In a surprising twist, Reserve Bank of Australia Governor Michele Bullock purchased a lavish $2 million holiday property on the very day the central bank announced an interest rate hike.
On March 17, Bullock faced the media to reveal the RBA board’s decision to raise the cash rate to 4.1 percent. This increase means that many families could see their monthly mortgage payments rise by about $180 compared to December.
However, while many Australians were coming to terms with the financial impact, Bullock had cause for personal celebration. She had just completed the purchase of a four-bedroom home in the scenic coastal town of Yamba, near Byron Bay, as reported by the Australian Financial Review.
Bullock and her husband, Ian, secured the property for $2.05 million on February 3, with the deal officially closing on March 17.
This acquisition represents the couple’s third investment property in New South Wales.
Public records of Bullock’s financial interests indicate that they also own a primary home in Sydney.
Their new house, which is believed to be mostly for Bullock’s husband, who is from northern NSW, was originally planned to be up for auction in early 2026.
However the home was snapped up by Bullock the day before it went under the hammer.
RBA governor, Michele Bullock, splashed out on a $2 million luxury home on the same day interest rates were hiked by the board
The home boasts a French-imported handmade kitchen sink and a glass-enclosed wine cellar
The property is located in Yamba in northern NSW, close to where A-list celebrities like the Hemsworth brothers own multi-million-dollar properties
Described in its real estate listing as having ‘refined elegance and modern sophistication’, the home boasts a granite stone feature wall, a French-imported handmade kitchen sink basin and a glass-enclosed wine cellar.
‘A home that has been designed for the discerning buyer, this address is a testament to luxurious coastal living,’ the listing continues.
‘From the moment you enter, the grand entryway captivates with its striking feature granite stone wall and a stunning glass-enclosed wine cellar – an artful blend of style and functionality.’
The home also includes an impressive set of features including a butler’s pantry, a bar, a powder room, a BBQ and a pizza oven.
When describing the master bedroom, or the ‘indulgent parent’s retreat’, the listing said the room features an ‘oversized walk-in robe that exudes opulence and practicality, and a well-appointed ensuite, this private haven offers a space to relax, recharge, and revel in the luxury you deserve’.
The ad continues: ‘Having all of this within moments’ walk from the CBD and beachfront is a rarity indeed. Bespoke in design in every possible way, there simply isn’t another home like this one.
‘This is your chance to indulge a little; your dream home has been found, now you simply have to act upon it.’
Bullock received $1.26million in remuneration in her first financial year as RBA governor, which she commenced in September 2023.
Bullock’s home includes an ‘oversized’ walk-in-robe that ‘exudes opulence and practicality’
The RBA’s latest increase, which is the second hike this year, is now compounding the strain already caused by soaring fuel and everyday expenses amid the Middle East war.
Last week’s 0.25 percentage point rate hike will lift the average variable rate for owner-occupiers into the six-per-cent range, reaching an estimated 6.01 per cent.
This is the first time this average has been above five per cent since April 2025.
A competitive rate is likely to sit at 5.75 per cent or less as a result of the hike, while the lowest variable rate is likely to land at or just below 5.50 per cent.
Ahead of the decision, money markets had almost fully priced in two further rate rises in 2026, which would bring the cash rate to 4.6 per cent by Christmas.
The cash rate call is the first non-unanimous decision of the Reserve Bank’s Monetary Policy Board since July last year.
IFM Investors chief economist Alex Joiner said a split vote pointed to tensions within the board between inflation hawks and economic doves.
