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The end of 2025 is here and interest rates have not dropped. 📉📉📈📈 Yes, interest rates are expected to drop in 2025, but there's still uncertainty about when and how much: When Most economists expect the first rate cuts to occur in May 2025, but some are more optimistic and predict a cut in February: Commonwealth Bank: The most optimistic of the big four banks, predicting a February 2025 cut. ANZ, Westpac, and NAB: Predict a May 2025 cut. How much? A 0.25% cash rate cut could save mortgage holders on variable interest rates $92 per month on a $600,000 loan. Let’s see what happens!

The end of 2025 is here and interest rates have not dropped. 📉📉📈📈 Yes, interest rates are expected to drop in 2025, but there's still uncertainty about when and how much: When Most economists expect the first rate cuts to occur in May 2025, but some are more optimistic and predict a cut in February: Commonwealth Bank: The most optimistic of the big four banks, predicting a February 2025 cut. ANZ, Westpac, and NAB: Predict a May 2025 cut. How much? A 0.25% cash rate cut could save mortgage holders on variable interest rates $92 per month on a $600,000 loan. Let’s see what happens!

RBA keeps interest rates on hold! The decision today leaves the cash rate at 4.35 per cent — its highest level since 2012 — for the sixth consecutive meeting as the Reserve Bank continues its ‘wait-and-see’ approach. “We think the outcome is well balanced but, nonetheless, we maintain our forecast of the first rate cut in November this year with the same risks even after the meeting today." The Commonwealth Bank and Westpac had forecast a 25bps cut in November. ANZ Bank did not expect one until February and the National Australia Bank expected households would have to wait until May 2025. Analysis from RateCity.com.au showed that a 25bps rate hike would increase the average monthly repayments on a $500,000 loan by $74 per month, $89 on a $600,000 loan, while a $750,000 loan would increase by $112 and a $1m mortgage by $149. Data and article from https://lnkd.in/eqHft4ti #finance #reservebank #mortgage #lending #broker

When will the RBA cut interest rates ❓ Although the RBA Governor Michele Bullock isn’t making any predictions, a lesson possibly learnt from her predecessor's disastrous 2020 prediction of the cash rate staying at 0.10% until 2024 or later, bank economists all have opinions on when they believe rate cuts will occur. So what do the major bank economist think? ANZ: ANZ believe that the first rate cut will most likely occur during the November 2024 RBA monetary policy meeting. CBA: Commonwealth Bank of Australia have also predicted the board to begin cutting rates during the September 2024 monetary policy meeting and expect the RBA to drop by up to 1.5% of rate cuts by mid-2025 NAB: Expects inflation to moderate gradually with the RBA keeping the cash rate on hold throughout most of the year before cutting rates in November 2024 Westpac: WBC expect that the RBA is on hold until the September 2024 meeting While no one can know for sure when or if rate cuts happen, from the information coming out of the majority of the top lenders, some significant relief for mortgage holders might be on the way, although the effect that this will have on house prices with buyer confidence boosted and more potential buyers able to borrow more, could further drive up prices. What are your predictions?

An important milestone in the #costofliving crisis. While the Bank’s formal target is a 2% headline rate, historic norms see the rate often higher or lower than this figure. 2.3% is a great result. ⬇ With the bank so slow to start raising rates in 2021, we feel even with this welcome drop, the bank may hold off for one more month before starting a cycle of cuts. Diving into the numbers there are still signs that it is not yet time to get the bunting out. #Consumers should start feeling the easing of price pressures in the shops as the average increases in wages across the economy, coupled with recent #NationalInsurance cuts means we are seeing the end of the cost of living crisis in its most acute form. As inflation comes down, expectations of #baserate cuts also increase, reducing #mortgagerates on the market. #inflation #ukinflation #CPI #mortgage #mortgageuk #mortgageexpert #andersonharris

Sooner rather than later: ANZ forecast interest rate cut in February: ANZ is now expecting a first interest rate cut within weeks when the Reserve Bank of Australia (RBA) meets in February. https://bit.ly/4ammXpK

***BREAKING NEWS*** NAB has brought forward its forecast for the first cash rate reduction of the year, joining other major lenders in predicting the easing cycle will begin in February. Find out more on The Adviser: https://bit.ly/42AAPLf #cashrate #forecasts #economics #RBA #centralbank #interestrate #mortgage #homeloan

ANZ has become the first of the big four banks to abandon forecasts for an interest rate cut this year, citing persistent inflation challenges. 🌪 Previously, the bank's economists anticipated a rate cut in November 2023, but they now project that the Reserve Bank of Australia (RBA) will hold rates steady until February 2025. 📊 This adjustment follows recent inflation data that exceeded expectations, with the Consumer Price Index (CPI) unlikely to return to the RBA's 2-3% target range until at least the end of next year. The RBA is widely expected to keep rates unchanged at its June meeting next week, with attention focusing on the post-meeting press conference by RBA Governor Michele Bullock for insights on the future of interest rates. *Scource: realestate.com.au ☎️ 07 3147 8730 🌐 www.lend-plus.com.au ❤️ Lender of the Real World #BrisbaneFinance #homeloan #Mortgage #brisbane #loan #brisbanefinancebroker #finances #mortgagebroker #australiahomeloan #australiamortgagebroker #australiamortgagebrokers #lendplusfinancial

ANZ has become the first of the big four banks to abandon forecasts for an interest rate cut this year, citing persistent inflation challenges. 🌪 Previously, the bank's economists anticipated a rate cut in November 2023, but they now project that the Reserve Bank of Australia (RBA) will hold rates steady until February 2025. 📊 This adjustment follows recent inflation data that exceeded expectations, with the Consumer Price Index (CPI) unlikely to return to the RBA's 2-3% target range until at least the end of next year. The RBA is widely expected to keep rates unchanged at its June meeting next week, with attention focusing on the post-meeting press conference by RBA Governor Michele Bullock for insights on the future of interest rates. *Scource: realestate.com.au ☎️ 07 3147 8730 ✅ Make A Smarter Choice! 🌐 www.scbrokers.com.au #scbrokers #finance #BrisbaneFinance #homeloan #Mortgage #brisbane #loan #brisbanefinancebroker #finances #mortgagebroker #personalloan #australiamortgagebroker #brisbanemortgagebroker #refinance

INFLATION UPDATE Inflation is rising again and above Bank of England target 2%. This is another blast for the Government as the economy remains static and the lenders raise mortgage costs despite recently there has been a cut in the interest rate. Barclays and Nat West are poised to the next high street lenders to increase their fixed mortgage rate, Santander, HSBC, Nationwide, TSB will follow. The financial markets expect borrowing costs to remain higher for over the next five years, consequently , this cause increase cost of home loans. Consumer prices are predicted to have risen by 2.1% last month compared with 1.7% in September Consumer prices in September were at 1.7%, compared with  October, when it was predicted tan increase to 2.1%. The main increase in costs are Gas and Electricity after the energy price cap. Bank of England expect inflation to rise around 2.75% in the second half of 2024 before falling again.