The rate is the second-lowest one year rate on offer in the market, behind HSBC's special rate.
Kiwibank has slashed the rate by 20 basis points from 4.05%. The deal is available to owner-occupiers that can provide 20% equity. Those looking to borrow more than 80% LVR can access a rate of 4.60%, down from 4.80%.
The bank's two year special remains unchanged, but its standard 2 year, for those looking to borrow more than 80%, has fallen to 4.74% from 4.94%.
Kiwibank's changes come into effect today.