NAB raises interest rate

Westpac, CBA, now NAB.

http://www.smh.com.au/business/bank...-lifting-home-loan-rates-20151022-gkghqx.html


predict ANZ to hold out this week and increase next week to impact next weekends clearance rates?

 

ANZ IR decisions were de-coupled from the RBA decisions some time ago. They do it in their own time frame and it will have nothing to do with ANZ attempting to "impact next weekends clearance rates", although since all of them are doing it now, it may have that effect in some parts. But really 0.2% is diddly squat IMO.

 

ouch

 

This is when all of the complexity theorists come out of the woodwork,and it would be good for the stakeholders in ANZ,.plus when i started investing in 1983 the rates were above 16% and very hard to come by "OPM".

 

Spoke too soon...

ANZ last of the Big Four banks to raise home loan rates
http://www.smh.com.au/business/bank...to-raise-home-loan-rates-20151023-gkgx4j.html

 

a lot of people are talking about Brisbane is a good place to invest now and Sydney has peaked..

what would these interest rate rises mean for the Brisbane (and other places forecasted to go up)?

 

Domain.com.au’s latest Price Report has revealed that Brisbane’s property market returned a disappointing performance over the September quarter.

House prices rose just +0.8% over the quarter to $497,143, while unit prices fell by 0.6% to $362,737. Year-on-year growth to September 2015 stands at +3.6% for houses and -3.6 % for units.

 

Agreeing with Propertunity. I am also a bit uncertain about Brisbane. From all the inspections, I feel like there are a lot of vendors asking for too much, properties that are reasonably priced are going fast but overall the price is not really moving up, at least not strongly. With interest rate going up and media blasting the sydney slow down, I think Brisbane may follow soon.

 

Dammit. I'm probably within 3-5 days from getting my loan approved too. Not great timing.

 

makes no real difference, it is not all for new loans only.

 

There's a lot of support for Brisbane as the next "growth" area but I am also not convinced (but happy to be convinced). A lot of investors from Syd/Melb attracted by affordability buying in Brisbane but to get strong growth will really need 1) more buying by locals and 2) inflow of foreign investors. Can't see 1) happening as the macro picture for QLD is not great although Brisbane might be better given tourism boost and lesser impact from mining. 2) is hard to predict but with China cracking down on foreign flows, I don't really see a channel by which we will see anywhere near the growth Syd/Melb has had. There's an apartment oversupply issue in inner-Brisbane which will also keep lid on prices in some areas.

 

Don't get caught up in the short term media blasts of positive/negative predictions.

"Long term" the major capital cities in Oz that have diverse industry mix will do fine.

One measly little interest rate rise is a drop in the ocean.

We will all do alright in the long run

 

ING is raising their variable interest rate from 4.66% to 5.03% (a rather hefty 37 basis points) as of 5th November. I'm guessing this is only for investment loans as they've also changed the "reference rate name" which I interpret as the product name from "Orange Advantage IO" to "Orange Advantage IO for Investors".

 

I think rates will climb even further and the natural thing to happen is for people to be spooked out and slow down in buying. For me Brisbane is a overrated market, land tax and insurances are the killer for that state. People who you invested in Brisbane 5 years ago would have made some nice capital gain but i think its to late to make any decent coin in that area.