<div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>Mortgage lenders are anticipating the looming Reserve Bank of Australia meeting by slashing home loan rates to a level not recorded in two years.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>The Police Credit Union last week dropped its lowest variable rate to just 4.99 per cent for owner-occupiers with at least a 20 per cent deposit.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>The last time variable rates started with a 4 was in 2023, figures by Canstar show.</span></div></div><div><div id="adspot-mobile-medium"></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><strong><span>READ MORE:</span></strong><span> </span><a href="https://www.9news.com.au/finance/inflation-june-quarter-2025-cpi-interest-rates-reserve-bank-australia/1efbb25f-0c3d-4091-9c9e-f715bec737da" rel="" target="_blank" title="New inflation data paves way for interest rate cut in just two weeks"><strong><span>New inflation data paves way for interest rate cut in just two weeks</span></strong></a></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>During the past fortnight, 13 lenders have cut at least one fixed home loan rate.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>This includes Australia's fifth-largest bank, Macquarie, which sliced its rates by up to 0.20 percentage points late last week.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>A total of 17 lenders now offer at least one fixed rate under 5 per cent, including Macquarie, Greater Bank, Bank of Queensland, Heritage Bank and Australian Mutual Bank.</span></div></div><div><div class="OUTBRAIN" data-reactroot="" data-src="//www.9news.com.au/finance/banks-cut-variable-and-fixed-home-loan-rates-ahead-of-rba-decision/2dca282f-8e48-4b54-8597-7bb8d140a3b9" data-widget-id="AR_5"></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>The lowest variable rate is now a fraction above the lowest fixed rates, despite the chance of further cuts when the RBA holds its policy meeting on August 12.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>"Variable home loan rates starting with a '4' are finally back on the table after a two-year hiatus," said Canstar insights director Sally Tindall.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><strong><span>READ MORE:</span></strong><span> </span><a href="https://www.9news.com.au/national/kristian-white-updates-nsw-police-officer-who-tasered-great-gran-spared-jail-again/dbd1d727-055c-415f-ab7c-e7644412aa35"><strong><span>No jail for police officer who tasered great-grandmother</span></strong></a></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>She says banks are dangling attractive fixed rates offering in front of customers seeking short term certainty, but urged them to weigh choices carefully.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>"If you're thinking about fixing, make sure you understand the trade‑offs - you might be buying peace of mind, but it could come at a cost if rates fall faster than expected."</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>Hopes of a further interest rate cut were boosted today with the release of new inflation figures from the Australian Bureau of Statistics, showing headline inflation slowing to 2.1 per cent in the 12 months to the June quarter – down from 2.4 per cent in March.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>It means headline inflation is now at the bottom of the RBA's target range.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>Economists and commentators believe the new data will pave the way for the central bank to cut rates by 25 basis points at its August meeting, to 3.60 per cent.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><a href="https://www.9news.com.au/national/how-to-follow-9news-digital/29855bb1-ad3d-4c38-bc25-3cb52af1216f" target="_blank"><strong><em><span>DOWNLOAD THE 9NEWS APP</span></em></strong></a><strong><em><span>:</span></em></strong><span> </span><em><strong><span>Stay across all the latest in breaking news, sport, politics and the weather via our news app and get notifications sent straight to your smartphone. 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