Advice is to watch the rates
HOMEownersmayhave breathed a sigh of relief when the Reserve Bank of Australia announced its latest cut to official interest rates but keep a close eye on howyour lender responds.
If you’re not getting a decent share of the recent rate cut, it could be time to find a better deal.
The RBA’s official cash rate of 3.25 per cent is nowat a threeyear low.
However despite a string of rate cuts in the past 12 months, manyborrowers are still paying more on their home loan than they were three years ago.
There’s a good chancemany lenders will keep at least part of the latest rate cut from their variable loan customers.
This has made it essential to keep track of your home loan rate and compare it to what is available elsewhere.
The cash rate maybe at its lowest level since October 2009, but the same can’t be said about mortgage rates.