Now is a great time to SERIOUSLY think about locking in your home loan to some of the lowest interest rates in many years. Don’t wait too long because fixed home loan rates vary all of the time and not just after the Reserve Bank makes an announcement.
The 4.99% fixed for 2-year rate is particularly attractive and available from many banks. 3 year fixed rates are approx 5.2% depending on the bank. If there is a reasonable chance that you will sell or refinance your loan or any need to vary the mortgage during the fixed term, then the thousands in fees to break the fixed period removes much of the incentive to fix now. Plan carefully. Usually, there are no fees to fix your mortgage, and some banks will even pay up to $700 or more of your old banks costs to leave, to entice you over to them.