Anyone with a current variable rate mortgage or a fixed rate mortgage that is expiring over the next 12 months should be asking themselves where interest rates are going.
I often answer the old "where do you think interest rates are going?" question with the old "I don't have a crystal ball" response because it is almost impossible to get it right.
However, as with any decision making process, the more relevant information you have, the better chance you have of getting it right. To this end, I have done some research for you.
The organisations that have the most to lose if they don't forecast well are our big mortgage lending banks, so I looked at all five. Not surprisingly they all disagree with each other on the amount of the cut but the good news is they all agree on one thing. There will be a cut. The only bank I could not get information from was "NAB" or "nab" as they now like to be called. Looks like I have to be a corporate banking customer to get their reports (or I am not very good at searching). We are in for another fascinating year.
One thing you can rely on Kenny, I will be keeping you well informed.
