RBA tipped to cut interest rates on Melbourne Cup day
Residential property owners are expected to receive more mortgage relief this year, but according to experts, it won't come until next month.
Ahead of today's (October 2) Reserve Bank of Australia (RBA) meeting, mortgage broker company Loan Market believes an interest rate cut is unlikely to be delivered this month.
An in-house survey conducted by the company found that 52 per cent of the 212 broker respondents tipped the RBA will cut the cash rate at its November 6 meeting.
In comparison, just 15 per cent expected the central bank would keep rates on hold for the remainder of the year, and ten per cent said the interest rate was likely to be slashed this month.
Loan Market corporate spokesman Paul Smith said 11 per cent of survey respondents said predicted the RBA will cut rates in December, while 12 per cent forecast two interest rate cuts before Christmas.
"Overall, 85 per cent of our broker respondents are expecting some further relief from the RBA this year," Mr Smith explained.
"The majority are tipping a Melbourne Cup day cut this year and the RBA certainly has form on the board for taking action on the first Tuesday in November."
Mr Smith said any interest rate cut would be welcomed by homeowners - helping boost the sector and reignite confidence in the market.