RAMS announces cuts to fixed home loan rates

RAMS Chief Executive, Melos Sulicich said fixed interest rate home loans and splitting between variable and fixed interest rates were a popular choice for first home buyers who are looking for repayment certainty when starting out.

RAMS today cut 1 Year fixed home loan rates by 40 basis points to 4.99% p.a.

New 3, 4 and 5 Year fixed home loan rates dropped by 10 to 15 basis points

RAMS 2 Year fixed home loan rates now 5.25% p.a. effective, 1 February 2013

Survey results indicate around two-thirds of first home buyers are considering fixed and split home loan packages to take advantage of low fixed rate home loan offers.

"The recent RAMS First Home Buyers' (FHBs) Pulse Check survey* showed around two thirds of first home buyers surveyed intend to take out a fixed interest rate (22%) or split home loan (43%) in the next 12 months," Mr Sulicich said.

The RAMS FHBs Pulse Check survey was conducted by CoreData on behalf of RAMS recently to discover the attitudes and behaviours of Australians seeking to buy their first home.

"Fixing your interest rate could be a smart option, allowing customers to lock in the certainty of monthly repayments.

"Another option to consider is splitting your home loan between fixed and variable interest rates to make the best of both worlds," Mr Sulicich said.

1 Year Fixed (p.a.)

-0.40%

4.99%

2 Year Fixed (p.a.)

-0.14%

5.25%

3 Year Fixed (p.a.)

-0.10%

5.29%

4 Year Fixed (p.a.)

-0.15%

5.64%

5 Year Fixed (p.a.)

-0.10%

5.69%

Fixed rates may be beneficial because they provide the security of knowing exactly what your mortgage repayment commitment will be each month throughout the fixed rate period.

RAMS recently announced it has cut its Standard Variable home loan rate (SVR) to 6.35% p.a. effective from 10 December 2012 to be lower than the major banks.

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