Powered by MOMENTUM MEDIA
subscribe to our newsletter
Challenger bank increases investor home loan rates

Challenger bank increases investor home loan rates

ME has today announced that it will increase its investor home loan reference rates by 25 basis points, effective 27 April 2017.

The move will affect new and existing investor borrowers and will put ME’s standard variable rate for investor borrowers at 5.28 per cent per annum.

The bank said the change was made to address increasing regulatory and compliance costs and to ensure the bank remains within investor lending growth limits.

Advertisement
Advertisement

"ME periodically reviews rates to ensure a well-balanced loan book and has recently seen demand rise after investor-rate increases by other banks," the bank said.

The bank said it will not increase the reference rate for any owner-occupier home loans and will maintain a standard variable rate for owner-occupiers at 5.03 per cent per annum.

The bank is offering one of the lowest owner-occupier home loan rates in the market with a rate of 3.89 per cent per annum for loans within a member package between $400,000-$700,000 and with a Loan to Value Ratio equal to or lower than 80 per cent.

Challenger bank increases investor home loan rates
mortgagebusiness
  • 23
    Days
  • :
  • 07
    Hours
  • :
  • 54
    Minutes
  • :
  • 01
    Seconds

EARLY BIRD CLOSING SOON
Have you secured yours?

Latest News

Stagnant housing market activity is expected to prolong the stay of borrowers in arrears, with the forecast fall in home values to be among...

The non-bank sector is expected to “lead the way” in 2019, after issuing more than 60 per cent of new home loans in 2018, according to S...

The volume and value of new residential buildings fell in the September quarter 2018, reflecting the “softening” housing market the HIA ...

FROM THE WEB
podcast

LATEST PODCAST: How a softening property market will impact the mortgage sector

Is enough being done to ensure responsible lending?