27 Oct 2015 By: Greg Hocking 0 Comment
Did you read the news this week The Big 4 have decided to voluntarily lift mortgage interest rates?
Westpac got the ball rolling when it announced it is raising its variable interest rate by 0.2%. Within days its rivals CBA, NAB and ANZ followed suit with hikes ranging from 0.15% to 0.18%. All blamed APRA, claiming the regulator’s stricter rules on how much capital banks must hold has prompted the rate hikes. Some say the rate hikes are to woo shareholders. I am no economics expert so I’ll leave it to others to decide that one!
What does this mean for homeowners thinking of selling, or home buyers wanting to buy?
Unless you are mortgaged to the max, this banks-behaving-like-banks news will have no impact on the 2015 real estate market.
Last week, across Melbourne, auction volumes were the highest they have been all year with 1,663 properties auctioned and a clearance rate of 69.8 per cent, according to CoreLogic RP Data. About a third of houses are wholly owned, ABS data shows. It is easy to read a headline and think the worst when, in fact, nothing has really changed. It is a fantastic time to buy and sell property because of the volume of stock on offer and still-historically low interest rates on offer.
Call us today for an obligation-free chat about how we can help you sell in 2015.