Current and prospective mortgage holders everywhere have breathed a sigh of relief today, with the Reserve Bank leaving the cash rate on hold at 2.5% for the eighth consecutive month.
Several months of better than expected job figures, strong spending and positive housing finance figures has given the Reserve Bank every indication that the Australian economy is tracking well.
2014 so far has seen the addition of 47,000 jobs in February alone – the greatest monthly increase in almost two years – and 4 year highs in dwelling finance commitments with an impressive 5.8% increase in January of finance for construction of new homes.
With the RBA expected to leave the cash rate on hold for the foreseeable future, prospective first home buyers are seeing an ideal opportunity to not only get on the property ladder, but take advantage of positive market conditions and make the most of their first investment.
Continued low interest rates are also benefiting current mortgage holders, with now being the perfect time to review finances and find out if there is a better deal out there for your personal needs. Indeed, refinancing can have a huge impact on your monthly spends. Low interest rates are an ideal opportunity to use a home loan refinance to fund home improvements, renovations or even further property investment.
The real estate market has had a flying start this year with investors and home buyers who are thinking of purchasing in the coming months keeping a close eye on property market trends. This continued good news of historically low interest rates should make buying a home or investment property more affordable for Australians.
With the property outlook for April looking positive in every major city and real estate prices continuing to climb steadily across Australia, now is the perfect time to talk to a Mortgage Choice broker to make the most of your situation.