RBA Interest Rate Hike Looms: Mortgage Holders Face Highest Rates Since 2011
The Reserve Bank of Australia (RBA) is set to raise interest rates to their highest level since 2011, affecting millions of mortgage holders across the country. According to ANZ and other big banks, this move will take the cash rate above its previous hikes in 2022-2023, making it a 15-year high.
Home loan debt has skyrocketed by 138% since 2011, largely due to soaring property prices. APRA's monthly banking statistics show that the total value of residential mortgages rose from $1.05 trillion in 2011 to $2.51 trillion in July 2026. A 0.25 percentage point increase will add $91 to the monthly repayments for a borrower with a $600,000 loan and 25 years remaining.
Canstar data insights director Sally Tindall warned that this move would be another hit for home owners who have seen the impact of previous rate rises. 'The true pain is in the cumulative impact,' she said. 'Across what is likely to be at least four rate rises for the year, this borrower has to fork out an extra $364 a month compared to what they were paying at the start of the year.'