Great news for homeowners and borrowers! At its June meeting today, the Reserve Bank of Australia (RBA) cut the official cash rate to just 1.25% – the lowest level in Australian history. Analysts widely predicted a rate cut would follow hard on the heels of the Federal Election and during May, many lenders started to cut rates on both variable and fixed rate home loan products in anticipation of today’s move. While passing on the full cut is often avoided, this time it seems likely borrowers will enjoy the full benefits as the big banks work to restore trust following last year’s Royal Commission. With home values also continuing to soften, this could be a great opportunity to make your next move up the property ladder.
