Interest rates are a big factor in each loan repayment and the total cost over the life of that loan, so staying on top of your current rate, as well as the interest trends across the market, is essential.

 We have seen the Reserve Bank increase the cash rate nine times in the last 12 months, totalling a rise of 3.25% in base rates. If you have not checked your rate lately you need to!

We all start a new year with hopes and dreams and expectations of the year to come. What happens next? French philosopher Jean-Paul Sartre described life as being “C between B and D” – explained as C being the choices we make between B – birth and D – death. It is those daily choices each of us make that add up to create who we are. Our choices can be our best friend, or our worst enemy, delivering the life we want, or not. For each choice has consequences, for better or for worse.

Sunshine and rainbows are beautiful, but the sunshine will be broken with clouds, and we cannot have the rainbows without the rain. The best Christmas present for your family this year may well be a review of your financial position, and preparations for 2023. In recessions and tough times some will fall, some will thrive. Which camp would you prefer to fall into?

The story:

“Two men are hiking in the woods, and they see a bear. The bear is really mad, so they start running to get away. The first man says, ‘how are we going to outrun this bear?’ and the other guy goes ‘I don’t have to outrun the bear, I just have to outrun you.’ (laughs)

Congratulations to Daryl Borden, David Browne and Nic Berry for all being recognised with the Excellence in Finance – Gold Award 2022.

At a time when home ownership, prices, and mortgage rates are regular leading news stories in the tabloids and at dinner conversations, Integrity Finance Australia is increasingly important in people’s lives. So it is pleasing that the knowledge, ability and success of the Integrity Finance team is recognised not just by clients, but by industry peers.

Challenging real estate market conditions and increasing interest rates can be an opportunity for those in the position to act. We are seeing increased interest from first home buyers, upgraders and investors looking to take advantage of short-term market volatility.

Congratulations to Daryl and David for both being recognised with the Excellence in Finance – Gold Award 2022.

Catch up on this and other news from the Integrity Finance team in our latest newsletter.

As variable rates continue to increase many clients are asking about fixing to protect from continuing rate rises. Sorry to say, that horse has bolted. As an example, 3-year fixed rates are now quoted at major banks as much as 3% higher than variable rates. No one can accurately predict the future, but general opinion is that you will end up paying less interest over that 3-year period by being in the lowest available variable rate loan rather than fixing.

The new financial year is nearly upon us - are you setting a New Year resolution? Now is a perfect time to review your overall financial position, how it has improved / deteriorated over the last 12 months, and how you want it to look in 12 months’ time. This year that is even more relevant.

Interest rates are moving up – but it is not time to panic yet!

As had been expected and predicted, in May the Reserve Bank of Australia (RBA) joined central banks in the US, UK, Europe and Asia and moved our nation into a rising interest rate cycle. Given the last time rates had been increased in Australia was November 2010, this is unfamiliar territory for many borrowers.

Top of mind now is how high will rates go?

With a general expectation interest rates (as set by the Reserve Bank) will rise, many borrowers may be considering the option of fixing all, or part, of their home loan. However, there are various aspects to consider prior to making that decision.

The Morrison Government is expanding the Home Guarantee Scheme to make available up to 50,000 places each year. This includes a new Regional Home Guarantee open to non-first home buyers, enabling even more Australians to achieve their aspirations of owning a home.

The housing market’s strong momentum has carried over into 2022, with more listings, more sales and further growth in property prices.

The number of new property listings on realestate.com.au in February was 13.5% higher than a year ago, and while buyers had more choice, demand per listing still remains around 10% higher than the same time last year.

Time is a funny thing. It can move so fast, or so slow. I remember in my younger days a new year seemed to mean so much more than being a somewhat arbitrary calendar date. As I get older the years seem to roll into each other and January 1st becomes just a date.

But this year feels like it might be different? After 2 years of uncertainty and virus-imposed disruption, perhaps a return to some stability: Life in a ‘new normal’. It has been difficult to set plans. Holidays booked... then cancelled (along with going to dinner, the football, the theatre, and any number of simple pleasures, normally taken for granted). Of course, we all saw the side benefit: Less money spent is more money saved. This has certainly assisted those wanting to buy property.

Read more in our February newsletter here

Merry Christmas and be happy • Got to keep laughing • Some perspective about the market • What makes us happy?

This month’s festive season newsletter can be read here