Local House Prices and Interest Rates

As reported in the Courier Mail on Saturday 7 January 2023 the median house price in Gatton is $406,581 which is a 19.1% increase from the 12 months prior and is down 0.9% on the previous quarter.  It will be interesting to see what the Reserve Bank will do in 2023 after 8 consecutive rate rises in 2022.

Tricia Rivera in her article report that there are predictions of more rate rises in 2023 before a rate cut in late 2023 to leave a projected cash rate of 3.85%.  Later in the article the author states that banks when considering applications for mortgages ensure that borrowers are able to afford repayments of 8%.

What happens with the interest rates and how this affects the local housing market is the crystal ball answer that everyone would love to know.  I guess we will have to wait and see.