Interest Rate Update

In a move to stimulate the economy, the Reserve Bank of Australia (RBA) reduced the cash rate by 0.25 percentage points last month, bringing it to a two-year low of 3.85%. This marks the second rate cut this year. In response, major banks and numerous lenders have lowered their variable home loan rates. For a $500,000 loan, this reduction translates to approximately $76 in monthly savings.

Inflation remains a focal point for the RBA, with the Consumer Price Index (CPI) rising 2.4% over the 12 months to April. The trimmed mean inflation, a key measure for the RBA, increased to 2.8% in April from 2.7% in March.

Property Market Overview

The property market continues its upward trajectory, with national home values increasing by 0.5% in May. All capital cities recorded positive growth, and auction clearance rates have improved following the recent rate cut. This momentum is expected to persist, driven by lower interest rates and strong buyer demand.

Data as of 31 May 2025; auction results for the week ending 8 June 2025 Winter Buying Opportunities

Winter Buying Opportunities

Winter often sees reduced buyer competition, making it an opportune time to purchase property. Sellers may be more motivated, and properties can be assessed under less flattering conditions, providing a clearer picture of their true state.

Ready to Explore Your Options?

At Mortgage Matrix, we're here to assist you in navigating the current market. Whether you're a first-home buyer, looking to invest, or considering refinancing, our team is ready to help you secure the best possible loan for your needs.

Contact us today to discuss your finance options and take advantage of the opportunities this winter season presents.