Fixed Versus Variable

It may be the last opportunity to fix at a reasonable rate at present. It is not all bad news, as the economy is doing OK, and house prices are performing well in many areas at present.

Based on my calculations and predictions, I think that if you are planning on locking in, you might get find economical option for three years at below 7.2% (I suggest 7.1% as a maximum rate to lock in at for three years in my main post at www.fixedversusvariable.com.au). The rest of the terms are nowhere near as good. I think that the market will start to factor in more rate rises very quickly. So don’t sit on your hands if you want to be fixed. However if you plan to fix just to save money, my predictions suggest you will end up about square on a three year fixed. And behind for the rest.

See . . . what rates might be worth fixing at?

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From . . . www.fixedversusvariable.com.au

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