Sapphire aims to be borrower’s low-cost gem

Non-bank home lender Sapphire Mortgage Services has cut its range of fixed home loan rates to what are currently the lowest levels in the market. Sapphire's one-year rate is 6.19 per cent, 6.49 per cent for two years, 6.59 per cent for three years and 6.79 per cent over five years. These compare to the average standard variable rate in the market of around 6.8 per cent. The fixed rate market has become very competitive and a number of other non-bank lenders are also offering fixed rates below standard variable rates. All up, there is 1 per cent difference between the highest and lowest rates for a given term, making shopping around a fruitful exercise. Borrowers should also consider the restrictions which come with fixed rate loans. Sapphire says its fixed loans also offer flexibility of redraw and free switching.