03/02/2026
📈 Interest rates are up by 0.25% — what does this mean for landlords and tenants?
The RBA’s latest rate rise has already flowed through to most major banks. Naturally, we’re getting questions about rents, mortgages, and what happens next.
For landlords:
• Higher repayments may put pressure on cash flow, but rent decisions should always be guided by market conditions, not just interest rates.
• In Melbourne, tenant affordability and demand remain key — unsustainable increases can lead to longer vacancies, which cost more than they save.
For tenants:
• A rate rise doesn’t automatically mean a rent rise.
• Rents are set by the market, lease terms, and timing — not overnight bank announcements.
The best outcomes come from measured, informed decisions, not knee-jerk reactions.
If you’d like to talk through your situation — landlord or tenant — we’re always happy to help.
— XLZ Real Estate
