03/08/2022
The Reserve Bank of Australia today increased the official cash rate by 50 basis points to 1.85% 🏦📈💰
This latest interest rate rise is unlikely to bring a rush of listings in Sydney and Melbourne. According to our Head of Research Mathew Tiller, it could even result in fewer properties hitting the market during the popular spring selling season: "We are transitioning into a buyer's market, which could mean people will be slightly reluctant to sell. Some vendors may think there is more downside in terms of price reduction and will want to get ahead of the curve. Still, there won't be a mass sell-off due to interest rates even with the current pressure on household budgets."
Looking forward, our Head of Research expects the cash rate to reach 3% by early to mid-next year.
