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RBA say housing market is responding positively to rate cuts

The RBAs decision this month to leave interest rates on hold left a lot of those involved in property investment scratching our heads.

The RBA has since said that the housing market is moving in a positive direction and is responding to rate cuts.  “Since the middle of 2012, residential building approvals have increased, rental yields have moved higher” The RBA said.  They also said that market prices for established houses had also picked up.

The RBA also stated that they expect housing prices to rise steadily and that they had already risen in capital cities by 4% from their trough in mid 2012

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