CBA fixed rates increasing on 26th Nov 21
CBA has hiked all of its fixed rates. The cheapest prices the lender will now offer for fixed rates is 2.49% for one year and 2.59% for two years – both rates that had previously been priced at 2.34%.
CBA now has the highest rate in every category of fixed and is equal with NAB and ANZ on variable.
It continues the trend of fixed rate rises that has been seen across the Big Four since it became clear that the Reserve Bank of Australia (RBA) was abandoning its commitment to a cash rate rise in 2024.
Will interest rates go up in 2022 Australia?
Gareth Aird, Head of Australian Economics at the Commonwealth Bank, wrote in a research note that the bank expects the Reserve Bank of Australia to start hiking interest rates in November 2022. “We look for prices to peak in late 2022 around seven per cent higher than end-2021 levels.
RBA governor Philip Lowe said at the time that the central bank had adjusted its inflation forecast, and was now estimating hitting 2.25 per cent over 2021 and 2022, and 2.5 per cent over 2023.
However, Mr Lowe affirmed that the RBA would not increase the cash rate until inflation is “sustainably within the 2 to 3 per cent target range”.
CBA fixed rates from 26th Nov 2021
What does it cost to refinance a home loan?
Refinancing can come with a range of costs. Some of the fees you may have to pay include:
• Discharge fee: a fee charged by your current lender to pay out your existing loan.
• Application fee: a fee charged by your new lender to make a new loan application.
• Valuation fee: a fee charged by your new lender to determine your property’s current value.
• Stamp duty fee: stamp duty may be payable, depending on your circumstances.
• Lenders Mortgage Insurance (LMI): if you have less than 20% equity in your property, you may need to pay LMI
• Break fees: If you have a fixed rate home loan, you will likely need to pay a Breaking fees if you decide to refinance during the fixed rate period.
The overall costs of refinancing will depend on your current lender, your new lender and which state or territory you live in.
Find out more call us on 040 380 3470 or email us to discuss your current situation.