Newsfeed

RBA Holds Cash Rate at 3.60%

The Reserve Bank of Australia (RBA) has kept the official cash rate unchanged at 3.60%, matching market expectations.

This decision follows August’s 25-basis-point cut and comes as inflation climbed back to a 12-month high in September. The Monetary Policy Board has reinforced its cautious, data-driven approach as stubborn inflation remains a concern.

What the Big Banks Are Saying

• NAB – forecasts the next cut in May 2026

• CBA – still sees the cash rate falling to 3.35% by year-end, but notes this will depend on incoming data

• Westpac – has scaled back near-term expectations, pointing to persistent inflation in services

• ANZ – now expects rates to hold through 2025, unless the labour market weakens

What This Means for Households and Businesses

The RBA’s decision highlights the uncertainty around the path of interest rates. A November cut is not guaranteed and will be highly dependent on inflation, jobs, and consumer data in the coming months.

For homeowners, investors, and businesses, the message is clear: prepare for the possibility of higher-for-longer interest rates. Now is the time to review your mortgage or financing arrangements to ensure they remain competitive and aligned with your financial goals.

Need guidance? The team at S&S Finance is here to help you navigate these changes and explore your options. Reach out to us today to discuss how this decision could impact your home loan or investment strategy.

Home Guarantee Scheme updates

Unlimited Places & Higher Property Price Caps for First Home Buyers – From today, 1 October 2025

From today, 1st October 2025, major changes are coming to the Home Guarantee Scheme, designed to make it easier for Australians to step into the property market with as little as a 5% deposit and without paying Lenders Mortgage Insurance.

What’s Changing?

• Unlimited places – no cap on the number of guarantees available

• No income limits – higher income earners are now eligible

• Higher property price caps – better reflecting current property values

• Simpler access in regional areas – the Regional First Home Buyer Guarantee will be replaced by the First Home Guarantee

• More lender choice – over 30 participating lenders nationwide, including major banks and regional/customer-owned banks

How to Apply

• Check your eligibility

• Review the new property price caps for your area

• Apply through a participating lender or your broker (you can’t apply directly to government)

• If eligible, your lender will submit your application to Housing Australia for assessment and pre-approval

Start your journey to finding a home!

New Property Price Caps

• NSW: $1,500,000 (capital city & regional centre), $800,000 (rest of NSW)

• VIC: $950,000 (capital city & regional centre), $650,000 (rest of VIC)

• QLD: $1,000,000 (capital city & regional centre), $700,000 (rest of QLD)

• WA: $850,000 (capital city), $600,000 (rest of WA)

• SA: $900,000 (capital city), $500,000 (rest of SA)

• TAS: $700,000 (capital city), $550,000 (rest of TAS)

• ACT: $1,000,000

• NT: $600,000

(Regional centres include Illawarra, Newcastle and Lake Macquarie in NSW; Geelong in VIC; Gold Coast and Sunshine Coast in QLD.)

What This Means for Buyers

These changes deliver a significant opportunity for first home buyers who’ve been saving hard but struggling to meet current lending requirements. With no place limits, higher property caps, and more lender options, the path to home ownership will be more accessible than ever.

At S&S Finance, we can help you navigate the Scheme, understand your eligibility, and explore the right loan options to maximise your buying power.