RBA leaves rates on hold – who cares and what does it mean to you?

We’ve been talking for months now about how little impact the Reserve Bank has on retail interest rates and now it is being widely analysed in the mainstream media.

With the major banks claiming that their funding costs are creeping up again, most likely so APRA will tick off on their balance sheets – it can all seem quite confusing.

In a nutshell the banks will continue to dance to their own tune, so don’t be surprised if interest rates increase again soon.

Blaming tougher regulations, the Big Four all increased their rates late last year, affecting all borrowers. It was a double whammy for property investors who copped a further increase.

While interest rates remain at a generational low the latest increases seem to have taken some sting out of the property market particularly in Sydney and Melbourne.

I don’t think there is much doubt that with APRA’s implied blessing the banks will be looking to increase rates sooner rather than later.

At the risk of sounding like a broken record, smart borrowers will continue to check out what interest rate they are paying to see if they can find a better deal, which is definitely something that Onyx can help you with.

Does it annoy you that the mainstream press are so Sydney and Melbourne centric?

All we’re hearing from the press is that the boom is over in Sydney and Melbourne and the gloom and doom that is associated with it.

Australia is not just one property market. Perth has been soft for 2 or 3 years and may have at least another year before an upturn.

South-East Queensland is improving with many exciting infrastructure projects underway and the Commonwealth Games set for 2018.

Even Hobart is on the rise after several years in doldrums. The bottom-line for savvy property investors is that there is still plenty of opportunities across the country, including some hidden gems like Port Macquarie.

To get the low-down from Tim Lawless the research director at Core Logic click here.

Please take a few minutes to check this month’s guest columnist Jewells Black. Her mission is to show you how to take charge of your success and happiness by boosting your communication skills and shedding those excuses so you can produce a life that is more compelling to live than a hit TV show is to watch.

Wishing you a prosperous and healthy 2016, as always call me anytime if I can assist in any way.

Warm Regards



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