#standard variable rates

[ukmoneyman]

Episode Nine from our 'The Different Types of Mortgages Explained' #MoneymanTV series is out right now! Malcolm Davidson talks all about Standard Variable Rates (SVR) Mortgages and the advantages it may present 🏠

[loansaustralian]

How low will our home loans go?

This is the question that many economists are asking in view of recent cash rate reductions by the RBA, with more expected before the end of the year. Of course since lenders have began to set their own standard variable rates outside of the RBA, more and more often the banks do not pass to the borrower the full cash rate reduction announced by the RBA. ANZ have already made it clear this morning that in setting their interest rates on Friday they will need to be mindful of the ever growing cost of overseas funding and most likely hold back some of the rate increase.

A number of sources are reporting that given the situation in Europe, we are likely to see our cash rate hit unprecedented low levels. If this occurs, home loans will follow in the same direction, although probably dragging a little behind.