Non-bank lender Homeloans Ltd has announced a dramatic cut to interest rates on its flagship Homeloans Ultra product range, chopping a full eight basis points.
“We are serious about tackling our competitors head-on and a rate drop such as this shows we mean business,” says Greg Mitchell, Homeloans’ general manager sales.
“They are a sign of our commitment to our brokers and their customers. It’s obviously a very competitive market at present, and we feel it’s important that both borrowers and brokers benefit.”
The rate drop means that the range now has variable rates starting at 4.89%p.a. (comparison rate 5.22%) and fixed rates starting from 4.74%p.a. (comparison rate 5.2%).
Mitchell says the rate drop adds to a number of enhancements Homeloans has made to its product and service proposition this year.
“In recent times, we have eliminated application fees and legal fees and added a suite of new products including the Homeloans Classic SMSF…We have also overhauled our loan processing and broker support functions, to enhance the broker and customer experience.”
As a result of these initiatives, Homeloans has seen broker satisfaction increase from 87% in April this year to more than 97% in September.