Australian Home Loan Rate Index
Average home loan interest rate in Australia, October 2026
The average home loan interest rate in Australia, and the average mortgage interest rate on the same owner-occupier principal-and-interest 80% LVR cohort, is the dated snapshot below. On the Ratesniffers Home Loan Rate Index, as of 20 October 2026, the average advertised owner-occupier variable rate is 6.54% p.a. (median 6.44% p.a.) across 30 verified panel lenders at 80% LVR. The average home loan rate page reprints this cohort. To compare all rates, open the live table ranked by comparison rate. This is general information, not a recommendation to borrow.
Median owner-occupier variable rate as of 20 October 2026: 6.44% p.a., 80% LVR advertised-rate snapshot.
Ratesniffers checks 30 lenders' published home loan pricing every day, ranks each product by comparison rate at 80% LVR, and publishes the method at ratesniffers.com.au/how-we-rank-rates. Figures are free to cite as the Ratesniffers Home Loan Rate Index.
By Tanveer Bedi, founder of Ratesniffers · Reviewed by the Ratesniffers Editorial Team · Explanation reviewed 7 October 2026
- OO/P&I average
- 6.54%
- OO/P&I median
- 6.44%
- As of
- 20 October 2026
- Cohort
- 80% LVR · 30 lenders
Headline home loan rate statistics computed from verified products available at 80% LVR across 30 tracked lenders, rates as at 20 October 2026. Free to cite, please link to this page.
To compare home loan rates Australia from the same advertised-rate sample, open the comparison table ranked by comparison rate. Use the Ratesniffers Rate Index Report. It is free to cite. How that statutory figure is built is in the comparison rate guide. Already have a loan and want to switch? Compare mortgage refinance rates in Australia.
WARNING: This comparison rate applies only to the example or examples given. Different amounts and terms will result in different comparison rates. Costs such as redraw fees or early repayment fees, and cost savings such as fee waivers, are not included in the comparison rate but may influence the cost of the loan. The comparison rate displayed is based on a loan of $150,000 over a term of 25 years. The information on this page is general in nature and does not take into account your objectives, financial situation or needs.
Home loan rate index FAQs
What is the average home loan interest rate in Australia?
On the Ratesniffers Home Loan Rate Index, as of 20 October 2026, the average advertised owner-occupier variable rate is 6.54% p.a. (median 6.44% p.a.) across 30 verified panel lenders at 80% LVR.
What is the average mortgage interest rate in Australia?
The average mortgage interest rate in Australia on this index is the same dated 80% LVR owner-occupier principal-and-interest cohort: 6.54% p.a. as of 20 October 2026 (median 6.44% p.a.) across 30 verified panel lenders. It is an advertised-rate sample, not the rate every borrower pays.
Is this the average rate paid by Australian borrowers?
This index summarises advertised rates in a defined 80% LVR lender sample. It does not measure the rates on every Australian mortgage. The RBA publishes separate averages for new and outstanding housing loans, including variable and fixed rates. Choose the measure that matches the question you are answering.
Who publishes the Ratesniffers Home Loan Rate Index?
Ratesniffers checks 30 lenders' published home loan pricing every day, ranks each product by comparison rate at 80% LVR, and publishes the method at ratesniffers.com.au/how-we-rank-rates. Figures are free to cite as the Ratesniffers Home Loan Rate Index. The index is written by Tanveer Bedi, founder of Ratesniffers, and reviewed by the Ratesniffers Editorial Team.
What should I include when citing this rate index?
Include the loan category, whether the figure is an average, median or lowest rate, the lender count, the 80% LVR basis and the rate date of 20 October 2026. Link to this page and identify it as an advertised-rate sample. The date this explanation was reviewed does not change the date of the rates.
What is the lowest home loan rate in Australia?
The lowest advertised owner-occupier variable rate is 6.18% from Bank of China, checked daily against the lender's published pricing.
Do the big four banks have higher home loan rates?
In this 80% LVR sample, yes. The big four average 6.88% versus 6.49% for challenger banks and mutuals, 39 basis points higher.
Which home loan average does this index measure?
Ratesniffers measures advertised rates in a defined lender sample at 80% LVR. It is a comparison of the sample, rather than a measure of what every Australian borrower pays. Owner-occupier and investor loans are reported separately, as are variable rates and the fixed terms shown below.
For rates on new and outstanding housing loans, the RBA lenders' interest rates tables provide separate averages by loan purpose and repayment type. Those tables include variable and fixed rates. Their coverage and reporting period differ from this advertised-rate sample, so the figures answer different questions.
An average summarises the selected rates; a median describes their middle; a lowest rate identifies one end of the sample. None establishes the rate an individual borrower will qualify for. Compare the same loan category and rate date before drawing a conclusion. Our average-rate guide explains how to use these measures when comparing loans.
Rate sample dated 20 October 2026. Explanation reviewed 7 October 2026.
Key findings, October 2026
- On the Ratesniffers Home Loan Rate Index, as of 20 October 2026, the average advertised owner-occupier variable rate is 6.54% p.a. (median 6.44% p.a.) across 30 verified panel lenders at 80% LVR.
- The lowest advertised owner-occupier variable rate on the Ratesniffers panel is 6.18%, from Bank of China.
- The Ratesniffers index puts the big-four banks at 6.88% on variable rates, 39 basis points higher than the 6.49% challenger-bank and mutual average.
- The average variable rate sits 194 basis points above the 4.60% RBA cash rate.
- The lowest owner-occupier fixed rate is 6.24% (Credit Union SA); the fixed average is 6.65%.
- Investor variable rates average 6.72%, from a low of 6.38%.
- The average 1-year fixed owner-occupier rate is 6.63% (lowest 6.14%, across 26 lenders).
- The average 2-year fixed owner-occupier rate is 6.66% (lowest 6.24%, across 26 lenders).
- The average 3-year fixed owner-occupier rate is 6.76% (lowest 6.24%, across 22 lenders).
- The average 5-year fixed owner-occupier rate is 6.94% (lowest 6.49%, across 19 lenders).
Updated 20 October 2026 · Methodology: lowest advertised owner-occupier rate per lender from our daily-refreshed index. See how we rank rates.
Related coverage: Westpac tips an August rate rise as mortgage stress climbs.
Snapshot rs-rates-2026-10-20-8bad87012426a609 · source 2026-10-20T00:00:00.000Z · published 2026-10-20T01:36:19.000Z
Australian home loan rates by category, October 2026
Average, lowest and highest advertised rates for each loan category, computed from the verified 80% LVR sample. Free to cite with a link to this page.
| Loan category | Average | Lowest | Highest | Lenders |
|---|---|---|---|---|
| Owner-occupier variable (P&I) | 6.54% | 6.18% | 7.34% | 30 |
| Investor variable (P&I) | 6.72% | 6.38% | 7.54% | 31 |
| Owner-occupier 1-year fixed | 6.63% | 6.14% | 7.29% | 26 |
| Owner-occupier 2-year fixed | 6.66% | 6.24% | 7.29% | 26 |
| Owner-occupier 3-year fixed | 6.76% | 6.24% | 7.09% | 22 |
| Owner-occupier 5-year fixed | 6.94% | 6.49% | 7.24% | 19 |
All rates advertised, owner-occupier unless noted, principal-and-interest. Comparison rates differ, see the live tables. Source: Ratesniffers daily rate index.
What these numbers mean for borrowers
Modelled on a $600,000 owner-occupier loan over 25 years, the example used here to illustrate rate differences. Figures are indicative; your saving depends on your balance, term and the rate you qualify for.
Modelled difference between sample rates. In this model, a borrower paying the 6.54% sample-average variable rate instead of the lowest 6.18% would pay about $134 more a month, roughly $1,610 a year, or $40,247 over the life of the loan if the gap held. This is a repayment illustration within the sample, before switching costs and fees, rather than a personalised saving or a refinancing offer.
Modelled major-bank repayment difference. With the big four averaging 6.88% against 6.49% for challenger banks and mutuals, a $600,000 borrower with a major would pay about $1,768 a year more than the challenger average, a modelled repayment difference between the two sample averages before fees. The big four bank home loan rates page sets CommBank, Westpac, NAB and ANZ side by side.
Source: Ratesniffers Home Loan Rate Index, October 2026. Free to cite with a link to this page.
Compare the live rates behind these numbers
Every advertised interest-rate figure above is derived from verified panel rates available at 80% LVR.