Shop around on fixed rates
Home loan borrowers should look around and compare rates if they're thinking about opting for a fixed rate loan, says Infochoice. Analysis shows a difference of more than 0.8 of a percentage point amongst several of the three-year fixed rate loans available. The lowest rate of 6.39 per cent is offered by Australian National Credit Union, Cairns Penny Bank, Sapphire Mortgages and Morgan Brooks Direct. Many larger non-bank lenders such as Wizard, RAMS and Aussie are charging above 7 per cent with most major banks close behind.