<p $$hash="11118-0"><span $$hash="11117-0">The Reserve Bank of Australia’s (RBA) decision to cut its benchmark interest rate has been welcomed by experts in the Australian property industry.
<p $$hash="11126-0"><span $$hash="11127-0">Seeing the rate cut as an opportunity for people investing in Australian property, the Real Estate Institute of Victoria (REIA) has welcomed the decision as a “sensible” one.
<p $$hash="11136-0"><span $$hash="11121-0">Peter Bushby, president of REIA, said: “The RBA has done the only sensible thing. Now we just need the banks to pass the cut on in full.”
<p $$hash="11135-0"><span $$hash="11134-0">He added that, should banks use the drop in interest to 2.75 per cent, then this will decrease consumers’ home finance commitments by an average of $481 per week.
<p $$hash="11120-0"><span $$hash="11119-0">Despite the ongoing growth in house prices and consumer confidence in Australia, this is an area that had been causing concern for home buyers.
<p $$hash="11129-0"><span $$hash="11128-0">Australia’s housing market is known to be more unaffordable when comparing the average wage to the average mortgage repayment.
However, recent rate cuts have helped to aid this as housing affordability has been improving.
<p $$hash="11137-0"><span $$hash="11138-0">Posted by Ravin Chatlani