{"id":5292,"date":"2023-07-27T10:08:50","date_gmt":"2023-07-27T00:08:50","guid":{"rendered":"https:\/\/financialplus.com.au\/?p=5292"},"modified":"2023-07-27T10:08:50","modified_gmt":"2023-07-27T00:08:50","slug":"why-are-fixed-rates-still-rising-and-when-might-they-drop-again","status":"publish","type":"post","link":"https:\/\/financialplus.com.au\/why-are-fixed-rates-still-rising-and-when-might-they-drop-again\/","title":{"rendered":"Why are fixed rates still rising? And when might they drop again?"},"content":{"rendered":"
The past few months have seen interest rates on fixed home loans deliver more ups and downs than a rollercoaster.<\/p>\n As recently as April 2023, a number of lenders were starting to cut their fixed rates.<\/p>\n Fast forward to July, and the major banks \u2013 NAB, Westpac, ANZ and the Commonwealth Bank \u2013 have all upped their fixed rates in the\u00a0past fortnight<\/a>.<\/p>\n Now you won\u2019t find a fixed rate below 6% among the big four banks.<\/p>\n Home owners battling high rates are generally being urged to \u201chang in there\u201d because interest rates are expected to slide down from their current highs over the next 18 months.<\/p>\n Westpac is\u00a0predicting<\/a>\u00a0the Reserve Bank\u2019s cash rate will drop to 3.85% by the end of next year.<\/p>\n Better still, NAB is\u00a0anticipating<\/a>\u00a0the cash rate could dip to 3.10% by late 2024.<\/p>\n Some lenders are stepping up their fixed rates because they believe rates may go higher before they trend lower.<\/p>\n NAB and Westpac are both tipping the cash rate, currently sitting at 4.10%, could go as high as 4.60% by the end of the year.<\/p>\nWith plenty of pundits tipping interest rates will start to fall in the next 12 months, we look at why the big banks are hiking their fixed rates \u2013 and unpack what it means for the rate outlook.<\/strong><\/p>\n
But aren\u2019t interest rates expected to fall?<\/h3>\n
So \u2026 why are fixed rates rising then?<\/h3>\n