Cash Rate - What's The Equivalent to Interest Rate

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  TheMindsetTraveller on 02/02/2023 - 11:09

  At a 4.1% cash rate, the ballpark rate you will be paying at that time is around 6.5%.

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  Seraphin7 on 02/02/2023 - 11:10

  I assume you mean variable rate home loans?

  Given the current cash rate is 3.1%, the best estimate will be your current rate plus 1%.

  Of course, there is competition and a thousand other factors that may affect the actual rate you are paying, but you won't get a better estimate than that, all else being equal.

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  orangetrain on 02/02/2023 - 11:15

  +2

  https://www.housingdata.gov.au/visualisation/financial-marke…

  You can try to infer this from past data here

  • 

    iDroid on 02/02/2023 - 11:23

    +2

    So at a quick guess, something like 2.5 - 5% above the cash rate, so 6.6 - 9.1%.

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  Ghost47 on 02/02/2023 - 11:16

  +11

  The safest thing you can do now is really just get rid of all discretionary purchases, e.g. subscription services, memberships, credit card fees, eating out etc.

  With your non-discretionary items, only buy things on sale, switch to cheaper brands, use less and buy things less often.

  That way when the rate rises come you’ll be used to a new lifestyle and will also have more money at hand to handle rate increases.

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  kiwiyonip on 02/02/2023 - 11:17

  okay, thanks guys

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  tsunamisurfer on 02/02/2023 - 11:59

  -2

  When when the rate was at 1.9% you should have been repaying the mortgage above the minimum at 7% anyway.

  • 

    Donaldhump on 02/02/2023 - 12:27

    ??????????????????????

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  El-Rhi on 02/02/2023 - 12:04

  Just add 1% to what it is now