"We're finding the low-doc loans have been less risky of recent times, so there's no need to price them as high as we have in the past," Gino Marra, CEO, Carrington National explained. "Our low-doc loans are also staying around longer than our variable 'mum and dad' home loans - we're rewarding them for loyalty, as well."
As a result of reassessing their portfolio, First Permanent has lowered its headline interest rate to 7.95%. With a previous interest rate of 8.20%, this new reduction gives them an additional competitive edge in the market.
Ian Grant, CEO, explained: "A borrower's ability to repay is the most important factor in assessing risk. Despite borrowing 106% of the value of the property, our borrowers are very committed to paying off their first home or investment. We never over commit our borrowers".
With interest rates at their lowest for more than 50 years, there are some great rates available. The best thing to do is to compare rates from all the lenders. Let us help take the leg work out of doing this - Compare Home Loans now