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The lender has dropped variable mortgage rates by up to 18 bps across its owner-occupied and investment home loan products.
Bankwest has reduced a number of its home loan acquisition rates, effective from 19 November.
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The changes apply to both owner-occupied and investment home loan products.
For owner-occupiers, Bankwest has announced:
- a reduction of 11 bps for Complete Home Loan Package P&I products with an LVR of 80 per cent or less and a loan size of over $200,000-$499,000, from 3.16 per cent to 3.05 per cent (3.50 per cent comparison rate)
- a reduction of 10 bps for Premium Select P&I products with an LVR of 80 per cent or less and a loan size of over $200,000, from 3.25 per cent to 3.15 per cent (3.17 per cent comparison rate)
For investors, Bankwest has announced:
- a reduction of 12 bps for Complete Home Loan Package P&I products with an LVR of 80 per cent or less and a loan size of less than $500,000, from 3.61 per cent to 3.49 per cent (3.93 per cent comparison rate)
- a reduction of 18 bps for Premium Select P&I products with an LVR of 80 per cent or less and a loan size of over $20,0000, from 3.77 per cent to 3.59 per cent (3.61 per cent comparison rate)
Bankwest is the latest lender to announce variable rate reductions following a swathe of cuts in response to the Reserve Bank of Australia’s (RBA) latest cut to the cash rate.
Mortgage rate reductions are set to continue, with analyst expecting the RBA to lower the cash rate at least once in the coming months.
AMP Capital senior economist Shane Oliver is expecting the RBA to adjust the cash rate twice in the months ahead, forecasting reductions in both December and February, which he said could accompany quantitative easing.
[Related: ‘Interest rate gap’ sending broker volumes to non-majors]
