What’s happening with interest rates?

This month the Reserve Bank has held interest rates for the first time in about 12 months.

While predictions are saying that this may not happen again, there are predictions that this pause on interest rates could strengthen buyer confidence.

While future interest rate rises have not been taking off the table the Reserve Bank has said that they only mechanism they have to curb inflation is to increase interest rates.

The Federal Opposition has been suggesting that the Federal Government needs to do more to curb inflation so that the Reserve Bank does not keep increasing interest rates to ease cost of living pressures.

Economists are suggesting that the interest rate is nearing its peak, however, they are still expecting some further interest rate rises, later in the year before hopefully stabilising for about a year, although we have heard that before.

With a shortage of listings and rentals and governments not taking steps to address the housing shortage, it is still an interesting time ahead for the property market.