The likelihood of a Melbourne Cup Day interest rate cut means competition among banks and lenders for borrowers is intensifying.

Which is great news for anybody with a mortgage as increased competition means rock-bottom rates and generous incentives to switch lenders.

Yellow Brick Road founder and Executive Chairman Mark Bouris tells Brooke Corte that Australians are able to secure home loans at fixed rates which can only be classified as “ridiculously low,”

“The competition is pretty crazy at the moment,”

“I’ve never seen interest rates this low in my life either at the official rate or the retail rate,”

Mr Bouris says countless Australians are what’s known as being “out of the money”, a term used when a borrower is paying a comparatively high interest rate as they have not refinanced their loan in the past few years.

“They’re paying something with a ‘3’ in front of it when they should be paying something with a ‘2’ in front of it,”

Click play to hear the full interview: