Liberty Financial has announced significant rate reductions of up to 1% across its entire range of custom (non-prime) mortgages.
In addition, the finance group has increased commissions on its prime home loans to ‘amongst the highest in the industry’.
This out-of-cycle rate reduction follows the RBA’s July meeting decision to keep rates on hold and a recent report from Fitch Ratings concluding that homeowners need relief with national mortgage delinquency rates rising from 1.20% to 1.45% in the past 12 months.
Interest rates for new custom full-doc customers will start from as low as 5.74% p.a. (comparison rate 6.27%), effective Tuesday July 16. In addition, low-doc interest rates for self-employed borrowers will also be slashed, starting at 5.99% p.a. (comparison rate 6.32%).
“We know people are feeling the pinch and we’re doing our bit to make our custom loans more affordable. Combined with our great prime rates starting at 5.34% p.a., our customers and business partners have more choice and flexibility than ever before,” says John Mohnacheff, national sales manager at Liberty.
“Furthermore, with upfront commissions increased to 0.70% for prime home loans and paying trailing commissions from day one, Liberty offers top-tier remuneration along with its first-class customer service.”