Borrowers should practice a little more patience if they plan to fix their mortgages advised ANZ bank chief Mike Smith.
Speaking at a luncheon held by the Australian Institute of Company Directors in Brisbane, Smith said he "wouldn't be in a hurry" to fix, in response to a question about whether he thinks rates will go lower than 3%.
"I think it depends very much on what happens in the next few months," he said.
The RBA avoided dropping the interest rate at its monthly meeting earlier this week, in a show of optimism in Australia's economic outlook.
In April, three of Australia's big four banks increased their fixed mortgage interest rates, citing higher funding costs. NAB lead kicked off the trend by raising its rates on its two and three year fixed rate mortgages by 20 basis points to 5.29% and 5.49% respectively.
CBA raised its four-year fixed rate loans by 20 basis points to 6.59%, while five year fixed rate loans were increased 40 basis points to 6.84%. And Westpac raised its one-year fixed rate mortgages by 20 basis points to 5.39% and its two-year fixed rate mortgage was raised by 30 basis points to 5.49%.
ANZ raised its fixed rates in January and left them at 5.99% for one and two year mortgages and 6.19% for a three-year rate.
