The residential transformation of St Kilda Road is set to continue into with more new apartment plans for the sought-after boulevard.

Wing Tai Asia has lodged plans for a major residential tower at 464-466 St Kilda Road, replacing the former VACC House with an 18-storey mixed-use development designed around a retained heritage podium and a sculpted contemporary tower.

The proposal, prepared under Victoria’s Significant Residential Development with Affordable Housing pathway, would deliver 325 apartments and ground-floor retail across the prominent 4,653 sqm boulevard site in Melbourne’s St Kilda Road North Precinct.

The project centres on the adaptive reuse of the site’s heritage-listed VACC Building, an eight-storey office designed by Bernard Evans that has occupied the address for decades. Planning documents state the development would involve “carefully dismantling and conserving off-site the original metal fabric of the podium visible from St Kilda Road,” before reinstating it as the defining frontage of the new scheme.

Above the restored podium, Wing Tai is proposing a curvilinear residential tower. The scheme includes 172 one-bedroom apartments, 63 two-bedroom apartments, 66 three-bedroom apartments, and 24 four-bedroom apartments, alongside two ground-floor food and beverage tenancies fronting St Kilda Road.

The tower has been designed with substantial articulation and variable setbacks to minimise perceived bulk and maintain view corridors along the boulevard. Urbis, which prepared the planning report, said the design “has been significantly articulated through a curvilinear design” with “an interplay with materials, façade expression and depth” to create visual separation and visual interest.

The proposal also includes 254 basement car spaces, landscaped pedestrian links connecting St Kilda Road and Queens Lane, and a biophilic landscape strategy featuring canopy trees, raised planters, cascading greenery and a glass oculus pool overlooking the eastern frontage.

Planning documents confirm the $270.1 million development will contribute 3 per cent of project costs to the Social Housing Growth Fund as part of the application process.

Wing Tai acquired the St Kilda Road property in 2018 alongside Abacus Property Group for $95.38 million, before later consolidating ownership of the site. The property previously served as the Victorian Automobile Chamber of Commerce headquarters for around 60 years.

The transformation of the St Kilda Rd boulevard is already beginning to materialise, with a number of high-profile projects recently completed, launched, or approaching launch as developers continue to back the long-term appeal of the precinct.

Among the most notable recent completions is Louise by Samuel Property Group, just off the strip on Queens Lane, the same pocket Hirsch &amp; Faigen recently launched The Queensbury. Mirvac is too on the same street with The Albertine, which is approaching completion.

Dexus recently secured approval for its slice of St Kilda Road, while Gurner also has approved plans for the precinct.

Joel Robinson

Wing Tai unveils 325-apartment St Kilda Road tower on former VACC House site

Malaysian developer <a href="https://www.apartments.com.au/developers/s-p-setia">SP Setia</a> is the latest to jump into St Leonards booming Transport Oriented Development precinct.

The developer, which has previously delivered Sapphire by the Gardens apartment development in Melbourne, identified the Atchison Street site in 2023. It filed a Scoping Report around 12 months ago, and now has revealed the designs for the new&nbsp;40-storey mixed-use tower.

The State Significant Development Application covers <a href="https://next-portal.urban.com.au/projects/14650/summary">20-22 Atchison Street</a>, a 1,374 sqm site positioned between St Leonards Station and the new Crows Nest Metro station.

Designed by <a href="https://www.apartments.com.au/architects/cox-architecture">COX Architecture</a>, the project would deliver 181 apartments, above a four-storey commercial podium, five basement levels, and new public domain works along Mitchell Street. The apartment mix comprises 35 one-bedroom apartments, 39 one-bedroom-plus-study apartments, 85 two-bedroom apartments, and 22 three-bedroom residences.

The proposal has been lodged as a shop-top housing development under the NSW Government’s TOD planning pathway, which allows increased density around key transport infrastructure. The site sits within the recently rezoned Crows Nest Accelerated TOD Precinct.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b799673d-48e2-46b0-801a-0e33a9330100" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20site.png?VersionId=dPh0UfwfaHpbFL1R7H1cbZNbIW0CHbCC" />

SP Setia acquired the Atchison Street site as part of its continued expansion into the Australian apartment market. In comments made to City &amp; Country (The Edge Malaysia) in 2023, SP Setia President and CEO Datuk Choong Kai Wai described the acquisition as “a strategic move” aligned with the group’s post-pandemic market recovery strategy.

“Our target for this exceptional development is local and overseas buyers, including first-home buyers, downsizers and investors,” Choong said.

The tower has been designed as a slender vertical form rising from a mixed-use podium, with COX Architecture positioning the development as a response to the evolving St Leonards and Crows Nest skyline.

“The purpose of the project is to facilitate the delivery of high-quality housing at a strategically located site and deliver a built tower outcome that is consistent with the desired future character of St Leonards and aligns with the TOD controls,” the design report stated.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="b1a85eee-76f7-436c-a6da-73ba827b9b13" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/atchinson%20entry.png?VersionId=dA9jHGPMcm.dDbwk4QfxqWiY5bfh3UVt" />

The podium would incorporate retail uses fronting Atchison Street, commercial tenancies, landscaped communal areas, and pedestrian improvements along Mitchell Street. Vehicle access and loading would be consolidated via Atchison Lane.

Residents would have access to more than 665 sqm of communal indoor and outdoor spaces, while the development proposes 96 parking spaces across five basement levels.

The proposal also includes a commitment for 10 per cent of residential floor space to be allocated toward affordable housing through a monetary contribution.

COX said the tower form responds directly to the emerging high-density character of the precinct while seeking to maximise solar access, cross ventilation, and outlook from apartments.

<img alt="First look: SP Setia targets St Leonards skyline with 40-storey TOD tower" data-entity-type="file" data-entity-uuid="2163f85c-f63b-4be3-aafa-f8763976cec5" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/Article%20Feature%20Image%20%28Grid%29_5.png?VersionId=WiAmtIKJ6.ZQ41EtYEQ1fol7AeorKBlL" />

“The building is orientated towards north,” the Apartment Design Guide compliance report noted, adding that the tower’s slim form was driven by the constrained inner-urban site dimensions.

The design also incorporates landscaped setbacks and communal open space at podium level, intended to soften the interface with surrounding streets and improve pedestrian amenity.

The project adds to a growing wave of redevelopment proposals reshaping St Leonards and Crows Nest following the opening of the Sydney Metro City line and the NSW Government’s push for higher-density housing around major transport nodes.

Last week Stockland filed plans just down the road. They want to build a <a href="https://www.apartments.com.au/new-apartments/601-pacific-highway-st-leonards-nsw-2065">52-storey tower on Pacific Highway</a>.

Read more:&nbsp;<a href="https://www.apartments.com.au/news/nsw/first-look-stockland-plans-52-storey-538-apartment-st-leonards-tower">First look: Stockland plans 52-storey, 538-apartment St Leonards tower&nbsp;</a>

First look: SP Setia targets St Leonards skyline with 40-storey TOD tower

<a href="https://www.apartments.com.au/developers/urban-property-group">Urban Property Group</a> has revealed plans for a new mixed-use tower at 10 Dangar Street, Wickham, advancing a proposal that would reshape the southern gateway to Newcastle’s city centre with one of the city’s tallest residential buildings.

The State Significant Development proposal, now on exhibition, seeks approval for a <a href="https://www.apartments.com.au/new-apartments/bowline-10-dangar-street-wickham-nsw-2293">43-storey tower</a> immediately adjacent to the Newcastle Interchange. The project would deliver around 200 apartments, including 42 affordable housing dwellings, alongside 99 co-living units, a 171-room hotel, retail space, and new public domain integrated through the site.

The scheme marks a significant escalation of plans previously approved for the site. Urban Property Group took over the prominent 2,904 sqm parcel, where excavation and demolition had already commenced under an earlier consent for a 14-storey mixed-use development.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="58a96dd9-407f-4d20-86b4-94e4bfeef74b" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20podium.png?VersionId=LGlf08pdFGAZDzvx_CXC4XakHNZRuEE0" />

Designed by <a href="https://www.apartments.com.au/architects/sjb-architects">SJB</a>, the tower has been conceived as a landmark transit-oriented development anchored to the Newcastle Interchange precinct. The proposal includes 245 build-to-sell apartments across a mix of one, two, and three-bedroom residences, as well as two penthouses. Fifteen apartments and one operational unit are earmarked for NDIS housing. The co-living component would add a further 99 units, while the podium would accommodate retail uses and hotel facilities.

SJB said the site presents “a valuable opportunity to anchor the precinct by setting the standard for design, active ground planes and character at the key southern gateway.”

The architecture responds directly to the site’s position beside major transport infrastructure and within one of Newcastle’s fastest-evolving urban renewal precincts. The tower form sits above a sculpted podium designed to frame new public spaces, including a through-site pedestrian link connecting Station Street to Hannell Street, landscaped plazas, and activated retail edges.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="a7bd6ff0-f7db-4ce8-a6dc-ea56e72c6149" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20lanne.png?VersionId=xzf39VADyhj7zBQY2I9fx9vI62u2tuSb" />

The design report describes the project as part of the broader transition of Wickham into “a vibrant, high-quality mixed-use urban precinct” that leverages proximity to the station, open space, and regional connectivity.

A detailed public art strategy has also been prepared for the development. The strategy positions the project as “a transit-oriented development of state significance at the gateway to Newcastle’s city centre” and outlines a series of integrated artworks responding to Newcastle’s industrial and transport heritage.

Creative Road’s curatorial framework for the project, titled Unveil, draws on “stratified surfaces, carved volumes, and light-filled apertures” while referencing Newcastle’s transformation from an industrial city into a contemporary education and technology hub.

<img alt="First look: Urban Property Group unveils Newcastle’s next supertower at Wickham interchange" data-entity-type="file" data-entity-uuid="77a882bb-14b1-4d28-99ff-9438e39508c0" src="https://s3.ap-southeast-2.amazonaws.com/www.urban.com.au/s3fs-public/inline-images/wickham%20site.png?VersionId=cevgo_vN0eKPK78P8YcEu3mKPLkpFqE7" />

The proposal is being advanced through the NSW Housing Delivery Authority pathway after being declared State Significant Development in June 2025. The accompanying scoping report states the development aims to “maximise the site’s proximity to the Newcastle Interchange by delivering transit-oriented development” while increasing housing supply and affordable housing provision within the Newcastle LGA.

Urban Property Group’s plans align with the long-term strategic vision established under the Wickham Master Plan, which identified the interchange precinct as suitable for substantial uplift in height and density. The current proposal would significantly intensify that vision, positioning the tower among the tallest developments proposed for Newcastle.

The site sits immediately north of the Newcastle Interchange, bounded by Dangar Street, Hannell Street, and Charles Street. It is surrounded by a rapidly growing cluster of residential towers and mixed-use projects that have emerged following the completion of the light rail and transport interchange.

First look: Urban Property Group unveils Newcastle’s latest tower at Wickham interchange

Bottega House has completed settlement of a landmark riverfront site in Macquarie Street, St Lucia, representing its first major Brisbane development.&nbsp;

Positioned on the banks of the Brisbane River, the <a href="https://www.apartments.com.au/new-apartments/180-macquarie-street-st-lucia-qld-4067">premium site at 180 Macquarie Street</a> features uninterrupted river frontage in one of Brisbane’s most tightly held residential precincts.&nbsp;

The proposed development, currently under assessment with Brisbane City Council, has been designed by <a href="https://www.apartments.com.au/architects/plus-studio">Plus Studio</a> with interiors by <a href="https://www.apartments.com.au/interior-designers/mim-design">Mim Design</a> and will deliver a boutique collection of premium residences positioned specifically for owner occupiers and downsizers.&nbsp;

The residences are set to redefine luxury apartment living in the area, with a focus on architectural quality, refined finishes, landscape integration and elevated amenities including curated wellness facilities, resort-style pools and recreation spaces rarely seen in the local market.&nbsp;

Exclusive sales for the project will be led by Keenan &amp; Byrne, ahead of an anticipated launch later this year.&nbsp;

Bottega House Managing Director Nick Malloch said the project reflects the group’s ambition to deliver a highly curated residential offering within one of Brisbane’s most tightly held precincts.&nbsp;

“This is an incredibly rare riverfront opportunity and one we have approached with a long-term perspective,” Malloch said.&nbsp;

“Our vision from the outset was to create a boutique collection of residences that feel more like private homes than traditional apartments, with generous proportions, refined finishes and exceptional amenity throughout."

Malloch says there is a&nbsp;lack of premium owner-occupier stock of this quality in the market, particularly for downsizers wanting space, privacy and a true lifestyle offering without compromise.&nbsp;

"Demand is expected to be strong given the scarcity of premium riverfront opportunities of this nature within Brisbane’s inner-west."&nbsp;

Bottega House secures landmark riverfront site in St Lucia 

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<section data-scroll-anchor="false" data-testid="conversation-turn-2" data-turn="assistant" data-turn-id="request-WEB:5a5ab36c-8dd3-454c-b456-c501f22f0eb4-0" data-turn-id-container="request-WEB:5a5ab36c-8dd3-454c-b456-c501f22f0eb4-0" dir="auto">
The arrival of the first piling rig officially marks the commencement of construction at SIERA’s new beachside apartment development, Exhale, in Northcliffe.

<a href="https://www.apartments.com.au/new-apartments/exhale-surfers-paradise-8-enderley-avenue-surfers-paradise-qld-4217">Exhale</a>, a glass-encased tower featuring 54 large-scale apartments at 8 Enderley Avenue, is SIERA’s third Gold Coast development. It follows the recently completed PIPIS Bilinga beachfront project, which achieved suburb-record prices, and the soon-to-be-completed Chevron Island development, Tapestry.

[smartcode_project:default project_id=112661 project_image_fid=359603]

<a href="https://www.apartments.com.au/developers/siera">SIERA</a> Founder and Managing Director Brent Thompson said the arrival of the piling rig represented a significant milestone for the development, which is scheduled for completion in late 2028.

Over the next month, around 260 piles are expected to be installed as work progresses on the basement structure. The building is anticipated to rise above ground level early next year, before unveiling its sculptural glass curtain wall, developed in collaboration with specialist façade engineers.

“The façade was designed to maximise panoramic coastal views while creating a distinctive architectural identity,” Thompson said.

[smartcode_project:default project_id=112661 project_image_fid=355935]

Designed by BDA Architecture, Exhale will comprise just 54 two- and three-bedroom residences across 26 levels, a level of low-density living rarely delivered in this beachside pocket between Surfers Paradise and Broadbeach.

The project has been conceived as a resident-only building, with no short-stay accommodation permitted. SIERA says the model is intended to appeal to long-term owner-occupiers rather than transient holiday demand.

[smartcode_project:default project_id=112661 project_image_fid=361052]

Residences have been designed with large-format layouts and expansive glazing, with most apartments featuring more than 30 metres of glass frontage to maximise natural light and ocean views.

The amenity offering spans two levels and centres on wellness and lifestyle, including a heated magnesium pool, sauna, yoga and Pilates studio, gymnasium, private dining facilities, cinema lounge, and dedicated surfcraft storage.

[smartcode_project:default project_id=112661 project_image_fid=359607]

More than half of the apartments have already sold. SIERA has also opened a sales gallery for Exhale at its Chevron Island commercial premises, near its Tapestry tower and the site of its second Chevron Island apartment development, which is slated to launch in early 2027.
</section>
</section>

[smartcode_project_cta:default project_id=112661]

SIERA kicks off construction at Northcliffe tower Exhale

Home Loans

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ANZ today announced it will lower interest rates for variable rate mortgages by 0.25% per annum following its monthly interest rate review.
Effective Thursday 12 February, ANZ’s standard variable rate will be 5.63% per annum (5.73% per annum comparison rate).
The 0.25% per annum decrease will save customers about $60 per month or $750 per year for the average home loan of $280,000.
“We’ve decided to move our standard variable rate for home loans down by 25 basis points which is the same as the movement in the Reserve Bank’s official cash rate," ANZ CEO Australia Philip Chronican told ANZ’s BlueNotes news site.
“We’ve tried to have a more open discussion with the community about bank funding costs. It’s true that wholesale funding costs have eased a little bit over the last year or so and that’s taken a little bit of the pressure off.
“Importantly the effective date for this change will be 12 February which is a full eight days earlier than most of our major competitors and I think that’s an important customer benefit,” Chronican said. 
He told News Ltd that he has concerns about the property market given cheap money.
“I am cautious because if you look at the big picture around the globe, this era of very cheap money has led to asset prices rising,” he said. “It would be nice to see some of the money … going into building new capacity, new construction, businesses expanding, rather than just seeing it all being used to bid up the prices of existing assets.”
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jchancellor-FAypfDUnLy

ANZ last to announce cut, but first to deliver among big four

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GUEST OBSERVATION
Eighteen lenders have so far announced rate cuts to their variable home loans since the Reserve Bank dropped the cash rate to 2.2%. 
It's great to see that all of the 18 lenders that have so far announced rate cuts will be passing on the full 0.25 percentage points, with Westpac dropping further, by 0.28 percentage points. In particular, <a href="https://Loans.com.au" target="_blank">Loans.com.au</a> lowered its variable home loan rates by the full 0.25 percentage points yesterday, securing its position for the lowest variable home loan rates on the market, from 4.23%. 
<table border="1" cellspacing="0" cellpadding="0"><tbody>
<tr>
<td valign="top" width="205">
 Lender
</td>
<td valign="top" width="205">
 Rate cut
</td>
<td valign="top" width="205">
 Effective date
</td>
</tr>
<tr>
<td valign="top" width="205">
<img src="/images/3_StockBreakouts/Company-Logos/anz-aug-4-logo-breakout.jpg" width="200">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
12 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
<img src="/images/3_StockBreakouts/Company-Logos/bank-of-melbourne-aug-4-logo-breakout.png" width="200px">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
20 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
 <img src="/images/3_StockBreakouts/Company-Logos/BOQ-aug-13-logo.jpg" width="200">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
24 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
 <img src="/images/3_StockBreakouts/Company-Logos/banksa-logo.jpg" width="200">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
20 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
 <img src="/images/3_StockBreakouts/Company-Logos/Bankwest-Logo.jpg" width="200">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
20 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
 <img src="/images/3_StockBreakouts/Company-Logos/cba-aug-4-logo-breakout.jpg" width="200">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
20 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
 <img src="/images/3_StockBreakouts/Company-Logos/logo_Greater_Building_Society.jpg" width="200">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
20 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
<img src="/images/3_StockBreakouts/Company-Logos/heritage-bank-logo.jpg" width="200">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
20 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
<img src="/images/3_StockBreakouts/Company-Logos/hsbc-logo.jpg" width="200">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
20 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
<img src="/images/3_StockBreakouts/Company-Logos/ing-direct-logo.jpg" width="200">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
20 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
<img src="/images/3_StockBreakouts/Company-Logos/loans.com.au-logo.jpg" width="200">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
4 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
<img src="/images/3_StockBreakouts/Company-Logos/maitland-mutal-logo.jpg" width="200">
</td>
<td valign="top" width="205">-0.25%</td>
<td valign="top" width="205">
23 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
<img src="/images/3_StockBreakouts/Company-Logos/me-bank-aug-4-logo-breakout.png" width="200">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
20 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
<img src="/images/3_StockBreakouts/Company-Logos/nab-aug-4-logo-breakout.png" width="200">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
20 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
<img src="/images/3_StockBreakouts/Company-Logos/newcastle-pernamnet-logo.jpg" width="200">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
23 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
<img src="/images/3_StockBreakouts/Company-Logos/st-george-aug-4-logo-breakout.png" width="200">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
20 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
<img src="/images/3_StockBreakouts/Company-Logos/westpac-aug-4-logo-breakout.jpg" width="200">
</td>
<td valign="top" width="205">
-0.28%
</td>
<td valign="top" width="205">
20 February 2015
</td>
</tr>
<tr>
<td valign="top" width="205">
<img src="/images/3_StockBreakouts/Company-Logos/ybr-aug-4-logo-breakout.png" width="200">
</td>
<td valign="top" width="205">
-0.25%
</td>
<td valign="top" width="205">
24 February 2015
 
</td>
</tr>
</tbody></table>
Source: finder.com.au, ranked alphabetically. Dates may vary for some customers.
*Some loan changes may be effective from 15/3/15.
<a href="https://Loans.com.au" target="_blank">Loans.com.au</a> was also the fastest to pass on the interest rate cut, making its new rates effective immediately, sparking greater competition in the home loan market. This is in contrast to most lenders, which change their rates a couple of weeks later. 
In fact, we analysed effective rate changes by the big four banks (as they hold the majority of home loan market share) following every Reserve Bank cash rate movement over the past five years and found that they were faster to pass on a rate increase than they were to pass on a rate cut. The big four banks took 11 days on average to pass on a rate cut to variable home loan customers, yet managed to pass on rate rises in just seven days.
ANZ and Westpac both took the longest to pass on rate cuts to their customers, at 13 days on average. Commonwealth Bank took eight days, while NAB passed on rate drops at the quickest average of seven days.
Commonwealth Bank were quickest to pass on a rate rise, at an average of three days. Following them were ANZ and NAB (both eight days), then Westpac (nine days). This means Commonwealth Bank passed on rate hikes around five days earlier than any of the big four banks.
The longer a bank holds on passing on a rate cut, the more money they'll squeeze from Aussie pockets before finally adjusting their rates. So it's no surprise we're seeing them taking more time to pass on discounts.
Though the numbers are concerning, it's highly unlikely these tendencies are limited to the big four banks, which means it's up to every Australian borrower to know if they're being ripped off. A good first step is to understand how the cash rate works and keep track of the movements, and then try to negotiate a better deal with your lender. They'll want to keep you onboard so fight hard!
If that doesn't work out, <a href="https://www.finder.com.au/home-loans" target="_blank">comparing home loans </a>with other lenders is also a good option. In fact, there's a huge difference between what lenders are offering, with 5.12 percentage points difference between the cheapest variable rate home loan on <a href="https://finder.com.au/home-loans" target="_blank">finder.coma.au/home-loans</a> at 4.23% and the most expensive at 9.35%. 
The number of home loans on the market is continually growing, so compare other lenders and not just the big four banks to make sure you're getting the best deal.
The table below shows the lenders that have so far announced rate cuts and <a href="https://www.finder.com.au/rba-cash-rate" target="_blank">we will be updating</a> this page as we hear more announcements.
Michelle Hutchison is spokesperson for comparison website <a href="https://finder.com.au/" target="_blank">finder.com.au</a>.
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mhutchison-SWt6qigzDX

Banks taking their time to pass on rate cuts: Michelle Hutchison

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Back in November a little-noticed graph in Westpac’s 2014 profit result told an important story: the proportion of bad or worrisome loans on the banks books — in the jargon, stressed exposures as a percentage of TCE or total committed exposures — had dropped below 2008 levels, to 1.24%.
That is to say, Westpac had weathered the storm, the crisis was over. Rounding out the picture of a healthy bank were lower wholesale funding costs, higher net interest margins and record profits. And of course, Westpac and the other big banks had emerged from the crisis with much less competition from smaller and non-bank lenders.
<img src="https://media.crikey.com.au/wp-content/uploads/2015/02/tce.png" width="430" height="505">
Which is a roundabout way of saying the big banks did not have a leg to stand on when it came to passing on Tuesday’s 0.25 percentage point cut to the official cash rate by the Reserve Bank.
As though his life depended on it, Treasurer Joe Hockey made that crystal clear in his press conference yesterday afternoon, and you could hear the urgency in his voice on ABC Radio yesterday:
“The flow-through to the Australian economy is significant. And importantly, it must be immediate. And I say again to the Australian banks, pass it on in full now, not just to home owners, but importantly small business and credit cards as well.”
The Commonwealth Bank was the first of the Big Four to move, cutting standard variable home loan rates by 0.25 percentage points (and, interestingly, five-year fixed rates by 0.3 percentage points). Westpac quickly cut by an even higher 0.28 percentage points, and NAB, which has its rates under review, is certain to follow. ANZ customers will have to hold their breath since chief Mike Smith announced a year ago a stand-offish, stick-in-the-mud policy of waiting until Fridays (three days after the RBA meets each month) to announce any changes to interest rates, to stop bank-bashing treasurers, shadow treasurers and journalists berating the bank within seconds of any official rates move.
As they cut rates more or less in lockstep, however, the banks might be permitted a private grumble about mixed signals coming from the federal government and regulators. On one hand, David Murray’s Financial System Inquiry has just recommended the banks tighten home loan risk weights and retain higher levels of capital, to prevent another “too big to fail” moment requiring the kind of public bailout we saw in Australia with the bank deposit and wholesale funding guarantees or (much worse) in the United States, where the government spent trillions buying troubled assets and the Fed took equity stakes in the likes of Citigroup and Goldman Sachs to recapitalise them. The same pressure is felt internationally from the Financial Stability Board for example, and Australia’s big four — still among the world’s biggest banks — are key players in the debate.
Furthermore, the banks are being asked by Australian Prudential Regulation Authority (APRA) —  quite rightly, <a href="https://www.crikey.com.au/2014/11/03/bullying-banks-threaten-govt-over-price-signalling/?wpmp_switcher=mobile" target="_blank">as Crikey has argued</a>  — to toughen lending standards, particularly for those low- or no-deposit home loans originated by mortgage brokers on sales commission incentivised to maximise volume. As house prices surge — entering “new paradigm” territory with the likes of real estate agent John McGrath tipping that inner-Sydney suburbs will be “hot forever” — and self-managed super funds pile in, reducing housing affordability, right when income and jobs growth are receding, the systemic risk represented by some kind of house price slump increases. Tighter “macro-prudential” controls will hurt first home buyers struggling to get into the market, but they are necessary to stop borrowers over-committing on the false premise that prices only move in one direction.
On the other hand, despite this hawkish regulatory tendency, the second the RBA loosens monetary policy, we find ourselves screaming at the banks to “pass it on this instant!”. When it comes to the crunch, we all want easier money.
This story originally appeared on <a href="https://www.crikey.com.au/2015/02/04/hockey-bets-it-all-on-a-rate-cut-but-will-the-banks-save-his-bacon/">Crikey</a>.
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Hockey bets it all on a rate cut, but will the banks save his bacon?

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National Australia Bank has followed the Commonwealth Bank of Australia and Westpac in cutting the interest rate on its standard variable home loan rate by 25 basis points.
It is the full amount of the RBA's cut, taking its standard variable rate to 5.63%.
This equates to a $62.50 a month saving for the average loan customer, said Gavin Slater, NAB's head of personal banking. 
National Australia Bank also reported unaudited cash earnings of $1.65 billion for the quarter, up 6% on the prior period.
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NAB cuts to 5.63% standard variable rate

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Westpac has trumped the Commonwealth Bank (CBA), sort of.
It has cut by 0.28%, with its variable home loans now at 5.7% standard variable rate (SVR).
Despite its 0.28-percentage-point reduction to its standard variable rate, it remains higher than CBA's 5.65%.
Westpac has held the highest SVR of the big four for several years.
“Today’s rate reduction is good news for home owners and will improve the faith in Australia’s economic outlook and provide a necessary boost to consumer and business confidence,” said Jason Yetton, the bank’s group executive of retail and business banking.
The ANZ will make its decision by Friday as part of its monthly interest rate review.
Both CommBank and Westpac said their new rates will come into effect on February 20.
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Westpac cuts by 0.28%, but not the cheapest of the Big Four

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The Commonwealth Bank (CBA) today announced it will reduce interest rates on its standard variable rate (SVR) by 0.25% per annum.
Its three year and five year fixed rate products will also be reduced by 0.25% and 0.30% respectively.
The new SVR will take effect from 20 February 2015.
Standard variable rate (SVR) mortgage cut by 0.25% to 5.65%
<ul>
<li>Five year fixed rate mortgage reduced by 0.30% to 4.69%</li>
<li>Three year fixed rate mortgage reduced by 0.25% to 4.69%</li>
</ul>
The new SVR rate of 5.65% is the lowest since April 2009.
"Our fixed rates are now the lowest we have ever offered," said CBA's group executive retail banking services, Matt Comyn.
“As the nation’s largest lender, we are always seeking to deliver value to our 1.6 million home loan customers and today we are pleased to pass on the full benefit of the RBA’s recent interest rate reduction,” said Matt Comyn.
“Our new reduced standard variable rate of 5.65% is the lowest we have offered in five years, but beyond price, we are committed to ensuring our customers have the right tools, support and advice that will give them the best home buying experience.”
By reducing the standard variable home loan rate by 0.25%, home owners will save $48 a month, based on the average mortgage of $300,000.
CommBank has reduced its variable rate on home loans by 2.16 percentage points since 1 November 2011, equating to a saving of $430 in monthly repayments and an annual saving of $5,160 on a home loan of $300,000.
The Bank of Queensland has also announced it will pass onto its customers the full Reserve Bank cut, as hot competition to win borrowers is anticipated.
But it's decision has yet to be widely matched, other then ME Bank's quick announcement and ING.
The BoQ will lower its variable home loan and business term-loan rates from 24 February.
ING DIRECT will lower the interest rate on its variable mortgages by 0.25%, effective 20 February. 
Following this reduction, the rate on ING DIRECT's Mortgage Simplifier product will be 4.97% per annum.
ING DIRECT has a mortgage book of $38 billion.
BoQ’s Clear Path mortgage product’s variable home loan rate will be 4.62%, its standard variable-rate home loan at 5.76% and its variable rate on business term loans with residential security down to 7.25%.
Newcastle Permanent advised the 25 basis points represented a ­saving of $43 a month for $300,000 home loan holders with 25 year loans.
The non-bank lender Australian First Mortgage announced fixed rate cuts on two of its full-doc Flexible range products, just prior to the official RBA cash rate call yesterday. Its four year fixed rate is down by 0.41% to 5.12%, and the five year fixed rate it is down by 0.26% to 5.22%. <a href="https://www.brokernews.com.au/tools/company/afm/121294/"> </a>
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Rate war looms: CBA, BoQ, Newcastle and ING cut rates after RBA decision

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In what was the first of the expected lender announcements, ME Bank will pass on today’s full 0.25% RBA rate cut to customers.
ME Bank’s Standard Home Loan variable interest rate will drop to 5.13% per annum and its member package rate will fall to 4.93% per annum.
The new home loan rates are effective 20 February 2015.
Last month ME Bank cut its five-year fixed rate home loan by 25 basis points to 4.69% per annum.
Their three year fixed rate loan is at a record low of 4.59%, which brings both their three year and five year offerings to the cheapest on the market, according to ME Bank CEO Jamie McPhee.
“The cost at which ME Bank borrows in the fixed rate market has been falling. In turn, we can pass on these savings to customers,” he said.
“Unlike the majors, we’re keen to pass these opportunities on to customers and continue our aggressive position in the home loan market.”
McPhee said that, as well as their competitive rates, they recently made the decision to extend home loan offers to all borrowers, both members and non-members of Industry Super Funds and unions.
APRA statistics saw ME Bank boosting investor lending by 39.1% and owner occupied lending by 11.5% during the 12 months to 30 November 2014.
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ME Bank cuts first after February RBA announcement

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GUEST OBSERVATION
As a financial planner my role is to always be thinking about what is the best strategy and path for my client to take. Since I have been working very closely with mortgage brokers for many years, I have realised the vast majority of brokers and to a greater extent bank employees do not take the same strategic view.
Being a somewhat transactional role, most mortgage brokers take the line of least resistance to get the deal done. Whether they understand structuring strategies or not, very few take the time to educate their clients on the pros and cons of different decisions and how to make the most of their situation. In reality, they are also limited by compliance standards in some cases.
As a warning upfront, this can become very confusing and challenging for new clients to get their head around. If you end up feeling a little unsure, I’m not surprised as it does go against everything you may believe.
Moving forward, whether you should choose to go interest only or principal and interest is a question that every borrower needs to consider and answer when taking out a home loan.  Naturally we rush to find an answer, but before you make that decision, it’s important to truly understand it.
Our natural response is “principal and interest”. Our parents, grandparents and society all tell us that debt is bad and we need to repay it and that is true to a certain extent.
So why would I go interest only when I want to pay my debt down?
Well the truth is you can pay your debt down and a whole lot more by choosing to take an interest only loan with offset account.
Before I get marching in to why, I recommend nearly all my clients to go interest only, though there are ones from time to time that it is better to go principal and interest. These are generally borrowers who do not have their cash flow under control and feel like they need to be forced to save. This is purely the only benefit of going principal and interest – the bank forcing you to save.
I know I would prefer to choose what I do with my money each month and if I want to pay my debt down I will. If I need to just pay interest this month or use this money to cover short-term additional expenses I will.
So how does it work?
Firstly it’s important that when you setup the interest only loan, you also open an offset account linked to your loan. These are usually included for free with any package loan from a bank. An offset account does exactly that, offset your loan account. For example, if you had a loan of $500,000 and you had $20,000 in your offset account, you in reality only owe the bank $480,000. When they calculate your interest due for that day, you will only be charged interest on $480,000 owing, not $500,000. Without trying to drum the point home further but if you happened to put another $20,000 in your offset account, you would only pay interest on $460,000.
The offset account I believe is the best invention and tool in the financial planning world. I absolutely love them. They give my clients complete flexibility in what they would like to do with their cash flow and savings. We use this as a  “savings account” that will always be getting a greater return than any other savings account. It is completely assessable and can moved wherever needed. So if you do not have an offset account, I suggest you get one and secondly, understand how to best use it.
So if the key to paying down your debt each month is not by principal and interest each month, how do I do it?
I ask all my clients to reassess their lifestyle expenditure every year. This allows them to see what income they are likely to earn and what expenses are going to be this year. On the back of this we choose an affordable amount and my clients commit to this amount for 12 months straight.
Each month this amount goes in to the offset account and when interest is due, the bank takes it out of the offset account. Whatever is left over is build up in that offset account and means they pay less interest the following month.
By growing the offset account as much as possible, we are reducing the interest due and that means they can grow the offset account even further. Each year my clients goal is not to pay down their debt by $50,000 but it would be to increase their offset account by $50,000 for example.
The key benefit to understand is that interest is calculated daily and you would be in the exact same position financially if you decided to save the same amount each month and pay via principal and interest.
For example, If you took two routes over 10 years and saved the exact same amount on a debt of $500,000. One route the debt may now be paid down to $300,000. The other route the debt would still be at $500,000 but you now have $200,000 in an offset account.
At this stage, you may be asking so what is the benefit?
There is no obvious benefit, but I can assure you, you would always want to take the debt of $500,000 and $200,000 in the offset account and I’ll explain.
To make sure we are both on the same page, the key takeaway here is that you can still repay your debt via interest only but the different is, it’s your choice to do so, not the bank forcing you to.  Instead of reducing your loan every month, you are aiming to build your offset account up.
Chris' six reasons are on the next page. Please click below.
<hr class="system-pagebreak">
Why I do not like principal and interest loans
<ol>
<li>
Separating Debt By going interest only on all loans, you keep the original debt at that level forever. You then put any left over savings in an offset account against any debt that is not tax deductible. This flexibility means you can move your savings around to whatever debt is not tax deductible at the present time and it also clearly separates your debt. If you decide to move to another property you own, you transfer your offset account to a different loan and this will save you a lot of tax. 
</li>
<li>
Lower Commitment On a P&amp;I loan the minimum payment due to the bank each month is roughly 20% higher on a 30 year loan. In reality if you cannot afford that 20%, you have probably got too much debt but why would you force yourself to a higher commitment. Personally, I would prefer to have a minimum payment 20% lower and choose to save more regardless in to my offset account. 
</li>
<li>
False Pretenses  I also believe that paying the minimum payment each month gives clients false pretenses that that is the amount they should pay per month. The bank want you to take as long as possible to pay this debt down. That’s why they give you loans for 30 or 40 years. Do you really want to have a loan for 40 years? T he best way to pay your debt down is to pay as much as you can afford each month by undergoing a detailed lifestyle questionnaire each 12 months. Disregard what the bank minimum payment says as that is not what matters. Just save as much as you can above your interest only amount per month. 
</li>
<li>
Flexibility    The negative with paying the extra 20% and more every month, is that this begins to add up to a lot of money over time. There may be times in your life when you cannot afford your minimum repayment each month and you do not have any buffer built up as you have paid it all in to the loan. By paying this amount in to an offset account instead you are building your buffer every month and if you cannot pay this month, that’s ok you have money in the offset account to cover it. 
</li>
<li>
Home becoming an investment property = tax savings  The ATO states that once you pay down your debt you cannot redraw on that debt and get a tax deduction unless it is for investing purposes. In the example above, because the debt has never been paid down, if you moved out of this house and decided to use as an investment property. The tax deductible will be at $300,000 and not at the original loan of  $500,000 not $300,000. A big difference and at current interest rates that you would be $4,000 a year better off in tax. 
</li>
<li>
Home Purchase in Future  It is very common that we are going to purchase a new home in the future and this debt will not be tax deductible as it is your principal place of residence. What you need at this point in time is cash or equity to cover the 20% deposit and costs. But what you would also like is to put every single dollar you have saved over the many years before hand and put this in to an offset account against this new debt. If you pay down your loans via principal and interest, you cannot get this money back to put in to the new offset account. If you have it sitting in an offset account, you can move it straight away and get the tax benefit.</li>
</ol>
As you can see above these are just six points, why I challenge you to rethink how you structure your loans. This is a mental mind shift and that is all that it is. Once you understand it; you still pay down your loans just as you were and just as fast but do this by having a focus to increase your offset account.
I cannot stress the benefit of going interest only and using an offset account. By not doing this, I’ve had many clients who have been forced to sell their homes that they would have kept if they went interest only. 
I’ve seen clients been able to keep their homes through financial tragedies due to having a buffer and I’ve seen clients pay down their debt faster by staying disciplined to the amount they can afford not what the bank tells them to repay.
Chris Bates is a director at boutique financial advisors <a href="https://www.canopyprivate.com.au/" target="_blank">Canopy Private</a>.
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The six reasons why interest only loans are the way to go: Chris Bates

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Aussie Home Loans set a new monthly settlement record in December, bettering its previous record set in May 2014. Home loan settlements for Aussie and its wholesale aggregator, National Mortgage Brokers (NMB), reached close to $1.8 billion.
It was $150 million above the previous record. Aussie’s executive director James Symond says the franchise now has its sight on the $2 billion mark for its 23rd year.
Aussie Home Loans has appointed CommSec general manager of customer experience Richard Burns as general manager of customer.
Burns joins the company after seven years with CommSec.
Founder and executive chairman of Aussie Home Loans John Symond said Burns will be responsible for Aussie Home Loans’ brand, marketing and digital presence, customer retention and data and IT architecture and operations.
Burns starts the new role on 9 February.
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Aussie Home Loans aims for $2 billion month as Richard Burns joins executive team

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The satisfaction level of Australian business banking customers has reached its highest level since the Roy Morgan survey began four years ago.
It is now 69.6%, up from 61.4% in 2010, according to the latest findings from the Roy Morgan Business Single Source survey of around 12,000 interviews with business decision makers and the Roy Morgan Single Source Survey of over 50,000 people per annum.
The big four banks remain below average with satisfaction of 67.6%, compared to other banks with 72.2%.
Of the big four, Westpac maintained top position in November with 71.6%, followed by NAB on 69.6%.
The business customers of banks sentiment remains well below the satisfaction level of personal customers. 
<img src="https://www.roymorgan.com/~/media/Files/Morgan%20Poll/2015/January/6008-Business-bank-sat-chart1.jpg" alt="banking-satisfaction-chart" width="800" height="462">
Source: Roy Morgan Research Business Banking Satisfaction Report, November 2014. Average 6 month sample n=6,274; Roy Morgan Research Consumer Banking Satisfaction Report November 2014, average 6 month sample n=25,709.
Banks other than the big four are currently the clear leaders in satisfaction for both consumers (86.6%) and businesses (72.2%). For the last four years the smaller banks have maintained a big lead in satisfaction over the big four among consumers but the gap has generally been much closer among business customers.
Westpac business customers have generally had the highest satisfaction levels of the big four banks over the last three years and currently lead with 71.6%, followed by NAB (69.6%), CBA (66.2%) and ANZ (62.3%).
All four of the big banks are below the average satisfaction level of the smaller banks. 
<img src="https://www.roymorgan.com/~/media/Files/Morgan%20Poll/2015/January/6008-Business-bank-sat-chart2.jpg" alt="business-banking-sat" width="800" height="464">
Source: Roy Morgan Research Business Banking Satisfaction Report, November 2014. Average 6 month sample n=6,274
Westpac also showed the greatest improvement of the big four banks over the last four years increasing satisfaction among its business customers by 9.7% points (61.9% to 71.6%). The other three majors also showed gains, with NAB up 8.8% points, ANZ up 4.4% points and CBA up 4.3% points.
Norman Morris, the industry communications cirector at Roy Morgan Research says banks have obviously been making a concerted effort to improve customer satisfaction over a number of years.
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