With all the contradicting headlines – I think that it is prudent for one to analyse their own situation and make the call based on their level of comfort and tolerance to their loan repayments increasing. It is also important to shop around for the best deals. 

Fixed loans losing appeal
Friday, April 18, 2008

Homebuyers are turning away from fixed-rate home loans as economists forecast interest rate cuts next year, a mortgage broking group says.Mortgage Choice spokeswoman Kristy Sheppard said borrowers were switching away from fixed interest loans because they were less concerned about rising interest rates and did not expect the Reserve Bank of Australia (RBA) to hike rates again in May.

"Economists have priced the prospect of another cash rate increase as being very remote," she said.But Australian Bureau of Statistics data out this week showed the proportion of fixed rate home loans increased in February by 1.5 percentage points to 23.8 per cent.

The result was above the six-month average of 22 per cent.

Forget interest rate cuts as CPI soars above 4pc
Thursday, April 24, 2008

Homebuyers can forget any thought of an interest rate cut this year after inflation jumped above four per cent – its highest level in nearly seven years.

Worse still, the Reserve Bank of Australia's (RBA's) preferred measures of underlying inflation raced to a fresh 16-year high.

But economists generally believe the RBA will hold off raising interest rates any further for now, although financial markets are pricing in a move for later this year if inflation pressures show no sign of easing.

ANZ profit falls for first time in 10 years
Thursday, April 24, 2008

Big four lender, ANZ Banking Group Ltd, has seen its profit drop for the first time in a decade after suffering a $1 billion loss on bad debts triggered by turbulence in global financial markets.

The seven per cent slide in half-yearly earnings to about $2 billion, comes despite ANZ, Australia's fourth biggest lender, having hiked its interest rates beyond moves in the official cash rate several times this year.

Hi Keo,

A bit cheeky however, you may want to review our website for some of our case studies as buyers agents.

Kind Regards