The latest cash rate decision has been made – and it's exactly what just about everyone expected
The Reserve Bank of Australia (RBA) has again fixed the cash rate at two per cent. This marks the sixth month in a row where the rate has remained unchanged, and will go on to impact economic factors like interest and inflation rates. If you're in the market to buy real estate in Brunswick, this will also affect you.
There are several reasons for this decision, as outlined in the statement made by Glenn Stevens, governor of the Reserve Bank. Some of these are new, factoring in aspects that have arisen in the last month. Others aren't so much, highlighting trends in the economy that have continued as predicted.
Again, the RBA's statement mentions that while Australia's economy has enjoyed moderate expansion, there is still "spare capacity for some time yet" to grow as GDP trends have remained below long-term averages. Also, the employment rate appears to have moved from strength to strength, fuelled by this low cash rate.
One important difference spotted in this month's release, however, is the mention of interest rates rising at some banks. Westpac is one major institution that has enacted this, and has attributed it as a response to the Australian Prudential Regulation Authority's measures to tighten lending.
The impact of the record low cash rate may be somewhat softened by these changes. As said by the statement however, it will still allow people seeking property in Brunswick and across Australia to take out home loans with relative affordability.
While interest rates offered by some institutions have seen modest rises, it still remains generally low. Take advantage of this by staking your claim on real estate in Brunswick. Ray White Brunswick's team of experts will make sure you find the best home for your money.