Posted at 02:12h
in Finance Tips
Welcome to our December newsletter
Mortgage holders and home buyers received an early Christmas present this year, with the Reserve Bank slashing 25 basis points off the official cash rate and taking it to an all-time low of just 3 per cent.
In terms of interest rates, it has been a good year for borrowers, with more than 125 basis points cut from the cash rate over the past 12 months. In fact, we haven’t seen a cash rate this low since September 2009.
So, while the news came as little surprise to many leading economists, home owners and potential buyers have an extra reason to celebrate this festive season.
Several lenders have been quick to pass on the rate cut, with many more expected to make a move over the coming weeks.
Whether you are an existing mortgage holder or are looking to enter the property market soon, rate reductions can only mean one thing – savings.