A home loan interest rate of 1.99%

Yes you read correctly! A Victorian bank has just announced a reduced interest rate of 1.99% under their 3 Year Fixed rate home loan.

Bankfirst has announced today that they will be making the leap into interest rates below 2%. As many other hover in the low to high 2% mark on both fixed and variable, Bankfirst is now one of the few banks to offer a rate in the 1% range.

It is definitely a sign of the times as we continue to exist in a low interest rate market due to Covid 19.

Conditions do apply with a 20% deposit required for new purchases or for refinance to be at or below 80%. It also only applies to their 3 Year Fixed Rate product.

Before rushing off to sign up for this rate, it is important to understand the features of the loan and whether it is actually appropriate for you. A conversation with your mortgage broker will determine if this loan is right for you.

However, the take out of the news today is that low rates are here to stay. For those who are fortunate to be less affected by our current Covid-19 situation, there are opportunities to make significant savings on your home loan.

This can only be a good thing.