Is now the time to fix your interest rate?
- Thread starter ozmale42
- Start date
For what period is the fixed rate for?
Just two years. That is the lowest.
I bit the bullet and hedged 2/3rds of my loans with CBA for three years at 5.29%. Will see how the next 6 months play out before I commit or dont commit my other 1/3.
Interestingly read on propertyobserver that fixed rate take up is decreasing, which considering the amount of attention given on this forum at least I found quite surprising.
Interestingly read on propertyobserver that fixed rate take up is decreasing, which considering the amount of attention given on this forum at least I found quite surprising.
Tell him that westpac is offering 4.99 and you will refinance unless he can match. All the banks are aware of what the others are offering.
thats coz the consumer sentiment out there is geared to real Gut feel, not macro economics.
We arent out of the woods yet. I reckon the cash rate will see another 50 to 100 pts............and possibly before the fed election
ta
rolf
Yep, things are not as rosy on the ground as "official" figures are painting in.
I dont know anyone or have spoken to anyone in the last few years now who are totally confident about any sort of growth or at the very least some sort of emergence out of the mire that hangs over the globe currently.
Equities markets are building and looking far more of a bubble than property, yet the sholastic economists are sticking to their property bubble theories....
Go figure.We need the building industry to fire up and provide more housing to allow affordability some room & stimulate (not artificially)...not just the promise (current stock market push) of stocks to get us out of a temporary hole, which we all know will end in a sell off.
Can confirm that CBA will match Westpac's fixed rate.
Would assume the other major banks would as well.
wont be long now and we willbe at 4.99 for 3...................
and I take a punt that there will be 5 years around for 5 to 5.2 in the next 120 days
ta
rolf
Do you know something we don't Rolf?
nah
just that the economy is more segmented and busted in parts than is being "owned" up to.
Might take a little longer, but I cant see the cash rate staying where it is.
Any more significant noise in that dept I believe will scare the fund managers a little more and they will be looking for middle term cash based security of income, and thus will be climbing over each other to place money that may result in retail fixed rates of nearer to 5 for 5 than many think is likely today.
But hey, its only a hunch, if I knew what was going on Id be Sitting on my boat in Bermuda
ta
rolf
I reckon there will be few if any lnders reduce their 3 yr fixed below 4.99% again, thats my call.
And thinking about it, the best time to fix if you want to try and 'time' the market is when the fixed rates start moving up again (rather than when variable rates do). you might not fix at the lowest point, but you will more likely be in the money thru most of the fixed rate period.
And thinking about it, the best time to fix if you want to try and 'time' the market is when the fixed rates start moving up again (rather than when variable rates do). you might not fix at the lowest point, but you will more likely be in the money thru most of the fixed rate period.
Last time I fixed my interest rate was February 2012 for 1 year, and all in all, I benefited $250 per month for 8 months, break even for 2 months, and lost $80 for 2 months. So it was a good bet.
