'The new normal': Higher mortgage repayments will keep hitting home owners in 2022, analyst says

The Reserve Bank's 25-basis point increase is just the first of many on the horizon, and Queensland home owners need to brace for higher home loan repayments over the next 18 months, a leading property analyst has said.Traditionally interest rate hikes have a cooling effect on the housing market, however demand continues to outstrip supply in parts of Queensland

"The median value of a house in Brisbane is about $771,000, so the typical loan size if someone's got a 20 per cent deposit, would be nearly $617,000. "It won't be too long before we see the cash rate normalising, getting back to average levels, or maybe even getting beyond that."Property Council of Australia chief executive Ken Morrison said that traditionally interest rate hikes had a cooling effect on the housing market, however demand continued to outstrip supply in parts of Queensland.

"We're seeing, for example, Brisbane housing values are rising at nearly 6 per cent, quarter-on-quarter, and across regional Queensland, it's about the same rate – it's about 5.8 per cent quarter-on-quarter.

Why is the amount of refunding the individual mortgage fixed foreclosure eternity? Otherwise the bank is very flexible about the refund of the company debt?

2% rate rise will lead to a 10% property valuation drop so effectively anyone coming in new will pay the same amount. Like any market people who have speculated and jumped on the property band wagon at it’s peak to make money will have flat or a drop in capital growth.

. What? Surely the higher rates will disappear at Christmas... sarcasm

Home owners should have been responsible and not over extended, rates were never going to stay low for ever. I don’t know what people are complaining about.

A rise of 0.25% and suddenly there's hundreds of thousands of people in mortgage stress? I only have compassion for those people whose financial circumstances have changed since taking out the loan. No compassion for those that have borrowed more than they can afford.

Everyone knows this already, the good thing is we had no interest rate rises for over a decade let's talk about that ABC. 🤔

Have you figured it out yet? The RBA and the Government serve the rich and powerful. They're not doing it for you! People paying off mortgages take the fall to keep inflation low. 💩🇺🇦🇦🇫 JusticeForRefugees BringThemHere LetThemStay

Interest rates were never going to stay at emergency levels. THAT is completely normal. It's nothing new.

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Newbie homeowners will be hit hardest by the rate hikeMany mortgage holders have built up savings and some breathing space thanks to excess mortgage repayments, but those who entered the property market recently are most vulnerable to higher interest rates. jcollett_money ScottMorrisonMP is already denying any responsibility for todays interestrates spike, blaming Europe, the war in Ukraine and Covid.. so much for “Better economic managers”..auspol AusVotes2022 Elections2022 jcollett_money The foreclosures will begin in a few months. Therein lies the opportunity for rich af ppl like me. Where there is pain there is opportunity. Harsh but true. If not me then someone else so it might as well be me. Don't worry I will be happy to rent them back to them 4 a while. jcollett_money That's what morrison wanted to achieve. He only cares about big business.
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