Interest Rates

The Reserve Bank of Australia (RBA) has provided huge relief, slashing interest rates by 50 basis points.

1 May 2012

The cut is the first since December 2011 and takes the official cash rate to 3.75 per cent, from 4.25 per cent. The rate cut, widely predicted by economists,  is likely to ease financial pressure on thousands of households across Australia, with average mortgage holders likely to benefit by about $1000 annually if the banks pass [...]

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Cash Rate Stays On Hold

16 August 2011

Mortgage holders have been given another reprieve, with the Reserve Bank of Australia (RBA) leaving the official interest rate unchanged at 4.75 per cent at its meeting today. The cash rate has been sitting at 4.75 since November last year and was widely predicted by industry experts to remain stable this month. RBA Governor Glenn [...]

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Interest Only Loans. The Pros And Cons

16 August 2011

An interest only (IO) loan is one that requires the borrower to repay only the interest charged each period, rather than making repayments towards the principal and interest. These types of loans are very popular with property investors, but they can be useful to owner/occupiers as well. IO loan repayments will always be lower than [...]

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Interest Rates Likely To Hold Until End Of Year

16 August 2011

Inflation rose by only 0.6 per cent in the June quarter, pulling the annual rate down to 2.7 per cent from three per cent, according to CommSec chief economist Craig James. This three-year record low is well below economists’ forecasts, said James. “We expect that the strong job market and record wealth levels would entice [...]

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More People To Fix As Interest Rates Come Down, Experts Say

16 August 2011

The popularity of fixed-rate loans collapsed to a record-low last year as the Reserve Bank of Australia slashed rates aggressively. This left some families paying interest rates of more than nine per cent while others on variable rates saw their mortgages drop. But fixed mortgages are now seen as possible insurance against a surprise rise [...]

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Scared Of Interest Rates Rising? Astute Investors Aren’t!

15 August 2011

To read the full article please click here. Related Real Estate and Economic News and Opinion Records -No crash on the cards any time soon -The outlook on fixed interest rates Related Taxonomy -Real estate news -Interest rates

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The Outlook On Fixed Interest Rates

15 August 2011

Fixed rates are falling, especially for the shorter-term fixed rates and I suspect they could fall more, given what we’re seeing on international bond markets. There’s a sense that the global recovery is slowing and that has driven bond yields down and this is even making some experts predict that deflation is a bigger threat [...]

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The Outlook On Fixed Interest Rates

15 August 2011

If this proves right then interest rates will fall and here they could drop as well if stock markets keep falling, like we have seen recently. On the other hand, if good economic news starts to emerge then rates could rise. So we’re in a tricky time to predict interest rates and to make decisions [...]

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