With spring bringing us great auction weather and most of Victoria taking the day off for the spectacular Melbourne Cup Carnival, the Reserve Bank of Australia has decided to keep the official cash rate on hold at 2.5 per cent during its monthly meeting today. Most analysts were expecting the cash rate to remain unchanged, continuing the RBA’s ‘period of stability on interest rates’.
According to the Housing Industry Australia (HIA), September quarter property prices recorded a 2.3 per cent fall nationally. Sales for apartments and detached houses, however, were up by 8.7 per cent for the quarter. Overall, the annual trend in capital gains has been moderating since a peak in April this year, which is good news for property buyers.
As we move into the third month of spring, auction numbers and clearance rates remain strong in most markets but are declining slightly in Canberra, Perth and Tasmania. In the week ending October 26, Melbourne had a huge 1,643 auctions with a 71 per cent clearance rate and Sydney had 831 auctions and a 74.9 per cent clearance rate.
Interest rates look set to remain stable for quite some time, so if you’re in the market to purchase property now is a great time to take advantage of a very competitive loan market. Even if you’re not looking to move, why not get a home loan health check to see if you could be saving money? Whatever your plans, we’re here to help. Give us a call today!