If you’re thinking about buying your first home, you’ve probably asked yourself:
“Are interest rates going up or down?”
It’s one of the biggest questions buyers have — and while no one can predict the future perfectly, we can look at what’s happening right now, what the experts are saying, and what it means for you.
Here’s the simple version.
1. What’s happening with interest rates right now?
Over the past few years, interest rates have been on a rollercoaster — rising quickly, then stabilising, then sitting on pause.
Right now, most experts agree we’re in a period of stability, where:
- Rates may move slightly
- The big increases are behind us
- The market is waiting for clear signs of inflation slowing
That means we’re not seeing rapid jumps anymore — but we’re also not seeing rapid drops just yet.
2. What experts expect next
Most economists (and major banks) are expecting:
- Rates to gradually ease
- Small cuts over time, not big ones
- A more stable lending environment
In other words:
The days of huge rate hikes are over, but big drops aren’t happening overnight either.
Even small reductions can help borrowing power, repayments, and overall confidence for buyers.
3. What this means if you’re planning to buy
If you’re watching rates to time the market, here’s the simplest advice:
✔️ Buying now means you avoid rising property prices — Even when rates settle, property prices tend to move earlier — especially for first-home buyer price points.
✔️ Your repayments today might go down in the future — If rates slowly drop, your repayments may get cheaper over time.
✔️ Waiting for perfect timing usually backfires — In most markets, property prices rise faster than interest rates fall.
The best time to buy is usually when:
- You’re eligible
- You can afford the repayments
- You’re comfortable with the plan
Not when the news says rates might move.
4. What our buyers focus on instead
Most of our buyers don’t try to “pick” interest rates.
They focus on things they can control, like:
- What they can afford right now — We look at their income and lifestyle and work out a repayment that actually feels comfortable.
- Turning rent into repayments — If you’re already paying rent each week, the goal is to turn that into paying off your own home instead of your landlord’s.
- Getting into the market to build equity — The sooner you buy, the sooner you start building equity and avoid paying more later if prices keep rising.
- Using what’s available now — Things like the Home Guarantee Scheme, First Home Owner Grant (for new builds) and our MWC $10k Deposit Boost™ can all help you get in sooner with a smaller deposit.
Rather than waiting for the “perfect” rate, we help buyers understand what’s possible for them right now — and how to make it work safely.
