That’s the question economists are debating all over the country with some predicting that while there is still a chance of another rate cut this year, others strongly believe that interest rates are as low as they can go.
In a survey conducted by comparison website finder.com.au, roughly two in three people (62%) expect that the central bank will keep rates on hold for the rest of the year. After that, just over two in three (68%) are expecting the cash rate to start going up next year.
At a historic low of just 2 per cent it’s hard to imagine that interest rates could get much lower, but whether or not they do there’s no mistaking that now is a great time to take advantage of low rates.
It’s not the time to sit on the sidelines and wait to see whether interest rates will go any lower. The Reserve Bank cut interest rates to help encourage people to invest and it’s certainly a good time to do just that.
There are currently variable mortgage rates available at near the 4.25% p.a. mark. On a $450,000 loan you would be looking at an interest only payment of just $368 per week! That’s less than it costs to rent in some areas.
Of course you do need to shop around and do your own research based on your individual circumstances and where you want to buy. It pays to shop around and look at different home loan deals as they can differ widely from bank to bank.
Take a look at your options and ask if it’s the right time to invest in the property market. You may regret it if you don’t.
For those looking to invest in the Bacchus Marsh property market you can view the latest properties for sale on this website.