Interest rate split in NSW and QLD

by Rebecca Pike15 Jun 2018

New data has suggested lenders are, on average, providing better rates to customers in New South Wales (NSW) than to those in Queensland (QLD).

The biggest discrepancy was found with ANZ, whose rates differed by 39.57 basis points between the two states.

According to the research, ANZ's average rate in QLD costs homeowners nearly $2000 more per year than the average ANZ rate in NSW.

However, it was also found this was only the case for new loans. There were lower rates for refinancing in QLD.

After ANZ, the lenders with the least similar rates in each state were BankWest and AMP.

The banks with the most similar rates were ING, Macquarie and Suncorp.

Mandeep Sodhi, CEO and founder of HashChing, said it was enlightening to see how the average interest rates differed between states for each lender.

“New South Wales borrowers are getting the sharpest rates overall, but it’s interesting to see that the big four banks are evenly split down the middle.

“Our data shows that the rates available through our platform are well below the industry average of 4.5 percent, which is a testament to the negotiation skills of HashChing’s partner brokers. The rates that banks offer customers who walk through the front door are typically a lot higher than what brokers are able to negotiate on their clients’ behalf. 

“If you’re paying an interest rate that’s higher than what we’ve listed for each lender, it will be well worth your while to jump on the HashChing website and see what our brokers can do for you. You could easily shave hundreds of dollars off your monthly mortgage payment,” he said. 

An ANZ spokesman said, "Customers can negotiate discounts on their home loan rate depending on a range of factors including loan type, loan size, loan to value ratio and location."

 

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COMMENTS

  • by Mark 15/06/2018 8:43:50 AM

    Gee, has anyone considered that those lenders who price their home loan rates based on the loan amount would definitely be providing lower rates in NSW when Sydney home prices are far higher than Qld. Obviously the home loan amount would more often fall into their top tier loan size for pricing and achieve a lower rate.

    No surprises there if you understand the way these things work within lenders and between lenders!

  • by Liam 15/06/2018 9:00:21 AM

    Well said

  • by ET 15/06/2018 12:04:41 PM

    I agree Mark, and further to that no-one going through a broker with a loan over $250k is paying 4.5% on a P&I loan so if you base it on the median loan amount the majority would be more than $250k. I can't speak for clients going directly through the banks but please, this has nothing to do with 'HashChings negotiating skills'