Interest rates remain at a super-low 0.1% after today’s RBA monthly board meeting.
‘Very accommodative financial conditions will continue to support the recovery of the Australian economy.
‘Housing prices are continuing to rise, although turnover in some markets has declined following the virus outbreak.
‘Housing credit growth has picked up due to stronger demand for credit by both owner-occupiers and investors,’ the RBA said today.
Amid the lockdowns and pandemic chaos, cash rates have remained at this historically low level for almost 12 months.
Which is why now is an opportune time to consider properties in the Melbourne market, while lenders are competing for home loan business and rates stay low.
Good news indeed for those hoping to find that sweet spot of price and location for their first or next home or unit purchase.
Additionally, recent data suggests that paying off a mortgage is now cheaper than paying rent on 36.2% of Australian properties.
At the same time as house prices and rental returns are on the up. It’s all good news.
‘As vaccination rates increase further and restrictions are eased, the economy should bounce back.
‘Given the environment of rising housing prices and low interest rates, the Bank is monitoring trends in housing borrowing carefully and it is important that lending standards are maintained,’ added the Central Bank.
If you’re poised to take advantage of these low rates, drop us a line.
Our friendly and expert team can help, so contact us here to help find the best deal possible for you.
We also offer video conferencing during lockdowns.
Marc has been a professional lender for 28 years. After beginning his career in 1990 with a UK Building Society, he moved to Australia where he held several different retail banking roles. In 1999 it became clear to him that a mortgage broker would eventually become an obvious choice for someone looking for a home loan so he took the plunge and became an independent broker. He hasn’t looked back since!