ANZ drops rates

ANZ yesterday dropped its one-, two- and three-year home loan interest rates by 20 basis points.

The one-year rate is now 8.20 per cent a year, the two-year 7.75 per cent and the three-year 7.65 per cent.

The four-year rate dropped 30 points to 7.85 per cent, and the five-year fell 10 points to 7.55 per cent.

The home loan market has been tipped to become more competitive as a chunk of fixed-term deals come up for renewal.