RBA May 2026 Mortgage Rates: New Owner-Occupier P&I Reached 6.15%

Short summary

The Reserve Bank of Australia's current lender-rate table lists an average rate of 6.15% a year for new owner-occupier principal-and-interest housing loans funded in May 2026. The April figure was 5.92%, so the monthly average rose by 23 basis points.

New investor principal-and-interest loans averaged 6.31%, up from 6.09% in April.

These are market averages, not advertised offers, live quotes or the rate a particular borrower will receive. The RBA table combines variable and fixed-rate loans. Use the Mortgage Repayment Calculator with the rate and balance that apply to the scenario you want to test.

The May housing-rate table

The reference month matters. These figures describe loans funded in May, even though the table was checked on 8 August. They should not be presented as current product offers.

What changed from April

The new-loan principal-and-interest averages moved as follows:

• Owner-occupier: 5.92% to 6.15%, an increase of 0.23 percentage points.
• Investor: 6.09% to 6.31%, an increase of 0.22 percentage points.

The change in a monthly market average does not prove that one lender repriced by the same amount. The mix of fixed and variable loans, lenders, borrowers and loan sizes funded during the month can also change the average.

Worked repayment illustration

Assume a $600,000 principal-and-interest loan over 30 years and hold the rate constant for the full term.

• At 5.92%, the indicative monthly repayment is about $3,566.50.
• At 6.15%, it is about $3,655.37.
• The difference is about $88.87 a month.

This is a comparison of two constant-rate scenarios, not a reconstruction of an actual borrower's loan. It excludes fees, offset balances, redraw, extra repayments, interest-only periods and future rate changes.

Use the Rate Change Impact Calculator to isolate a rate movement on an existing balance, or the Loan Comparison Calculator when fees and product terms differ.

Why this is not the cash rate

The RBA cash rate target is a separate policy rate. It influences funding and lending conditions, but it is not a retail mortgage rate.

The cash rate target was 4.35% when this article was checked, effective from 17 June 2026. The May lending averages describe loans funded before that effective date. A later cash-rate decision or lender announcement should not be backdated into the May table.

How to use the averages carefully

The figures can provide broad market context when reviewing a loan or quote. An individual rate may be higher or lower because of:

• loan-to-value ratio;
• owner-occupier or investment purpose;
• principal-and-interest or interest-only repayments;
• fixed or variable structure;
• fees, offset and redraw features;
• property and borrower risk settings; and
• lender pricing and credit policy.

The Borrowing Power Calculator can provide a transparent general estimate using the entered rate and a serviceability buffer. It is not a lender assessment, approval or statement that a loan is affordable.

What remains uncertain

The RBA page says lenders' rates are published five business days after month-end, but the current table is labelled May 2026. This article follows the labelled reference month and does not infer an unreported June or July value.

Average rates can also be revised. Check the RBA table and a lender's current documents before relying on a figure.

Related calculators and guides

• Mortgage Repayment Calculator
• Loan Comparison Calculator
• Rate Change Impact Calculator
• Mortgage Rates Australia
• April 2026 RBA Housing Lending Rates

Sources

• Reserve Bank of Australia: Lenders' Interest Rates, May 2026 table, checked 8 August 2026.
• Reserve Bank of Australia: Cash Rate Target Overview, current target and effective date checked 8 August 2026.

General information disclaimer

This article provides general information and indicative calculations only. It is not financial advice, credit advice, a rate quote, loan offer, approval or recommendation. Rates, fees and lender policies vary. Confirm current product terms with the lender and speak with a licensed professional where appropriate.

Last updated: 8 August 2026.