Century 21, the largest real estate sales organisation in the world, believes the Reserve Bank's decision to drop the cash rate to 1.5 per cent will increase demand for property leading into a spring selling period where stock levels are lower than expected.
"We may not have the amount of listings on the market this spring that we have seen in previous years and this fact, combined with a new rate cut, could drive activity in the property market over the upcoming season," said Century 21 Australasia Chairman and Owner, Charles Tarbey.
"While record low interest rates may seem like a green light to borrow more at a cheaper rate, people would be wise not to overextend themselves in this environment.
"Refinancing your mortgage and getting ahead on payments may be a prudent use of the RBA's decision and may strengthen your finances moving forward," said Charles Tarbey.
The CoreLogic June Home Value Index results have reported that over 7.5 years from December 2008 to June 2016, combined capital city home values in Australia are now 54.9 per cent higher.
Century 21 encourages potential buyers who are looking to purchase real estate to ensure they have obtained the appropriate professional property and finance advice before doing so.
With over 3,000 offices, Century 21 is the largest real estate sales organisation in the Asia Pacific region, a region vital to Australia's continued economic success.
