Hello, and i hope this email finds you well!
The RBA has just announced another rate cut of 0.25% which drops the official cash rate to a historic low of just 1%.
In his statement today, RBA Governor Mr Lowe said the decision would “support employment growth and provide greater confidence that inflation will be consistent with the medium-term target”.
“The outlook for the global economy remains reasonable,” he said. “However, the uncertainty generated by the trade and technology disputes is affecting investment and means that the risks to the global economy are tilted to the downside.”
What remains to be seen is how much of the rate cut will be applied by the banks. We saw two of the major 4 banks like CBA & NAB pass on the full rate cut last month, as did AMP, Macquarie / Connective Home Loans Bankwest and ING Direct.
The hardest hit from this decision are those that rely on interest earned from savings accounts, as this rate will drop further too.
Have a good week everyone and may i suggest a tip - try not to lower your repayment to suit these two back to back interest rate cuts, instead try to pay as you were previously, at the earlier repayment amount (whilst enjoying lower interest rate charges).
Therefore - repayment could stay the same, interest charged is lower, home loan paid off quicker, more savings for you :)
Great news for homeowners and borrowers! At its June meeting today, the Reserve Bank of Australia (RBA) cut the official cash rate to just 1.25% - the lowest level in Australian history. Analysts widely predicted a rate cut would follow hard on the heels of the Federal Election and during May, many lenders started to cut rates on both variable and fixed rate home loan products in anticipation of today’s move. While passing on the full cut is often avoided, this time it seems likely borrowers will enjoy the full benefits as the big banks work to restore trust following last year’s Royal Commission.
Clients on home loan variable rates can expect their respective banks to communicate in the next couple of days that they will be reducing their variable rates. Please keep an eye out for this.
Wishing you a great week ahead,
At its May meeting today, the Reserve Bank of Australia (RBA) decided to keep the official cash rate at 1.5% - despite speculation from economic analysts that there may be at least one, or possibly two RBA rate cuts by the end of this year. However, it seems the RBA has elected to wait until after the Federal Election before making any moves.
At its April meeting, the Reserve Bank of Australia (RBA) decided to keep the official cash rate at 1.5% - taking a ‘wait and see attitude’ before the Federal Budget was released at 7pm last evening.
I trust this email finds you keeping well.
Just wanted to wish each one of you a Happy Christmas Holiday Season and a Wonderful break leading into the New Year!
I'd also like to thank you very much for your support over the years and allowing me to be a part of your home journey. For all the word of mouth referrals, the success stories and achievements we shared together, I am honoured to be a part of those milestone moments with you.
And as always, I'll just be a message or phone call away, whenever you need help.
Take Care, Have Fun and Enjoy Every Moment with your loved ones.
With the kindest regards and best wishes,
As the holiday season rapidly approaches, the Reserve Bank of Australia (RBA) met today for its final meeting of 2018. As expected, they have elected to keep the official cash rate on hold at 1.5%, where it will remain until their next meeting in February 2019.
This is the 27th meeting in a row where the RBA has left rates unchanged. Comments from the RBA last month indicated they would wait to review this quarter’s economic data before considering a rate adjustment, and it seems likely that it will be some time away. Meanwhile, home values and auction clearance rates continue to cool in most markets – it could be a great time to find a suitable property if you’re looking to buy.
Until the next time, wishing you a wonderful week ahead and do take care.
At its meeting today, the Board decided to leave the cash rate unchanged at 1.50 per cent.
As expected, the RBA kept the official cash rate on hold for the 25th month in a row at its October meeting. During September, a number of lenders made out-of-cycle rate rises to account for their increasing borrowing costs, so we expect home loan interest rates to remain relatively stable for the time being. Forecasters are predicting a mild downturn in home values in Melbourne and Sydney of around 5 - 10% this year but foresee all property markets returning to positive annual growth by the middle of 2019.
As expected once again, the Reserve Bank of Australia (RBA) decided to leave the official cash rate on hold at 1.5 per cent at their September meeting.
During August, Westpac raised home loan interest rates out-of-cycle and we expect other lenders to follow in the next few weeks. Auction clearance rates continued to weaken, and home values are stalling in most property markets. The recent interest rate rises are likely to cause these trends to continue during Spring, creating favourable conditions for buyers.
As expected, the Reserve Bank of Australia (RBA) decided to leave the official cash rate on hold at 1.5 per cent at their July meeting.
Next month (August) will bring us to a record breaking two-year period since the RBA moved on interest rates. Many Aussies are using this period to pay down their home loans.