11 May Impact of interest rate increase
After 11 years the RBA lifted interest rates by 25 basis points. It wasn’t a surprise given our rate of inflation however many were surprised at the 25 basis points. It is expected there will be another rise next month perhaps of another 25%. Four of the major banks passed on the rate increase immediately.
In this market update, we talk to Tim about the impact of this rate rise, the slowing down of the rate of growth across capital cities, the diversity in both sales and rental markets, national stock levels, and rental market performance.