RBA Rate Hike Looms: Mortgage Holders Face Highest Interest Rates Since 2011
Mortgage holders in Australia are bracing for the highest interest rates since 2011 as the Reserve Bank of Australia prepares to deliver its decision at its September meeting. The big four banks, including ANZ, are tipping a rate rise on Tuesday, with some predicting further increases when the RBA meets again in November.
The cash rate could reach a 15-year high if the RBA decides to raise it by 0.25 percentage points. This would add $91 to the monthly repayments for borrowers with a $600,000 loan and 25 years remaining at the start of this year's hikes.
Home loan debt has risen by 138% since 2011, primarily due to soaring property prices. The total value of residential mortgages was $1.05 trillion in 2011 and $2.51 trillion in July 2026, according to APRA monthly banking statistics.
Sally Tindall, Canstar data insights director, warned that owner-occupiers who have let their loan sit on autopilot for years are likely to be on a rate that's over 7% after the next rate hike.