With Anzac Day and May Day done the weather has taken a nice turn up here in the Top End. Here are recent updates:
Serviceability Buffer reduction
Two of our non-major banks have lowered the buffer rate from 3% to 2% which will open up lending to some borrowers who are not getting loans approved due to serviceability.
More information on serviceability here: https://arafin.com.au/serviceability
First Home Guarantee changes to come in July 1 2023
Among the main changes are:
- an expansion to incorporate permanent residents into the guarantee schemes
- broadened eligibility criteria for joint applications
- an expansion to allow more single guardians use the Family Guarantee, and
- a change that enables those who have previously owned properties to join the scheme.
You can read more here: https://arafin.com.au/what-first-home-guarantee
Interest Rates, where to now?
After ten increases and one pause, today the RBA increased interest rates by .25%. The cash rate target is now 3.85%.
Cashbacks – up to $4,000
Cashbacks are based on the loan type, loan amount and loan to valuation ratio. Here is a list of some of the Cashbacks available May 2023. https://arafin.com.au/cashbacks
Property values and other statistics
Darwin property values have decreased by over 1% during the last month. Houses are doing better than units. According to CoreLogic the last 12 months show Darwin property values as almost breakeven. This result out performs all the East Coast capital cities. Darwin is the cheapest capital to buy property in. Darwin and the wider NT are leading the pack on gross rental yields.
Bring on the Dry! Please don’t hesitate to contact me should you have an enquiry.