Mortgage Rates & Inflation
Thinking about buying a home in Tarneit or Truganina? Perhaps you already own a home in Wyndham, Melton, Hoppers Crossing, or Rockbank? Understanding mortgage rates Melbourne July 2025 is incredibly important right now.
Today, July 16, 2025, brings important financial news. Mortgage rates are changing, and inflation is a key factor. We’re here to explain what this means for you, especially if you live in the Melbourne area.
What’s Happening with Mortgage Rates Today?
Just yesterday, July 15, 2025, we saw shifts in mortgage rates. This happened as inflation in Australia continued to rise for the second month. When inflation goes up, it can put upward pressure on interest rates.
Why does this matter to you? The Reserve Bank of Australia (RBA) closely watches inflation. If inflation stays high, the RBA might consider raising the cash rate. This directly affects your home loan repayments.
The RBA kept the cash rate at 3.85% on July 8th. However, the market always reacts to new information. This means that mortgage rates Melbourne July 2025 can change quickly.
Current Australian Mortgage and Refinance Rates
Finding the right loan means looking at many options. Here are some typical rates you might see. Remember, your exact rate will depend on your situation and chosen lender.
| Program | Indicative Rate (p.a.) | Comparison Rate* (p.a.) |
| Variable Home Loan | From 5.18% | From 5.63% |
| 1-Year Fixed Rate | From 4.99% | From 5.35% |
| 3-Year Fixed Rate | From 4.74% | From 5.58% |
Important Note: These are example rates from our lending partners. All rates and fees are indicative only and are subject to change. They may not be your exact rate. Your personal rate depends on your unique needs. For a clear picture, contact EZ Mortgage Broker for a personalised rate quote today! You can also learn more by visiting our Terms and Conditions or Privacy Policy.
Compare Lenders: We Make it Easy for You
At EZ Mortgage Broker, we work with many Australian lenders. This gives you a wide choice, not just what one bank offers. We help local residents across Melbourne and its fast-growing western suburbs like Tarneit, Truganina, Wyndham, Melton, Hoppers Crossing, and Rockbank find the best loan.
We make finding a mortgage simple and clear:
- Easy Home Loans: We help you find a loan that fits your life. This is great for first-time buyers or experienced investors.
- Personalised Help: We listen to your financial goals and then find solutions just for you.
- Refinance Options: Discover how refinancing your existing loan could save you thousands.
- Use Your Home Equity: Learn how to use the value in your home for cash or new investments.
Understanding Your Home Loan Choices
- Variable Rate Home Loan: The interest rate can go up or down with the market. If the RBA cuts rates, your repayments might drop. This loan often offers flexibility, like making extra repayments without penalty.
- Fixed Rate Home Loan (e.g., 1 to 5 years): Your interest rate stays the same for a set time. This means your repayments are predictable, which helps greatly with budgeting. However, you won’t benefit if mortgage rates in Melbourne July 2025 fall during your fixed term.
- Adjustable-Rate Mortgage (ARM): In Australia, this is often a fixed rate for a few years, then it switches to a variable rate. These loans can start with lower rates but change later. They might be good if you plan to sell or refinance soon after the initial fixed period.
What Drives Mortgage Rates in Australia?
The main factor affecting Australian mortgage rates is the RBA’s cash rate. Here’s what the RBA considers when making decisions:
- Inflation: If prices rise too fast (inflation), the RBA might increase the cash rate.
- Jobs Market: A strong job market with higher wages can also push up inflation.
- Economy’s Health: The RBA always looks at how well the Australian economy is doing overall.
- Global Events: Things happening around the world, like trade tensions, can also affect our local rates. You can find more details on the RBA’s decisions on their official website: www.rba.gov.au.
Expert Forecasts for Australian Mortgage Rates
The RBA kept rates steady in July. However, many major Australian banks and economists expect the RBA to cut the cash rate again soon. The next RBA meeting on August 12, 2025, is certainly one to watch closely.
Here’s a general idea of what some major banks are forecasting for the RBA cash rate into 2025 and 2026:
| Forecaster | Outlook for RBA Cash Rate by Year-End 2025 | Outlook for RBA Cash Rate by Mid-2026 |
| CBA | Further cuts, possibly to 3.35% | Stable around 3.1% |
| Westpac | Cuts to 3.35% | Possibly lower to 2.85% |
| NAB | Cuts to 3.1% | Stable around 3.1% |
| ANZ | Cuts to 3.35% | Possible further cuts |
Note: These are summaries of forecasts and can change. The RBA makes decisions based on the latest data available.
Time to Make a Move? We Find Your Right Mortgage!
With mortgage rates Melbourne July 2025 always shifting, getting the right advice is absolutely vital. Whether you’re a first-time buyer in Tarneit, looking to refinance in Truganina, or investing across Melbourne, we are your trusted local experts.
At EZ Mortgage Broker, we make sense of the complex market. We compare loans from many lenders. This ensures you secure the best mortgage rates Melbourne July 2025 for your financial goals. We help people just like you in Wyndham, Melton, Hoppers Crossing, and Rockbank every single day.
Don’t leave your mortgage to chance. Contact EZ Mortgage Broker today for a free, no-obligation chat!
Current Mortgage Rates Methodology (EZ Mortgage Broker): We get our daily rates from a trusted network of Australian lenders. The rates you see are examples for typical borrowers. We show a range to give you a good idea of what’s available in the market.
