Reserve Bank Interest Rates
Today the Reserve Bank announced a target “cash rate” of 2.50 percent, the lowest ever recorded in Australia.
On a $300,000 home loan, this interest rate reduction will reduce repayments by nearly $60 a month For those looking to purchase a new home, these lower rates are going to encourage buyers however you should use caution as interest rates aren’t always going to be this low. If the volatility of interest rates makes you unsure about what future Reserve bank decisions might mean, now might be a good time to consider a fixed rate loan. Future changes in interest rates could effect your living standards, to avoid these impacts you can protect yourself by reviewing your home loan options with an experienced broker.
If you want to see how much you can save with a fixed rate loan and what is available from various lenders, drop me a line
Future Interest Rate Movements
While the future can be a bit hard to predict accurately, there are steps you can take to protect your personal situation in the event that the next interest rate movement is up. The peace of mind that comes from knowing your interest rate is not going to change for a few years can be very comforting. I will be happy to let you know what options suit your situation, get in touch to see how I can help