We’re hearing it more and more in the news — the Reserve Bank of Australia (RBA) is expected to cut interest rates in its upcoming May meeting, with further cuts projected in the months ahead. But the big question remains:
Will lower interest rates actually help first home buyers and investors get into the market?
Let’s break it down.
How Interest Rate Cuts Affect First Home Buyers
Increased Borrowing Capacity
A cut in interest rates generally means lower mortgage repayments. This allows first home buyers to borrow more money from the bank, potentially making it easier to qualify for a loan and afford a better property.
Sounds great, right? Not so fast.
The Hidden Impact of Rate Cuts on Property Prices
High Demand and Low Supply Still Rule
Even though interest rate cuts increase the borrowing capacity, they also drive more buyers into the market. With Australia’s ongoing property supply shortage, this demand will only push property prices higher.
In other words:
Yes, you can borrow more, but you’ll likely have to pay more, too.
Why Now Is the Best Time for First Home Buyers and Investors
Secure Prices Before They Rise
Right now, you still have the opportunity to:
Lock in current land and build prices
Choose from high-quality homes across Southeast Queensland
Fix your contract price, so it doesn’t increase — even if the market does
Watch the value of your property grow during construction
This is the sweet spot where first home buyers and investors can benefit before the next property price surge kicks in.
Don’t Wait for the Market to Rise
Take action today. Waiting for interest rate cuts might cost you more in the long run if property prices jump.
👉 Check out the available house and land packages attached.
📞 Give me a call now, or send an email with what you’re looking for.
Let’s find the perfect property for you.