At its meeting today, the Board decided to lower the cash rate to 4.25% (a reduction of 0.25%), effective 7 December 2011.
We believe at this point it is more important to fix part of your loan for 3 years as you also lock in the bank’s margin. We also don’t believe that the rate cut will be passed on in full by the banks. As the RBA has historically been slow to move rates down, if there are any positive signals from Europe, then the 3 year fixed interest rates next move could be up!
Please give me a call if you would like to review your mortgage or would like me to help any of your friends or colleagues save on their mortgage.
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