The Reserve Bank of Australia gave homeowners a welcoming reprieve after their announcement today. The RBA opted to leave the Cast Rate at 4.10% for the fourth month in a row this year. After June’s increase of 25 basis points, consumers were feeling the flow on effects in all areas of expenditure, not just their home loan repayments.
With a consistent freeze to the Cash Rate over the last 4 months, our nation has a chance to catch their breaths on regular repayments and expenditures. We all know the conversation “the cost of living is getting higher”, which still stems from the rate hikes seen over the last 12 months in total. The Reserve Bank of Australia opted for rate increases to balance out the economy, and to bring inflation back to a target range of between 2-3%.
Cash rate increases along with balancing inflation, also allow for lowered employment rates, and lower housing prices. Long term, these provide excellent opportunities for our economy to flourish and become stronger than ever before. Given the ideal goals that have been set in place by the RBA, the short term management of cash flow and expenses can still prove difficult for those who have ongoing facility and utility repayments.
Seeking the guidance of an experienced mortgage broker for insights on interest rates, financial products, and navigating economic uncertainties can be advantageous. Staying informed about the cash rate, available cashback incentives, and the latest updates in the financial sector is crucial to ensuring you are in the best possible position. It’s a good time to consider a review of your home loan if it’s not already on your radar.
Having an experienced Lending Specialist on your side can make all the difference when it comes to reviewing your personal finances. Our home lending team are available to discuss your property investment and refinance objectives, and pride themselves on obligation free conversations. Speak to us today to learn more!