‘Stretch Themselves to the Max’: The Risky Property Trend that’s Back
- On May 21, 2025, the Reserve Bank of Australia reduced the benchmark interest rate by 0.25%, lowering it to 3.85%, marking the second rate reduction this year.
- This rate cut follows a previous 25-point reduction in February and responds to inflation now within the 2-3% target amid a tight labour market.
- The cut aims to lower mortgage repayments, with owner-occupier variable rates expected to fall to 5.81%, reducing monthly costs by about $81 on a $750,000 loan.
- Anthony Landahl said clients shifted their borrowing mindset from fearing rises to maximizing loans as rates fall, while economist Adelaide Timbrell expects only marginal increases in higher borrowing.
- Lower rates and improved consumer sentiment should support more housing activity but ongoing affordability challenges and cautious lending may limit price gains.
12 Articles
12 Articles
Chan Khangura: 6 reasons why an interest rate cut is great news for Huddersfield’s housing market - Huddersfield Hub
By Chan Khangura of Whitegates estate agents in Huddersfield The Bank of England just dropped the base rate by 0.25%, and while that might not sound dramatic, it could mean big things for Huddersfield’s housing market. So, what does it actually mean for you—whether you’re a homeowner, first-time buyer, or landlord? Here are six key reasons why this small cut could bring a big boost to Huddersfield property: First-Time Buyers Could Finally Catch …
Rate cut will support housing markets, but don’t expect a boom in housing prices until affordability improves
Today's 25 basis point cut to the cash rate marks a further shift toward more accommodative monetary policy. With both headline and core inflation now within the RBA's 2—3% target range —and no signs of a wage-price breakout despite ongoing tightness in the labour market — the RBA's decision to lower rates for the second time...
ASX Market Close: RBA cut sparks inflation fears | May 20, 2025
The ASX200 closed up 0.58% at 8.343 points after the RBA cut rates by 25 basis points. IT was the best performing sector, up 2.3%, followed by Real Estate, up 1.4%, and Telecommunications, up 1.2%. Utilities was only substantial loser, down 0.55%. In the Green PainChek (ASX:PCK) closed up 4.55% on the appointment of Nick Garofoli as head of business development for the United States. PainChek closed at 4.6 cents. True North Copper (ASX:TNC) clos…
Coverage Details
Bias Distribution
- 100% of the sources lean Left
To view factuality data please Upgrade to Premium
Ownership
To view ownership data please Upgrade to Vantage