The Reserve Bank of Australia has kept interest rates on hold at its May 2018 board meeting, according to the Real Estate Institute of NSW.
REINSW President Leanne Pilkington said the fundamentals have remained relatively static, meaning the RBA has no impetus to adjust interest rates at this time.
“There’s a strong argument to leave the cash rate unchanged for the foreseeable future,” Ms Pilkington said.
“Given the downward slide in property prices, the marked drop in investor lending and other macro challenges to the economy – especially when the banks cannot be trusted not to hike rates independently, there is no need for the RBA to act.”
The RBA will next meet on Tuesday, 5 June 2018.