On Tuesday 3rd May, for the first time since November 2010 – the Reserve Bank of Australia (RBA) increased the cash rate by 25 basis points, from 0.10% to 0.35%.
Following the biggest 12-month property price jump ever recorded, and an inflation growth of 3.7% over the past year to March; the raise is expected to help curb inflation, with all 4 of Australia’s major banks confirming the rate increase would be passed on.
Despite the pinch, this news has been ‘music to the ears’ of prospective first home buyers.
While buyers may see a reduction in their borrowing power; first home buyers – who have faced been priced out of a rapidly growing market year-after-year – are now rejoicing in the possibility of finally staking a claim in the property market, which is expected to soften following the rate implementation.
Planning to sell your home?
In a volatile real estate market, it is even more important to ensure you have the best agent working for you; as the wrong agent could cost you tens of thousands of dollars in the end result and could even mean the difference between selling or not. Speak to our vendor advocacy advisers, to discuss how we make sure the right process is followed from the start; and how we continue to work with you throughout the entire process, to ensure the campaign is as stress-free as possible and a great outcome can be achieved. Our friendly team can be contacted on the following: