RBA Raises Cash Rate: Impact on Home Loans

0:00I'm Cory with the story, and this is your Pulse of the City, Sydney News today. The Reserve Bank of Australia has raised its cash rate by a quarter of a percentage point to 4.1%. This move targets ongoing inflation pressures and marks another step in tightening monetary policy. Economists largely saw this coming, with inflation already climbing, before tensions in the Middle East disrupted oil markets and pushed prices higher. For anyone on a variable rate home loan, expect your monthly repayments to rise once banks pass on the change, adding to household budgets already. Under strain, you can quickly estimate the impact using an online repayments calculator. Just enter your current loan amount term and interest rate for a clear. Picture of the extra cost each month. Keep in mind, individual lenders choose how much of the hike to apply, and these tools skip fees or other charges, so contact your bank for the precise figure. Reactions are pouring in, with live updates available from news outlets.

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