7NEWS Australia published this video item, entitled “RBA Rate Rise Crunch: what happens when interest rates go up? | 7NEWS” – below is their description.
The Reserve Bank is meeting today… and the million dollar question is whether it will decide to raise interest rates. The cash rate is currently sitting at a record-low point-1 per cent. Increasing it to just half a percentage point would mean an extra $104 a month on an average $500,000 mortgage. And if it increases to 2 per-cent that would add over $500 a month.
Most economists have put money on the Reserve Bank raising the official cash rate today from its historic low of point-1 per cent. The increase is expected to put almost 300-thousand borrowers at risk of default… the vast majority of whom are first home owners. The areas most at risk of mortgage stress around the country are:
Toowoomba in Queensland
Campbelltown in New South Wales.
Cardinia, Casey and the Yarra Ranges in Victoria.
Huon Valley and Clarence in Tasmania.
And Swan and Wanneroo in Western Australia.
7NEWS Australia YouTube Channel
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