HOME LOAN MARKET UPDATE | SEPTEMBER 2019

The Reserve Bank of Australia (RBA) has kept the cash rate on hold in September. This was widely expected. Most economists and experts are expecting at least one more rate cut by the RBA in 2019.

The two key changes in lending over the last four months have continued- this is the increased competition and lowering of interest rates, particularly on investment loans and increased serviceability/borrowing capacity. These two changes have resulted in greater confidence when applying for home and investment loans and this confidence is starting to take effect in our local residential property market.

This increased confidence is particularly there among our investor clients. In this months video I discuss purchasing an investment property and the benefits in engaging a property expert that looks at the entire Australian property market. When we look to purchase an investment property we often fall into trap of having a very narrow focus and looking in just our local areas and where we live. By speaking to an expert we can educate ourselves on other potential property markets that may be more suitable as an investment. This will help broaden your horizons to properties with greater potential capital growth and/or rental returns.

Entertaining Financial Education

Finally, if you are interested in further educating yourself on managing your personal finances then there are some very good educational podcasts out there. One of these is My Millennial money. Glen James and John Pidgeon host this podcast,and do an excellent job educating their listeners on different strategies to manage your finances.

My Millennial Money

As always if you would like to discuss your situation, please give me a call or send me an email.

Sean

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