From the CEO of REINT;
As anticipated another interest rate increase hike was announced by RBA on 7 June 2022. A material increase of 0.5% although the expectations were for a lower increase.
Needless to state this increase would add to the already existing mortgage stress, with first potential first home buyers and mortgage holders on variable rates mostly impacted.
All indications are for several further increases to take place in the coming months and well into 2023. Cash Rate is likely to increase to 1.75% in the next few months
In that regard REINT advises all consumers to keep a close on watch on inflationary trends and interest rate changes and focus on cash flow planning to better manage mortgage commitments going forward .
Aswin De Silva,
CEO Real Estate Institute of the Northern Territory Inc.