they are relatively low in historical terms for Australia...I'd prefer high rates than mass unemployment and/or years of sluggish growth as we are seeing in some of the countries you mentioned.
People really shouldn't borrow to the hilt at low rates if they can't allow for rate increases. This is one of the travesties of encouraging first home owners into the market at the bottom of the interest rate cycle and the top of the property cycle. All the grant did was inflate prices. Some of those home owners will be bankrupted when rates increase in the next 12 months.
