The big news this week has been the RBA emergency interest rate cut of 25 basis points, leaving our cash rate at a record low of 0.5 per cent.
At a time when nervous consumers are stockpiling household essentials, RBA boss Philip Lowe decided that a rate cut was needed to boost confidence and help buffer the impact of the coronavirus.
The big four banks were all quick to pass on the rate cut in full, pointing to the seriousness of the virus and it’s impact on customers as their reasoning.
According to the Financial Review, ‘when the big four banks start trumpeting their willingness to cut home loan and business interest rates in the national interest, you know the economic situation is far worse than meets the eye’.
Aside from possible toilet paper theft, how the virus will impact the property market overall is still to be seen.
However if you’re waiting on an off-the-plan apartment, you could be delayed by up to six months as shipments of building materials are held up in China, reported the Financial Review this week.
“There are a lot of products that are going to be affected by the shipment delays. The biggest issue is going to be windows – all glass and all windows come from China. Then there are ceramic tiles — 90 per cent of which are also made in China,” the article noted.