More Interest Rate Cuts

The Reserve Bank of Australia eluded to the potential for further rate cuts at the May meeting.

The RBA stated it had used "some of the scope to ease policy" when it reduced interest rates by 0.25% this month

Minutes of the RBA's board meeting in May reveal the decision to cut the cash rate by 25 basis points was implemented to counter the lower-than-expected inflation outlook. This is despite the fact that earlier reductions in interest rates had not fully worked their way through the economy.

This latest interest rate cut brings the cash rate to a record low of 2.75 per cent.

The board noted that credit growth had remained subdued despite the strengthening conditions in the housing market.

See Detailed RBA minutes here

To explore the opportunities this presents to property investors Contact Us

Ph: 1300 577 233