The Reserve Bank of Australia (RBA) decided not to change the official cash interest rate at its July meeting, leaving it at 6.25%.
“Household budgets often begin with the new financial year so it is nice that homeowners do not have to reassess their mortgage commitments so soon into the 2007/08 year,” REISA President Mark Sanderson said.
“The announcement also helps those who are looking to purchase a home or investment property by knowing that their anticipated loan repayments won’t change immediately.”
Mr Sanderson said the real estate market and wider economy was moving along nicely at the moment so there was no need for the RBA to move interest rates any time soon.
“The June quarterly figures are due this weekend and early indications appear that the South Australian market is very strong and buyers are very active in the local area.”
“Low interest rates are crucial to keep the momentum in the market and we hope that rates will remain stable for the remainder of 2007.”