ANZ joins the push for higher home loan rates

FIXED home loan rates are on the rise, with ANZ following Commonwealth Bank and Westpac in increasing rates for owner-occupiers as funding costs rise.

ANZ on Friday lifted its two to five-year fixed rates for owner-occupiers paying principal and interest by up to 0.35 per cent, RateCity.com.au said.

It also cut its one-year fixed rate by five basis points to 1.99 per cent, ensuring it had one offer under the 2 per cent threshold.

Westpac increased its two to five-year fixed rates for owneroccupiers by 0.10 per cent on Tuesday, while last week CBA lifted its two, three and four-year fixed rates for owner-occupiers by 0.10 per cent. RateCity research director Sally Tindall (pictured) said “the tide is going out on ultralow fixed rates”.

“The cash rate might be on hold until 2024 but the banks believe the cost of funding will continue to increase as the economy rebounds,” she said.