Westpac follows Kiwibank's fixed mortgage cuts, now offers lowest one year rate

Westpac follows Kiwibank's fixed mortgage cuts, now offers lowest one year rate

Westpac has cut its fixed mortgage rates substantially, undercutting some of Kiwibank's reductions yesterday.

Westpac now has the lowest fixed mortgage rates for a 1 year term.

Like Kiwibank, its heaviest cut is for a four year term, where a reduction 45 bps has been made. The new Westpac four year rate is 6.85% although that rate is still above Kiwibank's offering for that term of 6.79%.

Westpac has been most aggresive in its pricing for a one year term, cutting its rate to 5.59% from 5.95% which puts it under Kiwibank's 5.65% rate.

It has also priced its six month fixed rate at 5.59%, although that is not as low as HSBC's Premier rate of 5.49%.

Other Westpac changes are:

- 18 months becomes 5.89%, a reduction of 31 bps
- 2 years becomes 5.89%, a reduction of 41 bps
- 3 years becomes 6.45%, a reduction of 25 bps, and
- 5 years becomes 7.25%, a reduction of 35 bps.

This is the second bank to lower fixed mortgage rates this week, and probably signals a general round of reductions from other banks who most likely will move early next week.

You can find all current mortgage rates here »

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Good on you Westpac.

Now, could you please shave a little off the floating rate? We might even look at doing some home reno and top-up if you can squeeze down to 5.2%.

You should look at the co operative bank. 5.2% discounted, and chance of rebates

trouble is with the co operative bank discount is for twelve months only and then you revert to their normal rate

 

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