Interest Rates

 

Interest rates are one of the most important factors affecting the residential real estate market.

When rates rise, the amount borrowers can afford to pay for a property falls and if rates rise too high, owners with a large mortgage may be forced to sell.

Right now we have the opposite scenario, with rates falling to one of their lowest levels since the 60’s.

This has seen a rise in the Sydney property market of nearly 30% since the June quarterly figures were released in 2012.

The reserve back is set to meet again next month to discuss interest rates.

Do you think an increase in the official cash rate will have an impact on the current record prices Sydney’s real estate market has been achieving over the last 18 months?

For any other details please contact John Tsironis from the Oaks Property Sales on 0404 696 497.