Smartmove mortgage adviser Michael Letts said the bank is working hard to attract new customers and retain old customers. He said: “Banks have begun to offer attractive rebates, fixed interest rates are very low and very attractive, so naturally there will be a lot of consultation.”
According to data from the Australian Bureau of Statistics (ABS), the number of people who refinanced home loans increased by 11% from March to April, and the value of these loans increased by 50.9% year-on-year to A$7.9 billion in just one month . For new mortgages, the situation is completely different. In April, new mortgage loans fell by 4.8%. Sally Tindall, head of research at comparison site RateCity.com.au, says that power is now in the hands of borrowers. “Australians are increasingly realizing that to save money, they have to refinance. Although mortgage interest rates are already at record lows, we expect this interest rate war to be more intense.”
UBS and Commonwealth Bank (CBA) both forecast house prices to fall by 5% to 10% this year. Another important factor in the further decline in housing prices is the closure of international borders. Reduced net migration and insufficient demand will further reduce housing prices. But as the epidemic curve stabilizes, confidence is recovering, and interest in the real estate market is also growing. Since the March low, visits to realestate.com.au have doubled.
