Investors eye growth as lower rates open doors to portfolio expansion

In this episode of The Smart Property Investment Show, Phil Tarrant sits down with mortgage expert Eva Loisance from Finni Mortgages to discuss the latest Reserve Bank of Australia rate cut and how it will reshape the property market for investors.

Central Australian banks, including NAB, CBA and ANZ, have announced a 0.25 per cent interest rate cut, potentially saving mortgage holders around $208 to $209 monthly.

Eva noted the cut could boost borrowing capacity by $12,000 to $50,000, allowing buyers to target previously unaffordable properties, though high-income earners may benefit less due to the effects of negative gearing.

While the lower rates offer relief, Phil and Eva cautioned that rising demand could increase property prices, undermining affordability. For investors, the current environment may present an opportunity to grow portfolios and build equity as values increase.

Eva also highlighted refinancing as a key way to unlock further savings, especially for borrowers who haven’t reviewed their loans in over a year. Although the near-term outlook is favourable, Eva said the long-term impact will hinge on future rate movements and broader economic trends. If you like this episode, show your support by rating us or leaving a review on Apple Podcasts and by following Smart Property Investment on social media: Facebook, X (formerly Twitter) and LinkedIn. If you would like to get in touch with our team, email editor@smartpropertyinvestment.com.au for more insights, or hear your voice on the show by recording a question below.