According to AMP Capital chief economist Shane Oliver, The Reserve Bank won’t lift the official interest rate until 2020. So that’s great news for homeowners and investors.
And he’s not the only one to share this prediction, with the cash rate at its current record low of 1.5%, most industry experts agree that there will be no change.
Finder.com surveyed a panel of industry experts and they all predicted no change and over 95% of brokers surveyed by HashChing expected to see a hold.
A record low
It’s now been 21 months since the cash rate has been at 1.5% and it looks like it will be a quite while before a change.
REA Group Nerida Conisbee says that while businesses are confident in the current economy, consumers aren’t. “Until this turns around, I think it is unlikely we will see an interest rate rise,”
This is further backed up by AMP’s Capital chief economist Shane Olivera, he concludes that a brightening outlook for mining investment, strengthening non-mining investment, booming infrastructure spending and strong export growth are likely to be offset by lower dwelling investment and constrained consumer spending.
If you want the best interest rate for your home or investment property, contact Reventon today.