Smartline has always aimed to give you information about the finance and property market that you will not find in the mainstream media. This often means that we must maintain our own data/records to produce information that you will find useful.
In this case, since January 2009, we have been diligently updating a spreadsheet with the lowest rate offers from the big 4 banks.
The three interest rate categories we capture are the variable rate, five year fixed rate and the three year fixed rate. We then average the monthly result across all four banks to produce the chart below.
As you can see, all three rate categories have experienced an extraordinary drop since 2010. However, you will note that recent times have seen all three categories lift. Could this be the bottom of the slide? Given most banks have been talking about margin pressure, there may be more hikes in store, especially in the investment loan category.
Whilst the past does not determine the future, this chart does help us to put our current rate environment into perspective.
In terms of your own situation, I can only reiterate the importance of engaging with me as you would an accountant. Annual mortgage check ups are very important.
Many lenders have chosen to offer their best rates to NEW customers rather than existing customers. It is important that we are proactive with our mortgages.