Does Nov 23 Interest Rate Rise Equal Rental Increase?

Does Nov 23 Interest Rate rise equal rental increase? | Sunshine Coast Real Estate Agents | Orchard Property Sales and Rentals

At Orchard Property Sales & Rentals, we’ve been getting a lot of questions lately about interest rates and rentals. With the recent rate rise, you may be wondering what impact this may have on rental properties. 

At Orchard Property Sales & Rentals, we specialise in helping Sunshine Coast investment property owners get the most out of their investment properties.

In this update, we will be diving into what happened in the latest rate rise from the RBA, how this may impact property investors and how you can maximise the returns of your rental property with our professional Sunshine Coast property managers.

Australian Nov Rate Rise: What Do You Need To Know?

Recently, the Reserve Bank of Australia raised the cash rate target by 25 basis points to 4.35%. This decision was largely driven by the need to balance inflation and economic stability.

Although the rate rise is really about curbing spending, it can have a flow on effect for the real estate rental market. But how can we expect this to impact rental properties on the Sunshine Coast?

How The Rate Rise Can Impact Rental Properties

The connection between interest rate hikes and rental prices isn’t always straightforward. While higher mortgage costs for property owners could lead to increased rental prices, several factors come into play. 

Market demand, location, and the type of property are just a few elements that can influence rental rates.

However, over the year (so far) we have seen rental prices increase as mortgages become less affordable, specifically for younger people. This makes rentals more competitive, and with a shortage of supply, this drives rental prices up.

Rate Rise | Sunshine Coast Real Estate Agents | Orchard Property Sales and Rentals

Maximise Your Return With Orchard Property Sales & Rentals

Navigating these changes can be complex, but that’s where our expertise as real estate agents comes in. At Orchard Property Sales & Rentals, we have years of experience and in-depth knowledge of the Sunshine Coast real estate and local property market. 

For investment home owners, our property management services can be a game-changer. We handle everything from tenant screening to maintenance, ensuring your investment property remains profitable and well-maintained. 

This comprehensive approach helps in keeping vacancy rates low and maintaining your property’s condition, even amidst market fluctuations​​.

Renters looking for the right property can also benefit from our team’s expertise. We value good renters and strive to match you with properties that fit your needs and budget.

Our goal is to find long-term tenants who care for the properties they live in, creating a win-win situation for both renters and property owners​​.

Contact Nicky or David Orchard Today

Would you like to maximise the returns of your rental property? Choose the Sunshine Coast property managers at Orchard Property Sales & Rentals. We are here to help make your investment hassle-free. 

Contact us today by calling (07) 5475 4500 or contacting us through our website. We look forward to hearing from you.

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