Third major lender lifts fixed home loan pricing as wholesale rates climb
New Zealand’s largest lender has moved to the top of the big‑bank rate table, lifting most fixed home loan pricing.
ANZ has increased its 18‑month to five‑year fixed mortgage rates by 20 basis points, and its one‑year fixed rate by 10 basis points, citing higher wholesale funding costs. The bank’s six‑month fixed special is unchanged, but its one‑year special rises to 4.59% and the two‑year special to 5.09%, with standard one‑ and two‑year rates moving to 5.19% and 5.69% respectively, 1News and interest.co.nz reported.
ANZ cites wholesale costs as fixed rates climb
ANZ managing director for personal banking Grant Knuckey (pictured) said the move reflects ongoing pressure in swap and funding markets.
“Since the fixed rate changes we made in February, wholesale rates have continued to rise across all terms,” Knuckey said.
Despite the latest hikes, he argued many customers are still benefiting from the earlier easing cycle, noting that “78% of ANZ's fixed home loans are now on rates below 5%, a significant shift from the end of 2024 when fewer than 10% of loans were on rates below 5%.”
The changes mean ANZ’s fixed carded rates are now the highest of the main banks across one‑, 18‑month, three‑, four‑ and five‑year terms.
Westpac recently lifted fixed rates for terms of one year and longer, while BNZ has raised selected fixed home loan rates.
Term deposits rise as competition for savings intensifies
In tandem with higher mortgage rates, ANZ has also increased some term deposit rates, with one‑ to five‑year terms up by between 0.15% and 0.40%. The bank highlighted that its three‑year term investment rate is now 4.4%, an 18‑month high, while shorter‑term deposit rates of 270 days or less remain unchanged.
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