Sell with Confidence
Read More

Cash Rate Cuts Could Signal Increased Home Affordability

Investors could be welcoming the Reserve Bank of Australia's (RBA) decision to reduce the official cash rate yesterday (August 6), with housing affordability expected to increase.

The RBA slashed a further 0.25 basis points off an already low official cash rate, reducing it to a historically low 2.5 per cent.

Glenn Stevens, governor of the RBA, said in a statement released August 6 that the easing of Australia's monetary policy was to support interest-sensitive spending, including a recent increase in demand for housing finance.

The president of the Real Estate Institute of Australia Peter Bushby said that housing affordability could increase by 4.7 per cent following the cash rate cuts.

The proportion of median family income required to make the average home loan repayments could also reduce from 29.9 per cent to 28.5 per cent.

"This is the best level of housing affordability since the December quarter 2009 and will be welcomed by investors who have been returning to the market in greater numbers over past months," said Mr Bushby in an August 6 statement.

These recent changes to the nation's cash rate could be a fantastic opportunity for anyone looking to purchase Carnegie real estate in the near future. If you're interested in looking at real estate in Carnegie, get in contact with Matthew Hurlston at Ray White Carnegie.

Up to Date

Latest News

  • How To Style Your Rental Property

    With home ownership becoming unobtainable for some people, many find themselves renting whilst saving for their dream homes. Sometimes living in a space that seems a little outdated can be overwhelming, but there are ways to breathe new life into your new abode. Be proud of the space you live in … Read more

    Read Full Post

  • The Royal Children’s Hospital

    The Royal Children’s Hospital (RCH) is one of Australia’s biggest and busiest hospitals specialising in paediatric care. Ranked number fifty-three in the world, the Royal Children’s Hospital offers twelve wards, three hundred and fifty beds and employs over six thousand staff. The RCH aims to provide the greatest level of … Read more

    Read Full Post