The Real Estate Institute of Australia (REIA) has welcomed the Reserve Bank of Australia's (RBA) decision to leave official interest rates as they are.
David Airey, president at the REIA, said that the rate freeze was good news for Australian families as it will make housing more affordable.
"With interest rates being a major determinant of housing affordability …another rate rise would have only compounded the issue," he said.
Earlier this month, M3 Property's national research director Frank Sorgiovanni commented on an area of the market that is not usually sensitive to interest rate rises - prestige property.
He told smartcompany.com.au that the price of these high-end properties will fall in certain areas of Australia over the up and coming spring season.
Mr Sorgiovanni told the website that Melbourne in particular will see the largest decline, suggesting that investors could purchase a prestige property for less than they had imagined.
Posted by Ravin Chatlani
