010, 2009 and 2008 10 Thousand FEET Top 10 Franchise list; 2010 Forbes Asia-Pacifi c Best Under A Billion list. Visit www.mortgagechoice.com.au or call customer service on 13 6678. 25.35% 10.65% 19.13% 20.25% 12 month average 82.27% 14.36% 16.34% 47.31% 2.35% 1.91% 17.73% WA 83.76% 19.12% 11.90% 50.99% 0.70% 1.05% 16.24% Hervey Bay 4124 7822 Maryborough 4123 5022 firstname.lastname@example.org MortgageChoice.com.au/peta.short Mortgage Choice Limited ACN 009 161 979. Australian Credit Licence 382869.
21 January 2016
4th February 2016