No change to Rate again!!
The RBA has left the cash rate on hold for the 15th consecutive month. With growth forecasts for the economy relatively unchanged, the RBA chose to continue the trend of ‘no change’ decisions.
The 2 year government bond rate sits higher than the present 1.5% rate (https://www.bloomberg.com/markets/rates-bonds/government- bonds/australia), with a slight increase forecast in the next 2 years, implying that rates are at the base of the trough and will increase between now and 2019.
Banks have already passed on a forecast of a rate increase to investors and tightening lending conditions, with many lenders forcing ‘principal and interest’ repayments onto investors whose loans fall out of ‘interest only’ positions as we spoke of in recent months.
This all said, it’s never a bad time to review and ensure you are getting a good deal.
Call us today and discuss how the RBA decision affects your situation with one of our experienced Mortgage Advisors on 1300 663 836 or email firstname.lastname@example.org