Turning Rate Cuts into Client Wins: A Visual Guide
This chart compares the year-end 2025 cash rate forecasts from the Big Four banks and ASX Market Futures, highlighting the differing views on the pace of easing.
Lower interest rates are a double-edged sword. While they reduce borrowing costs, they also fuel demand in a supply-constrained market, pushing prices higher. Here's how it works:
The result? The deposit hurdle remains just as high, or even higher, for first home buyers.
Driven by a fear of missing out, 38% of FHB's are buying now to avoid being priced out of the market.
Investor confidence is high, with 30% intending to purchase another property in the next 12 months.
A $6,200 annual saving is possible on a $650k mortgage by refinancing from an average rate of 6.25% to a more competitive 5.29%
This chart illustrates the power of maintaining higher repayments after a rate cut. On a $650,000 loan, this strategy can save over $140,000 in interest and shave nearly 5 years off the loan term.