Ensure you never miss an issue of the
real estate business bulletin
Rates to remain on hold until 2015: Smartline

Rates to remain on hold until 2015: Smartline

by Staff Reporter 0 comments

Australian mortgage holders could be set to enjoy another 12 months of historically low interest rates, according to Smartline Personal Mortgage Advisers.

The company’s executive director, Joe Sirianni, said some lenders’ further easing of fixed interest rates in recent weeks and futures market predictions that there won’t be an increase in the official cash rate until 2015 were all positives for people with a home loan.

“All the indicators are that there will be a relatively long period of historically cheap variable rate home loans,” Mr Sirianni said. 

“Even if rates do rise in early 2015, predictions are that this will be only a 0.25 per cent increase, which will still mean rates will be at some of the lowest levels ever seen.”

Smartline encouraged people to not take the current positive economic situation – including record-low interest rates, stable property values, relatively low unemployment rates and modest wages growth – for granted.

“This really is an amazing situation for a majority of Australians and could potentially provide a unique opportunity to really financially benefit,” Mr Sirianni said.

“With variable rates around five per cent per annum, it is relatively easy to find an investment property that provides you with a rental return that is greater than your interest cost.

“Those with an owner-occupier property have the opportunity to make some serious inroads into their outstanding mortgage balance by paying off extra while rates are so low.

“Those who want to maximise the opportunities associated with the current economic environment should be seeking quality mortgage advice on the best approach for them.”

Rates to remain on hold until 2015: Smartline
lawyersweekly logo
promoted content
Recommended by Spike Native Network
Listen to other installment of the Real Estate Business Podcast
reb top 100 agents 2017

The REB Top 100 Agents ranking is the foremost ranking of agents in Australia. It has set the bar for excellence in Australian real estate. To be ranked as an REB Top 100 Agent is the standard real estate professionals strive for. See the full 2018 ranking here!

featured podcast

featured podcast
An industry where the resilient succeeds

Tim Heavyside believes that a strong support team and good foundations are paramount to success in the real estate industry, and with regu...

View all podcasts

Would you consider working for Purplebricks or a similar 'DIY' model?

Yes (7.2%)
No (80.9%)
Perhaps - make me an offer (12%)

Total votes: 209
The voting for this poll has ended on: July 13, 2018
Do you have an industry update?