Following its first board meeting today, 18-February 2025, the Reserve Bank Board (RBA) have moved to lower cash rate to 4.10%. This represents a 0.25% decrease from the December 2024 figure.
Details of this decision can be found on the RBA website. The next board meeting for 2025 will be on 31 March-1 April 2025.
This decision was widely expected, with inflation trending lower towards the RBA's target.
If you are considering buying, today's announcement may improve your borrowing capacity. Contact us and we'll help you explore your finance options.
Major banks move to pass rate cut in full.
Australian big four banks have followed the RBA to pass the rate cut in full.
NAB, Westpac, ANZ, CBA have all announced today that they will pass the rate cut in full to customers.
What does this mean for you?
If the rate cut is passed in full, a borrower with a $1 million home loan could save around $153 per month. If you have a $600,000 or $750,000 home loan, you may be able to save $92 or $115 a month, respectively. Two similar rate cuts would save you #303 per month on a $1 million home loan.
It is important to review your home loan regularly to make sure it is best for you. If you are struggling with your mortgage repayments, as a priority will be to seek advice about whether your home loan is right for you.
If you are looking to buy a home, getting the right advice for you is important so that you can make informed decisions.
While banks generally follow cash rate movements, it is not guaranteed. As Specialist Finance Broker, we will compare the market for you, explain what your options are, and advice if there is a more competitive home loan with interest-saving features.
We offer you an obligation-free loan review whether you are refinancing or getting your first loan. Let us do the research, and find you a loan tailored to your unique requirements.
We are a specialist finance broker in residential, commercial and development finance lending. We can support you with:
Development finance
Residential home loans including refinance
Contact us today and let's discuss your home loan needs.
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