July 16, 2013
Richmond mortgage broker – Andrew Heath, says low rates offer plenty of opportunities.
As a mortgage broker in Richmond, one of the key questions I’m often asked is “Where are interest rates headed?”
No one knows for sure how rates will move, and the Reserve Bank of Australia’s (RBA) decision to leave the cash rate on hold at 2.75% for a second consecutive month in July doesn’t necessarily rule out further rate cuts.
Room to trim rates further
The Aussie dollar has weakened lately, and that’s a good thing for some sectors of the economy, especially non-mining sectors like retail, manufacturing and tourism. This in turn should lend support to the jobs market in those industries.
We’re also seeing increased activity in the property market, with buyers taking advantage of the current low home loan rates.
These are all factors the RBA would have taken into account in its July meeting. Importantly, the Reserve Bank has pointed out that there’s still room to move the cash rate should the need arise, and some economists believe we could see at least one more rate cut this year – possibly in August.
It certainly makes for interesting times with the prospect of a cash rate and a federal election looming on the horizon.
Richmond mortgage holders don’t have to wait
The thing is, it’s not necessary to wait for the RBA to act to get a good deal on home loan rates, and for home buyers in Richmond mortgage rates offer valuable opportunities.
If you’re looking to get into the housing market, today’s low interest rate environment could be the catalyst for buying now. Lenders are actively competing for business, and mortgage brokers like myself, are seeing this across the board from the major banks right through to credit unions and smaller non-bank lenders.
So if you are looking to take out a loan, the key is to consider what’s available from a wide range of lenders. It’s the best way to find the most suitable product and lender for you.
The combination of a historically low cash rate and competitive offerings from many home loan lenders is also providing Richmond mortgage holders with an opportunity to refinance to a better deal, as well as getting ahead with their loan repayments and possibly even accessing additional funds or built up equity to achieve new financial goals.
To arrange a home loan health check or for more information on mortgages in Richmond call me on 02 4578 9904 or 0411 550600 – 7 days a week. Send an email to email@example.com or come in and see me at 1/37 Lennox Street, RICHMOND, 2753 or visit my website.