Two consecutive rate cuts mean the cash rate is now at a historic low of 1 per cent.
Many of our lenders have passed on the majority of the savings to their customers through interest rate cuts. Reserve Bank of Australia (RBA) Governor, Phillip Lowe, said earlier this month, “Borrowing costs for almost all borrowers are now the lowest they have ever been.”*
Additionally, RBA concerns over slow growth in the jobs market may lead to another cut in the near future. Many market economists are forecasting another cut for November, although the financial markets have priced in the cut for February 2020.
What does this mean for you? Now may be the perfect time to make sure you are on a competitive rate with your home loan and investment loans. The rates available now are quite different to what was available six, or even three months ago. I am always happy to negotiate with your current lender on your behalf to ensure you are on a great rate.
If you can’t get a competitive rate on the right loan with your current lender, we can discuss the possibility of a refinance with a different lender.
As a side note, these rate cuts also make it a good time to get ahead on your mortgage repayments if you can. If you maintain your repayments at pre-cut levels, you will pay off your loan more quickly and reduce the total interest you’ll pay over the life of your loan. I can help you make this happen if it’s something you’d like to consider.
I invite you to connect with me to discuss how I may be able to help you save!
Cairns Mortgage Broker – Jason Thomson is a Mortgage Adviser and Finance Broker based in Cairns with clients all around Australia. Client reviews featured on his website prove that Jason is a trusted industry professional, facilitating great outcomes for his clients. Using his wealth of experience in financial services, he thrives on delivering superior service. Jason is very approachable and is always looking for new clients to help in the often confusing world of finance and property. Offering a no fee service, you’ve got nothing to lose by having an obligation free chat with Jason today.