As wholesale swap rates rise in response to increasing demand generated by borrowers switching from floating rates to less expensive fixed rates, we are seeing banks raise selected fixed rates in response to that rising cost.
Westpac has announced increases in its 18 month fixed mortgage rate to 5.65% from 5.55% and a similar rise in its four year fixed rate, going to 6.45% from 6.35%.
The Westpac increase in the 18 month rate follows a rise by BNZ last week, but the Westpac rate for this term is now above most of its main-bank competitors. For the eighteen month fixed term, ASB currently has the lowest rate:
| ANZ | 5.55% |
| ASB | 5.40% |
| BNZ | 5.55% ↑ |
| National Bank | 5.55% |
| TSB | 5.65% |
| Westpac | 5.65% ↑ |
For the four year term, Westpac's new 6.35% rate is above most of its main-bank competitors who offer rates between 6.10% and 6.25% for this term. The Cooperative bank offers 6.05% for four years fixed.
You can find an updated list of all bank and non-bank mortgage rates here »
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A Roost mortgage broker can be contacted by following this link »
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