As expected, the Reserve Bank of Australia left the cash rate on hold today at 2.0 per cent. The central bank has not been swayed by recent global market volatility, holding to its stance of further monitoring the Australian economy before deciding its next move. The prediction from most economists is for a period of stability, with most leaning towards the next change being a reduction in 2016.
As mentioned previously, investment loans have been under the spotlight of government regulators, forcing banks to make it tougher for property investors to obtain funds. The good news from this is that we are now seeing banks eager to increase their lending for owner occupied/home property loans, and they are starting to announce some great offers. For example, one bank is offering an extremely attractive variable home loan rate of 3.99%.*
If you have any questions, or would like to speak to us regarding a new or existing loan, please do not hesitate to contact us.