Major banks raise mortgage rates as RBA slows pace of its hikes | The Business | ABC News

The Reserve Bank has elected to slow the breakneck pace of interest rate rises, with the sixth straight hike being 0.25 of a percentage point instead of the widely expected 0.5.

Demand for food relief from this charity has gone up 15 since the reserve bank started lifting interest rates in may around half the people coming in haven’t had to access food relief before it’s a worrying trend food bank expects to continue well our message to homeowners that are out there struggling and not sure what to do next what bills to pay whether to put

Food on the table is please reach out for help more pain is in store the rbas announced a quarter of a percentage point hike taking the cash rate to 2.6 percent now just because this is a bit less than what many people were anticipating and just because it’s consistent with what we’re seeing around the world i won’t make it that much easier rba governor philip

Lowe says inflation is too high and the bank is determined to get it under control but warns the path to doing that without causing a recession is narrow one source of uncertainty is the outlook for the global economy which has deteriorated recently if lenders pass on the rate hike in full homeowners with a 750 000 mortgage or a million dollar home loan will see

Their repayments rise 110 or 147 a month they’re now paying 1030 or 1374 dollars or more than they were before the rba started lifting rates in may while the rba has slowed the pace of its rate hikes it warns more are yet to come how high the cash rate will go will not only depend on the global economy but also on household spending wages growth and price rises

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We expect another 25 basis points in november and december as we look into next year it is very very uncertain this couple is getting advice on how to refinance in march they use the equity in their townhouse to upgrade to a million dollar home do you think the interest rates will go down where it was previously as house prices drop they’ve decided to rent out

Their original property instead of selling if the repayments increase then we have to just increase our income so at the moment we’re planning to just cut off our expenses and then we’ll see how things are the couple’s decision to borrow big was influenced by the rba governor’s statements that rates would likely stay low until 2024. but it was not in our wild

Imagination that it will go this high and even if still we are hearing something that they’re gonna even go higher so that is again a very disappointing thing their mortgage broker is overwhelmed with clients in a similar position his advice for those who can is shop around for a cheaper interest rate as being loyal to your lender could cost you more clients that

Are coming out of their two-year fixed rates uh this year or late this year and early next year could save tens of thousands of dollars by refinancing property advisor moxin reza says his clients are doing whatever they can to combat rate rises you know generating small income on the side i’m talking about you know online shop you know putting granny flats at

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The back riding the rate hike cycle as the global outlook worsens

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Major banks raise mortgage rates as RBA slows pace of its hikes | The Business | ABC News By ABC News (Australia)