Home Loans & Mortgages

There has been a lot of talk over the last year about the major banks, headed by the Commonwealth Bank, looking for ways to jack up home loan interest rates independent of rate rises by the Reserve Bank of Australia. The major four banks in Australia all posted record profits last year, and want to continue this trend with increasing lending costs since the Government removed its guarantee given to major bank when the Global financial crisis hit.

Mortgage home loan interest rates should stay low for the next few months as long as inflation is low, then interest rates should stay as is for home buyers and homeowners.

More good news for mortgage payment strapped home owners! As we predicted in May 2010, the Reserve Bank of Australia will likely leave official interest rates on hold till later in the year or even till February 2011.
The board of the Reserve Bank of Australia will be meeting today in Adelaide [in the still striking building across Victoria Square from where my business used to be] to consider its decision.