We have seen recent interest rate increases and last week we have finally seen several lenders begin lowering their serviceability assessments rates for certain borrowers
This is all in a bid to help more customers refinance.
We talked a while ago about how many fix rated home loans are expiring this year Over 800,000 loans are coming off some lovely low rates and the rates going to jump and their repayments are for most pretty much doubling.
Mortgage Rate in Australia averaged 6.87 Percent from 1990 until 2023, It reached an all time high of 15.50 Percent in September of 1990 and a record low of 2.14 Percent in March of 2021.
Historically, home loan rates in Australia have varied significantly over time due to multiple factors,
including economic conditions, inflation, monetary policy decisions, and market competition.
The rates have experienced both highs and lows, influenced by fluctuations in the Reserve Bank of Australia's (RBA) official cash rate, which impacts lending rates.
So if interest rates are still well under what the 30 year average has been.
Why are my mortgage broking friends telling me that it’s a struggle to get their clients loans to service at the level they need,
Why are these industry experts struggling to get so many deals over the line???
The answers is serviceability assessments rates leader are required to use.
Tell the dog its time for walkies and lets find out.