Jeremy Andrews: Key Mortgages mortgage broker on ANZ increasing its test rate

Early Edition with Ryan Bridge · Oct 30, 2023 · 2m

A major bank has increased its test rate, which is the rate at which it checks that borrowers can afford a loan.

ANZ has upped it to 9.1%.

That's despite home loan rates sitting around 7% for a two-year fix.

Key Mortgages mortgage broker Jeremy Andrews told Kate Hawkesby that it's the first bank to make such a move in decades.

He says interest rates have been going up since Covid came along, so test rates have too.

LISTEN ABOVE

See omnystudio.com/listener for privacy information.