Higher Mortgage Rates Likely To Prolong The Housing Market Weakness

Over the past few weeks three of the four major banks in Australia have announced that they are going to be increasing variable mortgage rates. While there has been a lot of adjustments to mortgage rates over recent years, the big difference with the latest announcement is that the higher mortgage rates are going to affect owner occupiers. Most of the previous mortgage rate changes announced by the major banks have only affected investors and those with interest only mortgages.