The minutes from the RBAs latest meeting point towards another drop in rates later this year. Rates that are already at historical lows are expected to drop even further making Brisbane’s property market even more enticing.
“Financial market pricing implied that the cash rate target was expected to be lowered by 25 basis points at the present meeting, with a further 25 basis point reduction expected later in the year,” the RBA said in their June 2019 meeting minutes.
The NAB has actually gone a step further and has predicted a drop in the RBA cash rate of 0.75%. This would be a rate cut in November 2019 and again in August 2020. This would take loan rates even lower.
With the amount of equity gains that Sydney and Melbourne investors and home owners alike have made over the last 10 years combined with historically low rates – if you can get past the banks strict lending criteria, it is a wonderful place to be in.
