At its meeting today, the RBA decided to leave the cash rate unchanged at 2.5 per cent.
Some good friends of mine recently purchased a house, and were asking what I thought was going to happen with interest rates. I guess my simplest answer is “sometimes they change, sometimes they wont.”
Historically, Australia is at very low-interest rates. Globally, we are very high. We live in interesting times (referencing the ancient Chinese “Curse”), and navigating these times comes with its own challenge. My recommendation to anyone looking to buy, or to fix rates, is be able to pay at least 2.5% higher than current, and if possible, 10%. Then you have more capacity in your budget than if you can only just afford payments now.