Why the RBA Is Keeping Interest Rates on Hold
The Reserve Bank has chosen to keep interest rates steady because the economy is still finding its balance. Prices for goods and services are slowly easing, but not enough yet for the RBA to feel confident that inflation is fully under control. By holding steady, the Bank is giving the economy time to adjust after a few years of higher rates. In simple terms, the RBA is being cautious. Lowering rates too quickly could cause prices to rise again, while increasing them could make things harder for households
What This Means for Buyers
For anyone looking to buy a home, this decision means stability. Your borrowing capacity won’t suddenly change, and lenders are likely to keep their current rates for now. That gives you time to plan your finances, get pre-approval sorted, and make confident decisions.
Buyers shouldn’t expect big rate cuts in the short term, so the key message is to budget based on “today’s rates, not tomorrow’s hopes”. If you find a property that fits your lifestyle and repayments, it might be smarter to act while the market is steady rather than waiting for conditions that may never come.
What This Means for Sellers
For sellers, a stable interest rate environment helps keep buyer confidence in the market. When people know rates aren’t going up again soon, they feel more comfortable committing to a purchase. This can support steady enquiry levels and more consistent open-home activity.
However, sellers should also remain realistic. With rates still relatively high compared to a few years ago, buyers remain price-conscious. Homes that present well and are priced in line with comparable recent sales will attract stronger interest and faster results.
The Takeaway
The RBA’s decision to keep interest rates on hold is about maintaining balance—protecting the economy from both runaway inflation and financial strain. For the property market, it means a period of calm and consistency. Buyers can plan with confidence, and sellers can list knowing demand will remain steady. It’s not a market of boom or bust—it’s one of steady opportunity for well-prepared buyers and realistic sellers alike.