There are just two meetings left—November and December—before the year concludes, during which the main cash rate target has already dropped from 4.35 percent to the current rate of 3.6 percent.

Experts are split on whether the central bank will cut rates again before Christmas, with a fairly stable labor market and high inflation providing reasons for the RBA to proceed cautiously.

In its monetary statement today, the RBA board stated it was closely monitoring Australia’s domestic market and the ongoing geopolitical turmoil influenced by tariffs, while Governor Michele Bullock noted that next month’s quarterly inflation figures will be vital.

“The board sees the risks as broadly balanced and it remains data-driven,” she said.

“By the next meeting in November, we’ll have more data on the labour market and inflation data for the September quarter.

“We’ll also have some more forward-looking indicators, including from liaison and an updated set of forecasts.”

Although Treasurer Jim Chalmers remarked that today’s decision would disappoint Australians with a mortgage, Bullock delivered a much bleaker message for those desiring but unable to afford their first home.

“We’re in a very difficult position with the property market,” she said.

“And I don’t think that most reasonable people think that this is a good outcome.”

She stated that the primary factor driving up property prices is the chronic undersupply of housing—not interest rates—and that governments are finally beginning to tackle that issue.

But she said it’s years away from starting to improve.

“It’s going to be slow to work its way through, it’s going to take time… I’m not confident it’s going to make any impact in the next two years,” she said.

Sally Tindall, data insights director at Canstar, said most are taking these savings and re-injecting them into the loan.

“That’s a decent chunk of money that is already making a difference to household budgets,” she said.

“It’s astounding to see that so many eligible borrowers aren’t pocketing this relief into their bank account but rather, reinvesting it into their mortgage instead.

“By keeping their repayments unchanged, they’re effectively turning each RBA cut into an extra mortgage repayment, which, if kept up for the remainder of their loan, could see them save thousands.”

Tindall said while the RBA has held steady for this meeting, many borrowersv were unknowingly servicing a loan with a higher interest rate than necessary.

“Borrowers looking to turbo-change the savings even further should consider switching to a lower rate mortgage,” she said.

“Right now, the average owner-occupier on a variable rate is estimated to be paying 5.53 per cent, yet there are more than 30 lenders on Canstar offering at least one variable rate under this mark.

“While the RBA will wait for and act on the data, borrowers don’t have to play this waiting game.”