Aussie rates will stay steady, and house prices will climb 5% in 2024.

December 04, 2023: Hold your horses, Aussies! The Reserve Bank (RBA) is expected to keep interest rates on hold at 4.35% this week, giving the housing market a breather. But wait to pop the bubbly – a new poll predicts prices could jump 5% next year!

That’s right, after a rollercoaster year, the property market is defying gravity. Even with rates at a 12-year high, homes have bounced back from their 2022 slump, rising 8% so far. And the good times might not be over – economists reckon they’ll tack on another 5% in 2024.

So, what’s the secret sauce? It seems Aussies are still hungry for bricks and mortar. Demand is outstripping supply, keeping a smile on real estate agents’ faces. But remember, this doesn’t mean it’s an easy street. Borrowing just got slightly more expensive, so factor that in before moving.

The RBA might hold fire this week but don’t expect them to nap forever. Inflation is still a Grinch lurking in the shadows, and the bank might need to raise rates again to keep it at bay. So, buckle up – the property ride might get bumpy next year.

At least you’ll have a shiny new house to weather the storm in, right?