r/AusPropertyChat • u/Finance_With_Piyush Property Enthusiast • 3d ago

Buying & Selling Anyone else stressing about another potential RBA rate hike this November(03/11)?

With inflation still sticking around and the big banks dropping hints, it’s looking more and more likely that the Reserve Bank of Australia (RBA) might lift the cash rate again at their November meeting(03/11)

My budget is already stretched to the absolute limit with the current mortgage repayments, and another 0.25% increase is going to hurt.

  • Are you guys fixing your rates now, or just riding it out?
  • For those renting, have your landlords already started hinting at another increase?
  • What’s the consensus here, do we think they’ll actually pull the trigger, or hold off?

Would love to hear how everyone else is preparing for this.

60 Upvotes

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40

u/Used-History-6454 3d ago

David Pocock was very vocal about this being a terrible way to try to bring down inflation, whatever he’s planning I hope it gets taken seriously and the government pulls other levers and finally gives mortgage holders some relief, because it is bloody ridiculous.

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u/kimmbery 3d ago

That guy is the real deal

5

u/Finance_With_Piyush Property Enthusiast 3d ago

That Bloke is Gem! 💎

2

u/jhooolay-red 14h ago

Sorry to burst your bubble of hope, but David though being extremely logical, he is not gonna be taken seriously. Labor is not gonna give him pleasure of being right. If he really wants to he heard, he should start advocating the exact opposite.

Nobody is gonna bother risk and try another methods to control inflation other then the oldest trick in the book.

1

u/Used-History-6454 13h ago

Labor doesn't have a majority in the Senate, they need to work with the others including David to get their shit through. He has more bargaining power than you think.

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u/jhooolay-red 12h ago

I sincerley hope that what you are saying works.

Otherwise, I have no hopes, neither with labor, nor with libs.

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u/Stunning-Fill-8982 2d ago

I agree it’s a blunt instrument, but has Pocock proposed an alternative?

9

u/Used-History-6454 2d ago

He’s submitting the terms of reference for a senate enquiry to look into alternatives, because he’s knows what he doesn’t know, he’s not an economist or expert on this subject so he will ask the experts. That’s what I like about him, he listens to the opinions of people who actually know these things, and pushes for the answers. He doesn’t just shrug and accept the status quo, he knows it’s unfair.

3

u/yanansawelder 1d ago

The issue with this is the alternatives will be what has already been proposed:

  1. Limiting number of properties people can own. (will directly reduce the cost of property/ rent - the main spending contributor)
  2. Reduction of tax breaks for specific legal entities like discretionary trusts. (will directly reduce the money that rich people spend)
  3. Increase of taxes for high income earners (10m +) (will directly reduce the money that rich people spend)
  4. Subsidies for electricity, child care, etc. (will reduce the money families spend on necessities)
  5. Stronger enforcement of price gouging laws from supermarkets. (will reduce the money families spend on necessities)

Can't really do much about cost of fuel as that's entirely on the US ceasing their war, so you need to focus on bringing down the other costs.

1

u/jhooolay-red 14h ago

Gem!

But do you really really think that govt can tax the rich?

They have never. They never will.

0

u/yanansawelder 10h ago

Oh of course not, which is why I think it's a waste of time/ political grandstanding lol

0

u/ztrayacnt 1d ago

Yeah I can ask to get a house for free from the tax payer. Will I get it? Probably not, because it’s
a bloody stupid question.
Pocock can ask what he likes, it’s a free world to ask, but what change can he actually drive? Farken none.

Pocock is nothing when it comes to global influences that are driving inflation in Australia.

Prove me wrong.

1

u/Doovies 1d ago

Bond Buy Backs, banking credits, forward modelling... the RBA has many levers to pull from. The only one that works overnight is bank lending, and the cash rate. Which in such volatile time we live in is likely the only one that will work.

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u/ztrayacnt 1d ago

David Pocock is a bloody big mouth.
What options did he provide as an alternative? Tax the gas giants more? That’s all he’s got.

I can’t imagine he has a mortgage either.
Give me a god damn break farken.

3

u/flashi007 1d ago

He’s a very intelligent and considered bloke. Former elite athlete. Clearly working for the best interests of the people. 

-1

u/ztrayacnt 1d ago

Yes - athlete is the key word here. He don’t know shite about running an economy.
If he is working for the best interests for the people, he would be presenting his best ideas as alternatives to what he criticises. At the moment - he aint got NOTHIN’.
Prove me wrong cob.

3

u/flashi007 1d ago

Do you think athletes are dumb? The bloke has a higher degree and you think he’s an idiot because he captained the wallabies? He’s well spoken and has very reasonable ideas. In this instance he’s looking to ask economists about other ways control inflation outside of rate rises. Isn’t that the best for all people? Finding out if there’s another way so families don’t continue to suffer

0

u/ztrayacnt 1d ago

Plenty of athletes are thick as bricks, yes.

Yeah we can all ask questions, especially asking different people to do different things for us. Yeah, and, what will it solve? What power does he have? What influence does he have over the reserve bank? What influence does he have on the global energy markets?

Bloody nada all-round.

Nobody outside of the rugby world, let alone outside of Australia gives a shit what his background is, he is now a politician that can do bugger all "for the people".

Give me a farken break.

2

u/Used-History-6454 1d ago

Jesus what crawled up your arse today? Instead of pretending he’s an expert on everything, he goes and finds the experts, asks the right questions, then pushes for those solutions, that’s what intelligent people do, instead of having huge egos pretending they know everything. I can write slower if you have trouble understanding, let me know.

2

u/ztrayacnt 1d ago

So what has he actually done for society to date since he became a politician?
You’re still whinging about how "tough" things are at the moment, right?
He’s done utterly fark all except open his mouth pretending to be there for the people.

Prove me wrong.

1

u/UpbeatDimension4634 7h ago

Plenty of politicians have less in their credentials than Pocock. Pauline Hanson - Fish and Chip shop and career politician 21 y.o. labor senator in SA knows nothing Barnaby Joyce - got no idea Jacinta price - got no idea Pocock is at least trying something, at least backs what the experts suggest rather than just being stuck in some lobbyists pocket

1

u/ztrayacnt 7h ago

And this is how democracy works. It was the "people" that voted these people into power.
The "people" are the suckers that buy into their hopes and dreams advertisements and then vote ‘em in and keep them in.

Look at what the democracies of USA and UK got them……It’s like the entire AUKUS triad is a political shitshow.

Tell me I’m wrong. Or would you prefer a one-party communist state like North Korea? Not sure how pretty it is to be living there at the moment, people can’t get enough food for their table or children, and if they complain, their kids wont see their parents for a veeeeery long time.

😎😎😎😎

2

u/flashi007 1d ago

I’ll just refuse to engage in a battle of wits against an unarmed comrade. 

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u/ztrayacnt 1d ago

You can’t handle hearing the truth, which is backed up with facts.

You’re there with all your hopes and dreams that Pocock will be there bringing inflation down to 2%, and petrol prices back to a dollar a litre because he has the balls to ask "the hard questions". Lol.

Prove me wrong. What’s his track record? Farken zero.

2

u/snowyoz 17h ago

Look, I'd concede he seems like a decent bloke, reasonably thoughtful and intelligent, asking some decent questions on the status quo.

But... I'd also agree, that asking questions doesn't put food on the table. I welcome his challenges to the norm, but yea, I haven't heard any solutions either. I get it sounds a bit like he's just "kumbayah" but I welcome the challenge.

I just hate when it's just manufactured outrage with no solutions.

1

u/ztrayacnt 7h ago

Finally, someone who realises that Pocock is all talk, and just providing hopes and dreams instead of helping people keep their roof over their heads, their cars topped up with affordable fuel and most importantly affordable food on the table.

Pocock wont and can’t do nothin. Stop thinking that he is the next messiah for Australian politics - he is nothing, except a former rugby player with multiple investment properties of his own, and no real worries in life. I am 100% certain that he does not have a mortgage either.

Prove me wrong.

-1

u/Comfortable_Owl_1448 17h ago

What was ridiculous was interest rates being near zero and people thinking that was normal. Rates are back to historically average levels now and punters who took out enormous mortgages thinking residential property prices could never fall are being caught with their pants down.

All you had to do was look back to the many other examples of property bubbles around the world to realise that this was no different.

3

u/Used-History-6454 15h ago

Mortgages are not proportionally the same so why should we accept higher interest rates? I agree they shouldn’t be near zero but come on dude.

0

u/Comfortable_Owl_1448 15h ago

It’s not about what you think is acceptable it’s driven by a whole global financial market. What you did is make a choice to buy an asset at an over inflated value and financed the purchase via a variable rate debt, apparently without realising there was a risk that the variable rate could increase in the future. You live and learn

2

u/Used-History-6454 13h ago

Uhh sure man, you don't actually know me or what I did or didn't buy so nice assuming there.

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u/[deleted] 3d ago

[deleted]

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u/ztrayacnt 1d ago

They’re all as useless as each other.