Interest Rates On Your Mind? – June Rate Report

The June cash rate news is in! If you were hoping for interest rates to go down, you’ll be waiting a little longer. On June 18, 2024, the Reserve Bank of Australia (RBA) Board decided to keep the cash rate on hold – again – at 4.35%.

What does this hold decision mean for me?

If you have a variable rate home loan, it’s likely that your interest rate will stay put for now.
If you have a fixed rate home loan, cash rate decisions have no bearing on your interest rate. It will stay fixed until the end of your fixed rate period. If your fixed rate period is nearing its end, reach out to our team to learn about your options.

Does this hold decision mean we’re one step closer to a cash rate cut?

Unfortunately, as has been widely reported, it looks as though a cash rate reduction might still be a fair way off.
The RBA’s key priority is returning inflation to target, and this is happening slower than expected. While inflation remains high, it seems unlikely that the cash rate will be cut. Some of the big banks have pushed their rate reduction forecasts out to November of this year, and ANZ has gone one step further, recently changing their rate cut prediction to February 2025.

It’s a frustrating time for homeowners and hopeful homebuyers, and finances are tight for a lot of people. If you’re concerned about your loan repayments or eager to learn more about your options, reach out to our team.

Even if you’ve never used a mortgage broker before, give us a call – we may be able to help reduce your mortgage repayments through repricing or refinancing your home loan. If you’re new here and not sure how to get in touch, simply call 1300 886 100, or visit moneyquest.com.au and fill out the enquiry form.

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