Finally some movement with interest rates!
Listen in on this free audio podcast by using the player embedded into this page or read the transcript below:

"Hello and welcome to 2015. What a great surprise today with the Reserve Bank giving us a welcom interest rate decrease of 0.25%. That's going to reduce the average mortgage by the cost of somewhere between $80 and $150 depending on the size of your mortgage. I guess two months ago that was widely unexpected but the data and statistics that are coming through of late have really pointed towards a reduction.

The Reserve Bank made a very clear comment about the growth in Australia and there's commentary around that. They're worried about unemployment. I think that might rise beyond what they're expectations were and, I guess, so for all of us with a mortgage that still has a job and is maybe looking to invest, it's really good news. Our borrowing costs have come down again.

I guess the other thing that'll come down and where we might see some action will be in the fixed rates. Our recommendation is that at the minute don't fix. Let's just wait, sit on the side lines and let's have a look at what might happen over the coming couple of months.

Widely reported or expected is that we might get another rate decrease in March and if not, probably in April. It's now over to the banks to see what they will throw up in terms of their decreases. Whether they give us 0.25% or they give us a little bit more or whether they give us little bit less. I guess, that's the thing to watch.

It would be widely expected in a very competitive marketplace that everyone will at least reduce rates by 0.25%. Some lenders as soon as today have come out and announced so. I guess, wait and see but I expect that all will follow suit and drop by 0.25%. Enjoy the lower borrowing costs and if there's anything we can do to help you here, of course, give us a call. We'd be happy to review your portfolio, your rates and see if we can assist in any other ways.

All the best for now!"