45 Per Cent of Surveyed Australians Struggling to Meet Mortgage Repayments, Despite Record Level Low Interest Rates
The RBA left interest rates unchanged last week, with the major banks promising not to raise rates separately.
There are concerns about what will happen to property values, particularly in the new suburban “house and land” package areas, many which came to being largely because of the lucrative government grants, and record low interest rates.
“The dream of home ownership has turned sour for many thousands of first-home buyers now that the reality of rising interest rates is kicking in,” Fujitsu managing director Martino North was reported as saying, in the Herald Sun.
“The grant panicked first home buyers to rush into the market, which pushed prices up by far more than the grant itself.” added University of NSW Professor Steve Keen.
