Brokers say rate will hold today but rise in 2017

by Madelin Tomelty06 Dec 2016
A survey by online mortgage marketplace HashChing has found that around 90% of brokers predict the RBA will hold rates today while 64% feel rates will increase one or more times in 2017. The poll was conducted over the company's broker database.
The results of Hashching's survey are found below:
  • 89.47% of brokers believe that RBA will keep the rate on hold in December
  • 34.92% of brokers believe that rates will increase once in 2017
  • 28.57% of brokers believe that rates will increase multiple times in 2017
  • 79.37% brokers believe that the big four banks will make out of cycle rate increases in 2017
  • 68.25% believe that the "Trump Effect" will have an impact on interest rates in 2017
"It's clear that market sentiment is starting to shift," HashChing CEO Mandeep Sodhi said. "General market buoyancy and continued sector strength are creating an environment where multiple rate rises in 2017 are now being predicted."
"The continued strength and relative optimism of the local share market off the back of the Trump victory in the US will have a flow on effect to the Australian housing market. I would encourage all borrowers to continue to seek better deals and not to adopt a 'set and forget' mentality with their current home loan providers. If rates are going up, it's important that all consumers ensure their lenders are not taking them for granted."