Watch Loan Market Group's executive chairman, Sam White on YIP TV http://www.yipmag.com.au/videos/
as he discusses his predictions for the state of the mortgage and
property markets in 2010 and his views on the latest rate hike by the
Reserve Bank of Australia.
White said the RBA are using these smaller rate rises as a preventative
measure to avoid having to make larger increases later on. However, he
said there is no doubt that the most recent rises will have an
immediate effect on consumer confidence and spending.
"The latest rise will add $50 more to the average mortgage repayments
per month," he says. "When you put this $50 on top of the $100 extra a
month that mortgage holders are now paying as a consequence of the
previous two rate rise, going into Christmas many Australians are going
to have to tighten their belts just that much more to accommodate yet
another interest rate rise."
Click here to view the video, courtesy of Loan Market Group.
ALSO on YIP TV:
• September and October 09 property market updates
• The 360 degree approach to buying an investing in property (Steps 1, 2 and 3)