News

Reserve Bank Reduce Interest Rates May 2015 Reserve Bank Reduce Interest Rates May 2015
5 May '15

The RBA (Reserve Bank of Australia) have today decreased the the official cash interest rate by 0.25% to 2%. A Cash Rate of 2% is a record low.

The RBA is expected by many economists to sit on the sideline now to the see the impact of this and the last interest rate reduction in February 2015.

Now more than ever is the time to review your home, investment and business loans to ensure you are not missing out on possible savings. With fixed interest rates in the 3's and variable rates now in the low to mid 4's there has never been a better time for interest rates.
 
RBA Meeting 3 March 2015 RBA Meeting 3 March 2015
2 Mar '15

The Reserve Bank of Australia (RBA) has today decided to leave the official cash rate on hold at 2.25% following their monthly board meeting today. After the 0.25% reduction last month at the February 2015 meeting economists were generally split over a further official cash rate reduction at todays meeting.

The RBA would have had a difficult decision with inflation quite low which generally may support an official interest rate reduction against creating more of a boost to the housing market.

The minutes from todays meeting will tell more as they are revealed. Perhaps the RBA is awaiting to see the impact of the February interest rate reduction.



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RBA Rate Reduction 3.1.2015 RBA Rate Reduction 3.1.2015
2 Feb '15

The Reserve Bank of Australia (RBA) has today officially reduced the official cash rate from 2.5% to 2.25% at their first meeting in 2015 which was held today. The timing of the reduction had most major economists surprised today although most appear to have agreed that they saw rate reductions being announced prior to mid 2015. Financial Markets still appear to be expecting a further rate reduction before mid this year although you can assume this will happen.
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$1 Lenders Mortgage Insurance Promotion $1 Lenders Mortgage Insurance Promotion
10 Dec '14

The $1 Lenders Mortgage Insurance promotion will end Monday 15th December, 2014. This special lenders mortgage insurance promotion is from a prominent second tier bank. You must hurry now and we need to have your applications completed and submitted over the weekend and before the close of business Monday 15th December, 2014.

Eligible Criteria

  • New Loan Applications with new security properties to the bank
  • Maximum Loan Valuation Ratio (LVR) 90%
  • Owner Occupied Only – No Investment Purchasing
  • Must be a Purchase – No Refinance
  • Principal and Interest only
  • Must meet normal credit and LMI credit guidelines and criteria
  • Unconditional Approval must be issued by 30 January, 2015

You must act now to take advantage of this unique special offer. Call 0733568132 and have your application assessed to determine if you qualify.

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Refinance Rebates Refinance Rebates
5 Nov '14

The home and investment lending market still remains highly competitive. Not only are we achieving standard variable interest rates discounts of up to 1.3% (previously 0.7%) banks are even offering cash incentives to lure new clients that are considering refinancing their current home or investment loans.

One major lender is offering a $1,250.00 cash rebate should you refinance a home or investment loan greater than $250,000.00. But hurry we need to submit your application prior to 30.11.2014 and settlement needs to be completed by 28.2.2015.

Also ask about the major bank rebate offer for First Home Buyers. You may receive a $1000.00 post settlement cash rebate for loans greater than $100,000.00 with a maximum loan valuation ratio (LVR) of 90%. Call NFC for full details.

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Stand Out Interest Rate Packages Stand Out Interest Rate Packages
3 Nov '14

There is a fierce level of competition between all banks and lenders currently. One current bank offer is an interest rate of 4.69% per annum and a comparison rate of only 4.7% per annum.

The same bank also is offering a 3 year fixed interest rate of 4.89% per annum with a comparison rate of 4.75%.

These current offers apply to fully documented loan applications received before 12th December, 2014. The annual professional package fee is also being waived.

Minimum loan amounts of $150,000 apply and maximum loan valuation ratio not to exceed 80%.

We are continually achieving variable interest rate professional package discounts of up to 1.3% for many borrowers.

Call 0733568132 now to see how much you could save.

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July Special Offers and Government Fee Update July Special Offers and Government Fee Update
8 Jul '14

Please find attached our July update for Special Offers from some of Australia's Banks and Lenders.

Some of the key points in the attached update are as follows -

There has been a marginal increase to "Mortgage Registration" and "Transfer Fees" in Queensland. We have updated the table in full on the attachment along with Stamp Duty Costs.

Fixed and Variable Interest Rate update.

Qantas Frequent Flyer Home Loan, earn points every month on your home loan - http://www.nfc.com.au/products-and-services/qantas-frequent-flyer-home-loan/

Some banks/lenders are still offering cash rebate incentives to refinance and one bank is offering a $1000 cash incentive for first home buyers subject to certain conditions.

NO Lenders Mortgage Insurance Options are still available subject to location restrictions and loan limits.

NFC has also become widely regarded for Self Managed Superannuation Fund (SMSF) Lending. A significant percentage of our business has been for people purchasing residential and commercial property in their SMSF. Don't leave SMSF Lending to novices, talk to us before you sign a contract and get the right lender selction advice upfront. We have seen inexperienced mortgage brokers and bank lenders costing time as they do not understand the full requirements and lenders' policy. Failure to get this right will not only cost you time but also money in preparing amendments to the bare trust.

Specialised Pricing - we have been greatly successful in achieving much higher discounts than what are publicy offered by some banks. For example 4.75% variable with one of the big 4 banks. Talk to us today and don't miss an opportunity.

Like us on -
Facebook - www.facebook.com/nationalfinancecorp
Twitter - https://twitter.com/nationalfincorp
Pinterest - http://www.pinterest.com/nationalfinance/

Please also take the time to update your profile on the link in the footer of this email.

Key Links for Additional Information -

Family Guarantees - www.familyguarantee.net.au

Deposit Bonds - www.depositbonds.co

SMSF Lending - www.financialplanners.co

First Home Owners - www.firsthomeowner.co

Lenders Mortgage Insurance Information - www.mortgageinsuranceaustralia.com.au

Loan Protection Insurance - http://www.nfc.com.au/products-and-services/loan-protection-insurance/ Click here for more information
RBA Announcement August 2013 RBA Announcement August 2013
6 Aug '13

The Reserve Bank of Australia (RBA) has today reduced the official cash rate by 0.25%. The cash rate was 2.75% and today has dropped to 2.50%. Click here for more information
RBA Still Has Room to Reduce Interest Rates RBA Still Has Room to Reduce Interest Rates
18 Jun '13

Interesting article I found today regarding Reserve Bank (RBA) minutes on interest rates.

The RBA (Reserve Bank) has indicated that it will consider further rate cuts in its June monetary policy meeting minutes, despite a pick-up in the housing market and other key economic sectors.

While they acknowledge hat house and unit prices have remained ‘relatively flat’ in the months leading up to the June meeting – though ‘still higher than the previous year’ – factors outside of the property market continue to create economic uncertainty.

"There were…signs that the appetite for borrowing in the household sector was picking up, and the housing market generally appeared to be improving, as the effects of the most recent and earlier reductions in the cash rate worked their way through the economy."

Interest rates declined further as a result of the RBA’s May rate cut decision and the exchange rate also depreciated noticeably, though it remained at a high level considering the decline in export prices.

However, the Board says the Australian dollar may fall further as export prices ease and says it has room to cut interest rates again.

“It was possible that the exchange rate would depreciate further over time as the terms of trade declined, which would help to foster a rebalancing of growth in the economy. The board also judged that the inflation outlook as currently assessed might provide some scope for further easing, should that be required to support demand.”


by Mackenzie McCarty

Australian Broker Online, 19 June 2013

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Refer Family and Friends for Myer Gift Card Refer Family and Friends for Myer Gift Card
4 Jun '12

Now is a great time to have a full financial check up on your home loan. It is also a great time to refer family members and friends to have a full financial check up. For every loan settlement you refer over $300,000 NFC will give you a $200 gift card of your choice for David Jones, Myers etc. This increases to $400 for loans over $500,000.
Special Offer Big 4 Bank Special Offer Big 4 Bank
4 Jun '12

Special Offer from Big 4 Bank to refinance your home or investment loan and they will pay you $700 towards any switching costs. Click here for more information
RBA Leave Interest Rates on Hold RBA Leave Interest Rates on Hold
6 Mar '12

The Reserve Bank of Australia has left the official cash rate on hold for the second consecutive month.

In the minutes of the Monetary Board Meeting, the Board said that “the expectation that the world economy will grow at a below-trend pace this year, but does not suggest that a deep downturn is occurring.
 

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RBA Meeting March 2012 RBA Meeting March 2012
6 Mar '12

No 'material softening' to prompt RBA today

Rates could remain on hold for months to come as the RBA is tipped to leave the cash rate at 4.25% when it meets today.

Despite new inflation figures leaving the Reserve Bank leeway to cut rates, a survey of 24 economists by Bloomberg has shown the unanimous prediction that the RBA will not move on the official cash rate today. The TD Securities - Melbourne Institute Monthly Inflation Gauge posted only a 0.1% rise in February, leaving trimmed mean inflation at 2.1%, at the bottom range of the bank's target band. TD Securities has claimed the result still will not provide the Reserve with enough motivation to cut rates.

"For the RBA Board meeting today, members will note that there has been next to no evidence of a 'material softening of domestic demand' in the last four weeks, the Bank’s clearly stated hurdle for further easing," TD Securities head of Asia-Pacific Research Annette Beacher said.

Beacher said employment, housing finance and exports had provided "upside surprises". And while fourth quarter GDP is expected to be flat, Beacher said an "outsize resource-led private investment boom" would remain on track into the next year.

"The easiest decision is to leave the cash rate at neutral for another month, and indeed it is increasingly likely to remain the case for several months to come," Beacher said.

Source – Key Media. Australian Broker News. By Adam Smith

Banks May Lift Rates Regardless of RBA Banks May Lift Rates Regardless of RBA
5 Mar '12

Jessica Darnbrough

Regardless of what the Reserve Bank does when the Board meets later today, Australia's banks could lift their rates for the second consecutive month.

Speaking to The Adviser, Advantedge’s general manager distribution, Brett Halliwell, said the costs of funds have risen by approximately 100 basis points in the past few months, which is having a huge impact on Australia’s banks.

“On average, banks source approximately 30 per cent of their funds from markets that have seen costs of funds rise by 100 basis points at least,” he said.

“That is why we have seen out of cycle rate hikes and I wouldn’t be surprised to see more still as the banks look to pass on the higher costs of funds.”

ANZ was the first lender to move out of cycle last month, lifting the interest on its standard variable rate by 6 basis points.

All of the three remaining majors then followed suit, with Westpac and CBA both lifting their standard variable rates by 10 basis points, while NAB increased its SVR by 9 basis points.

ANZ’s monthly rate meeting is set to take place again this Friday, with many industry watchers now predicting the lender will look to lift rates for the second consecutive month.

If this comes to pass, it will be interesting to see whether or not the other lenders follow suit given they lifted their rates by more than ANZ last month.

Source – The Adviser. Industry News for Mortgage and Finance Brokers

Mortgage Rates expected to hit 10% by 2012 Mortgage Rates expected to hit 10% by 2012
1 Mar '12

 

Leading economists forecast mortgage rates will blow up to 10 per cent in 2012 as a result of continuous rate increase of Reserve Bank to prevent inflation. Commodity prices and rising employment are the major factors putting pressure on rates.

Economists at Macquarie Bank and Commsec have both predicted the cash rate will reach 7.25 per cent in the next two years if the economy continues to perform very well.

While according to Josh Williamson, Citibank Chief economist the interest rate forecast will obviously affect mortgage repayments.

"The banks' margin above the cash rate has crept up to almost 2.90 per cent so the cash rate doesn't even need to rise as high as last time (for mortgage rates) to hit double figures," said Williamson.

Rory Robertson, Macquarie's interest rate strategist, says that they already know how the Reserve Bank will respond to the inflation threat which is the same way it reacted during the 2008 major credit crunch brought about by the Lehman Brothers.

This news definitely will terrify home owners who availed of property mortgages when rates were still low last year.

Mortgage brokers have advised potential home buyers to factor in at least another two percent of rate increase into their calculations before deciding how much to loan.