Australian property owners looking to relocate to a new home with an ideal mortgage deal could benefit from a reduction to the cash rate, an expert has claimed.
In an interview with the Australian, Jason Anderson - manager of economics for MacroPlan Australia - suggested that the move would encourage first-time buyers to step onto the property ladder.
Mr Anderson claimed that if the Reserve Bank of Australia were to lower the rate, support could be given to more affordable sectors of the struggling market.
However, the expert predicted that the figure would remain at 4.75 per cent for the remainder of this year, when the situation is likely to have levelled out.
"In the past … there has usually been a good reason for that - a wider economic slowdown occurring - and in that context, you usually get rate cuts," he added.
Last month, MacroPlan Australia announced plans to develop a new business centre Wollongong in a bid to spur economic growth and create employment opportunities.
Posted by Craig Francis
In an interview with the Australian, Jason Anderson - manager of economics for MacroPlan Australia - suggested that the move would encourage first-time buyers to step onto the property ladder.
Mr Anderson claimed that if the Reserve Bank of Australia were to lower the rate, support could be given to more affordable sectors of the struggling market.
However, the expert predicted that the figure would remain at 4.75 per cent for the remainder of this year, when the situation is likely to have levelled out.
"In the past … there has usually been a good reason for that - a wider economic slowdown occurring - and in that context, you usually get rate cuts," he added.
Last month, MacroPlan Australia announced plans to develop a new business centre Wollongong in a bid to spur economic growth and create employment opportunities.
Posted by Craig Francis
