The RBA's decision to raise the cash rate by 0.25 per cent has been labelled unnecessary by a real estate industry executive.
According to Ray White Group chairman Brian White, the RBA's decision to raise interest rates by a quarter of a per cent failed to acknowledge the impact recent rate hike speculation has had on housing market interest.
"The anticipation alone of a rate rise has already had a significant impact on the residential property sector, with buyer interest restrained," Mr White said.
"The first spring property results reflect the impact of the expectations home-buyers had around rates, and it appears the RBA have not picked up on the corollary of this."
A decline in buyer confidence was reflected by Ray White's September quarter results - 10,677 properties were settled down ten per cent on the same period last year.
"Buyer expectation that higher rates are just around the corner has resulted in a similar home-buyer response to an actual rate rise," Mr White said.
One of Australia’s most innovative agencies has reported s... More >>
Governments could take a silent share in property purchases ... More >>
Strange but true: a sinful singer wants to buy a Los Angeles... More >>
Encouraging retirees to downsize and even move to regional c... More >>
Global property group Savills has acquired a prominent Sydne... More >>
Recommended for You
The RBA’s policy-setting board will meet next Tuesday to determine the interest rate benchmark, however, economists are tip... More >>
Real estate franchise Ray White has launched a development marketing arm that will help improve residential development sales... More >>
The number of owner-occupied housing commitments increased 2.9 per cent in May, statistics from ABS’ Housing Finance report... More >>
Major banks are likely to increase their variable home mortgage rates regardless of any movement in official rates by the Res... More >>