After cutting rates last month the Reserve Bank has left interest rates on hold.
We’ve extracted some of the key comments relating to home loans & the housing market.
Inflation remains quite low. Given very subdued growth in labour costs and very low cost pressures elsewhere in the world, this is expected to remain the case for some time.
The RBA believes the low interest rate environment is here to stay for some time. This is excellent news for current borrowers, but not great news for savers & retirees.
Supervisory measures have strengthened lending standards in the housing market. Separately, a number of lenders are also taking a more cautious attitude to lending in certain segments.
Some of the segments that lenders are taking a more cautious approach to lending include:
We’ve written about these borrowing changes previously on our blog.
Full notes from the meeting can be found at the RBA Website.