With winter on the way out, now could be a great time to score a bargain in the property market, as some buyers may still be in hibernation mode and traditionally, there is less competition at this time of year.

Property numbers are likely to pick up later this month and into early September, with spring tending to be a more popular time to sell. The cash rate remains on hold and interest rates are low, so why not seize the moment and purchase that dream property you’ve been looking for?

Interest Rate News

This month, the Reserve Bank of Australia decided to keep the official cash rate on hold at 1.5%. Meanwhile, lenders continue to make rate moves to encourage interest-only borrowers to switch to principal and interest loans.

The Australian dollar soared after last month’s RBA meeting, following media speculation the RBA wanted to raise interest rates to 3.5%. However, the RBA has since commented they are not expecting to make any cash rate movements until late 2018. Overall, interest rates are still low and there are some great opportunities for buyers, investors and those looking to refinance!

Property Market News

The average monthly home value growth across Australia’s capital cities was fairly slow during July, only increasing 1.45%. In Melbourne, home values beat the average, increasing by 3.12% and Canberra also performed well, with home values increasing by 2.36%. In Adelaide home values rose a marginal 1.07% while in Hobart the increase was just 0.87%. Other cities saw marginal decreases in home values for July, with Perth showing the largest fall in home values of 1.32%.

Auction activity remains quite strong in Victoria, New South Wales and Queensland. For the week ending July 30, Victoria had 1002 auctions and a clearance rate of 77%. New South Wales had 838 auctions with a clearance rate of 67% and Queensland, 367 auctions with a clearance rate of 47%. In other states, activity was not as brisk, with the ACT only holding 47 auctions with a clearance rate of 74%, South Australia 87 auctions with a clearance rate of 63%, Western Australia 30 auctions with a clearance rate of 29%, Northern Territory 10 auctions with a clearance rate of 17% and no auctions were registered for Tasmania – and there were very few throughout July.

With spring just around the corner, now is a fantastic time for a fresh start, so why not make the most of the low interest rates? Whether you’re purchasing a home or an investment property, or are considering refinancing, we’d love to help! We’ll compare the market and find you a loan that suits your financial circumstances and goals. Please get in touch today!Welcome to our August newsletter

With winter setting in and no sign of our property markets slowing, the Reserve Bank of Australia (RBA) met today for its June meeting and elected to keep the official cash rate on hold at 1.75 per cent.
The official cash rate is currently at all-time lows following a rate cut last month. Forecasters are predicting that low inflation figures may prompt the RBA to drop rates again this year, with speculation that another cut may be coming as early as August.
This is great news for property owners and buyers, with interest rates falling across the board following the RBA’s announcement last month. With plenty of housing stock available on the market, auction numbers high in most capital cities during May and conditions looking good for the remainder of the year, now is a great time to talk to us about your property goals.
If you’ve had your home loan for a while or are considering making the switch to a fixed rate product, now is also a good time to talk to us. We’ll take a look at your current home loan and do all the legwork to find you a more suitable product for your circumstances and goals, so please call us today.


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