Interest rate rise, how to get around your mortgage payment?

Earlier this month the Reserve Bank of Australia lifted the official cash rate by 50 basis points. This is the fourth consecutive rise this year, and the third 50 basis point rise in a row. The RBA says consecutive rate hikes are needed to tackle soaring inflation. How does this interest rate rise affect people who have mortgages? Or the first home buyers?

A man walks past the Reserve Bank of Australia in Sydney on Tuesday, Aug. 2, 2022. Source: AP / Rick Rycroft/AP

Hendra Wijaya is from Richardson and Wrench Real Estate in Sydney. He explains to Sri Dean that for people who experience difficulty in paying their mortgages they can talk to their respective banks to restructure their loan. However, for those who have some savings now is the buyer market.

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