ANZ has dropped its six-month home loan rate to its lowest level since March 2022, while increasing longer-term rates in response to rising wholesale costs.
The country's largest bank will reduce its six-month fixed special rate by -0.20% to 4.49% per annum from Wednesday, or 5.09% as the non-special rate.
Its one-year fixed special rate remains at 4.49%, unchanged and at its lowest level since April 2022, according to ANZ. The regular one-year fixed rate was 5.09%.
Eighteen-month fixed rates also remained unchanged,
However, borrowers looking to fix for longer terms will face higher rates, with the three-year rate rising by 0.10%, the two-year and four-year rates increasing by 0.20%, and the five-year rate climbing by 0.30%.
ANZ managing director for personal banking Grant Knuckey said lower rates over the past two years were continuing to benefit customers.
"Lower home loan rates in this cycle are continuing to flow through to customers. More than 68% of our fixed home loans are now on rates lower than 5%" he said.
"That’s a big change from the end of 2024, when less than 10% of loans were under 5%."
The bank said it considered a range of factors when reviewing interest rates, including the Reserve Bank's official cash rate, changes in wholesale interest rates, and balancing the "needs of borrowers and savers".
Home loan special rates are available to customers with a minimum of 20% equity and an ANZ transaction account with salary direct credited.
Savers will benefit from some increases to term deposit rates, with the five-year rate rising by 0.30% to 4.50% per annum and the two-year rate increasing by 0.20% to 3.85% per annum.
BNZ also adjusts rates
BNZ has also lowered its six-month home loan rate while raising its four and five-year offerings, effective from today.
The six-month rate was cut by 0.20% to 4.49%, while the four-year rate was lifted 0.26% points to 5.55% and the five-year rate increased 0.40% to 5.69%.
Last week Westpac increased most of its standard and special home loan rates and also cut its six-month offering, saying it was a response to recent changes to costs.
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