Yong-Long Lai

Here’s a quick update on what the market’s been doing and some implication on the Property Prices In Australia. The AUD/USD has dropped from a high of around ~0.98 early last month to just above 0.88 today. This is based of the growing speculation of a rate drop next month and that the world demand for Australia’s resources will drop.

If this happens, we may see a little surge/stability in Property Prices In Australia in the months following. When I say little surge/stability I mean within the median prices and not specifically your house.

If you have extra cash laying around that is not “working” for you, I feel that this is a good time to put your money in term deposits and lock the rate in at an attractive rate of 8.5% or 8.7% 8.1% – 8.5% (as I write this I noticed the deposit rates have already dropped – in anticipation of the rate drop) before the RBA announce the much expected rate drop.

If you’re thinking of borrowing money for for property or any other stuff (hopefully investment), you may want to consider not fixing your interest rate, but really depends on your personal circumstances, financial goals, risk adversity and your general thought of the direction on Property Prices In Australia.

PS: As you may already know, there’s been heaps of volatility in the market over the past 6 to 12months, so things may change rapidly. i.e. Go make up your own mind what you’re going to do with your own money, I am sharing what I would do in this current market information and what I say may not be suitable for you individual circumstances.

Tags: PropertyPrices In Australia