But a rise to your mortgage repayments could be in store in 2018 and that’s not such a bad thing.
Interest rates can be considered an indicator of a healthy economy. Too low and that’s a sign of stagnant economic growth. Too high and you’ve probably got inflation problems. So the Goldilocks approach of not-too-high and not-too-low is where the Reserve Bank of Australia likes things to be.
Economists are now watching intently for signs that jobs growth and inflation are beginning to rise. Remember jobs growth is good for property price growth too.
While expert opinion is divided, most seem to be placing their bets on a rise in late 2018, reports realestate.com.au.
Here’s the breakdown:
- CommSec tips rates to rise in late 2018 at the earliest
- AMP expects a rate rise at the end of the year
- National Australia Bank expects a half a per cent increase in the second half of the year
- ANZ predicts two rate rises this year.
The other trend we’ve seen in recent times is banks shifting rates separately to the RBA cash rate movements. So it pays to stay across changes to your rate and shop around for the best value mortgage. There are still plenty of bargains out there.