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Daniel J.
Daniel J.
Freshwater, NSW
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Coming from Europe, any chance to launch LIBOR linked mortgages in Australia?

8 years ago

Responses

Daniel. Hi. LIBOR refers to the London Interbank Offer Rate, although I'll bet you already knew this. It is used by Australian Banks when accessing funding at a Wholesale level. This is just one of many avenues available for Lenders within Australia. I have also seen LIBOR based rates being available to large Corporate borrowers although the more common avenue for business would be a margin over the 90 day Bank Bill Rate (BBR).
For residential home loans at either a Owner Occupied or Investor level you would be looking at either a Standard or Base Variable rate, or their advertised Fixed Rates. Depending on the product / risk mix, it may be possible to negotiate on what you see advertised.
Hope this helps
Regards
Ken Olds

Comments

Thanks Ken

Hi Daniel. I don't believe so, as the comparison rate serves this purpose in Australia.

Comments

Thanks Ariel

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