Phil's Property Corner - RBA rate cut spells opportunity for homeowners & buyers

March 11, 2020 by Rebecca Crommelin

The Autumn season has officially started - although, Perth still seems to be in Summer! You can keep cool with this month's edition of Phil's Property Corner - brought to you by Phil Bertram from Candour Property Group. Have a read below to stay up to date with the latest property & finance news, plus what this month's RBA rate cut means for you. 

Once again the median price in Perth held at $480,000, while sales activity increased slightly by 5%. In more interesting news however the median rental price increased to $360 per week, the first increase in some time. Rental activity was slightly more subdued than January, registering a drop of 9%. You can find REIWA’s monthly property market update here. 

Some more solid news has been released regarding the WA state economy, with Australia’s Gross Domestic Product December quarter’s figures being released. At first glance it wasn’t great news with WA’s domestic economy shrinking 0.2%, being driven mainly by a reduction in government, business and property investment. However on closer inspection there are some positive signs coming through, with household consumption jumping 0.5% in the months leading up to Christmas. 

There have been around 59,000 jobs created in WA since 2017 and in an interesting stat, half of all jobs created across the country in January 2020 were created in WA. This article is a good read if you would like to know more.

The Reserve Bank has reduced interest rates again in March, reducing the central bank rate to a new record low of 0.5%. This time the major banks all passed on the full 0.25%, with those rates mostly taking effect by the middle of this month. It has once again made for a very effective time to review your current interest rate, with all time low rates available. If you would like your rate reviewed it’s as easy as contacting your broker, that way you can get a broad comparison of which banks are eager to win your business. 

If you’d like to talk through how this might apply to you the first step is to get in touch with your broker or with Phil Bertram. There is no obligation to proceed any further than you’re comfortable with and he doesn’t charge for his time. All strategies are implemented in tandem with your Mortgage Choice Mortgage Broker. 

To arrange for Phil to call you please email him with your name and contact number on phil@candourproperty.com.au and he’ll be in touch.

Book in a chat with our team at Mortgage Choice if you'd like to get a better deal on your home loan interest rate or look at your home buying options.