"Borrowers' buying investment properties could pay 224 basis points more for the most expensive than the cheapest standard variable loan. The gap on one to five year fixed investor loans ranges from 148 basis points to 181 basis points.
In raw basis point terms gaps of this size have been seen before, such as during the interest rate spike of the late 1980s. But with the underlying cash rate at 1.50 per cent the difference represents a very significant spread."
