There are big savings for borrowers on fixed rates

Fixed-rate home loan rates continue to fall. In the popular three-year term market, the market leaders have cut rates to under 4 per cent.

It's impossible to say if these rates will fall further. That is the risk of fixing.

But acknowledging the potential savings – plenty of fixed rates are now much lower than the average discounted variable mortgage rate – about 4.8 per cent p.a.

About 30 lenders including Suncorp and ME Bank have reduced their three-year fixed mortgage rates in March and April 2015.

Source: The Age