If some of the Best Rates from the Big Four Banks sat at around 1.99% when the RBA Cash Rate was 0.10% what does this mean when the RBA Cash Rate Rises?
It Means that this mark-up of 1.89% will be maintained, after all the Banks are a Business.
It's clear as day that Big Four Bank Rates rates within 12 months will sit between 3.5% and 4.5% at minimum.
Bad news if you haven't got a loan then add APRA serviceability requirement of 3% I.e Loan Rate 3.5% + 3% = 6.5%
When fixed Loans expire and people have to go back to market it will create a massive issue in Australia.
Not sure why Australians can't fix their home loan rates like Americans can for the life of the loan.
The Australian government and the big four banks have set people up in Australia to fail. This is another reason why the Australian Property Market is a joke.
