The Real Estate Institute of Australia (REIA) is urging the country's home loan lenders not to increase rates because of the current political situation.
Over the weekend, Australia's general election took place, but was unresolved and resulted in a hung parliament.
REIA's president David Airey has asked the country's banks and other home loan lenders to be "responsible" and not increase interest rates above the movements in the Reserve Bank's cash rate.
"Knowing that they won't be reprimanded while the government is in caretaker mode provides an opportunity for lenders to take advantage of this situation," Mr Airey explained.
He concluded by calling on lenders to put the needs of consumers at the forefront of their priorities by guaranteeing they will not act to increase lending rates on home loans.
Earlier this month, Peter Jones, Master Builders' chief economist, said that a period of stable interest rates is required to keep the housing market on its road to steady recovery.
Posted by Craig Francis
