The cost of long term money for banks is rising. This suggests that longer fixed-term loans to consumers are already increasing. However, a small group of lenders has continued to offer the low rates from last year.
An increase in the long-term fixed interest rates means property buyers in Marsden Park will face rising mortgage costs. The Commonwealth Bank (CBA) is the latest lender to hike its long-term fixed-interest rates.
The 0.05% to 0.1% interest rate increases apply to both the bank’s owner-occupied principal and the three and four year fixed interest rates. This also applies to the interest-only three and five year fixed rate mortgages.
These new rates apply to borrowers with at least a 5% deposit.
Further hikes in home loan interest rates are expected later this year.