CommBank-owned Bankwest cut fixed rates to as low as 4.99% p.a., while P&N Bank and subsidiary BCU Bank dropped by as much as 69 basis points to reach a standout 4.65%.
For context, the average variable home loan rate for owner-occupiers was 5.76% p.a. in July, before the RBA's most recent 25 basis point cut, according to central bank data.
Following the August move, that figure likely sits closer to 5.51% p.a. – meaning P&N's fixed deal may effectively price in more than three further RBA cuts for today's typical borrower.
Some home loan holders may find such a prospect tempting, particularly given no major bank currently forecasts three more rate cuts in the current cycle.
CommBank and ANZ forecast a final cut this November, while NAB and Westpac tip one cut in November and another in early 2026.
Here are all the details on this week's most notable home loan rate changes:
New leading rate revealed: 4.65% on one-year fixed terms
P&N Bank and its subsidiary BCU Bank made waves this week, adjusting fixed rates on terms of one and two years downwards to be the lowest in the YourMortgage.com.au database.
Fixed rates at the banks now begin at 4.65% p.a. for owner-occupiers or 4.99% p.a. For investors.
The following rates are offered for borrowers with loan-to-value ratios (LVRs) of 80% or less making principal and interest repayments:
| Borrower | Fixed rate period |
Change | New rate | P&N comp rate* |
BCU comp rate* |
|---|---|---|---|---|---|
| Owner- occupier |
One year | -69bp | 4.65% | 5.48% | 5.43% |
| Two years | -24bp | 4.75% | 5.42% | 5.37% | |
| Investor | One year | -35bp | 5.09% | 5.70% | 5.66% |
| Two years | -10bp | 4.99% | 5.62% | 5.58% |
P&N Bank also advertises higher rates for borrowers with LVRs between 80% and 95%, while both banks offer higher fixed rates for those making interest only repayments.
CommBank's Bankwest drops fixed mortgage rate suite
Joining in on the action was Bankwest, which cut fixed rates by as much as 30 basis points this week.
The Western Australia-based CommBank-owned lender now advertises fixed rates as low as 4.99% p.a. for owner-occupiers and 5.29% p.a. for investors.
Here are the latest changes made to the bank's fixed rate line up for owner-occupiers making principal and interest repayments:
| Fixed period | LVR | Change | New rate | Comp rate* |
|---|---|---|---|---|
| One year | ≤80% | -20bp | 5.39% | 6.55% |
| 80-90% | -10bp | 5.79% | 6.59% | |
| Two years | ≤80% | -30bp | 4.99% | 6.39% |
| 80-90% | -20bp | 5.39% | 6.47% | |
| Three years | ≤80% | -20bp | 5.39% | 6.39% |
| 80-90% | -10bp | 5.79% | 6.51% | |
| Four years | ≤80% | -20bp | 5.49% | 6.36% |
| 80-90% | -10bp | 5.89% | 6.51% | |
| Five years | ≤80% | -20bp | 5.59% | 6.35% |
| 80-90% | -10bp | 5.99% | 6.52% |
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Lender Home Loan Interest Rate Comparison Rate* Monthly Repayment Repayment type Rate Type Offset Redraw Ongoing Fees Upfront Fees Max LVR Lump Sum Repayment Extra Repayments Split Loan Option Tags Features Link Compare Promoted Product Disclosure
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