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Cash rate steady on 1.5 percent

Tuesday, 09 April 2019

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Borrowers will enjoy another month of interest rate stability, after the Reserve Bank's decision this week to once again hold the Official Cash Rate steady on 1.5 per cent.

In a statement announcing the decision, RBA Governor Philip Lowe remarked on the continuing adjustment in established housing markets, after the earlier large run-up of prices in some cities.

"Conditions remain soft and rent inflation remains low, while credit conditions for some borrowers have tightened a little further over the past year or so.

At the same time, the demand for credit by investors in the housing market has slowed noticeably as the dynamics of the housing market have changed. Growth in credit extended to owner-occupiers has eased. Mortgage rates remain low and there is strong competition for borrowers of high credit quality."

RBA Governor Philip Lowe

Taking into account these factors and that inflation remains low and stable, the Board sees no need to change policy – for now. Economists are predicting there may well be another drop before the end of the year.

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Chris Waterman

Chris Waterman is the principal of Waterman Property Advocates. With more than 30 years real estate and managerial experience in South Australia and the Northern Territory, Chris established the company in response to a real need.

Chris's experience gives him an intimate knowledge of buying, selling and negotiating all types of real estate.

Chris enjoys a balance in life, with horse racing and syndication, wine, cooking, football and cricket in his leisure time.