Fixed rate cuts expand to construction

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Two non-bank lenders have joined the recent wave of fixed rate cuts, and have opened the discounted fixed rates to construction loans.

Australian First Mortgage has reduced the two and three-year fixed rates on its Flexible Option Full Doc products, with its two-year rate now 6.79% and its three-year rate at 6.84%.

Meanwhile, Future Financial has also announced cuts to its fixed rate products, bringing its two-year rate to 6.79% and its three-year rate to 6.89%.

Both companies have opened the products to residential construction loans for owner-occupiers and investors, and both include the option of a 100% offset account. Future Financial has also touted a rollover rate of 7.19% at the end of its fixed rate period.

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