Today's RBA Decision Didn't Shock Us...
Rates remain on hold at 4.35% — but at SW Brokerage, we believe rate cuts could be on the horizon over the next 3–6 months.
With the RBA meeting today and the cash rate remaining at 4.35%, many borrowers are asking the same question:
When will interest rates finally come down?
At SW Brokerage, we believe the bigger question is:
What can you do with your mortgage now to pay it down faster?
While nobody can predict exactly when rates will fall, borrowers don't have to sit around waiting for the RBA's next move.
There are practical steps you can take today to reduce your loan balance, minimise the interest you pay and put yourself in a stronger position when the rate cycle eventually turns.
- Keep Your Repayments Higher When Rates Fall
This could be one of the biggest opportunities when rates eventually start coming down.
If your lender reduces your variable interest rate, you may be tempted to immediately reduce your repayments.
Instead, consider keeping your repayments at their current level.
The difference can go towards paying down your principal faster, potentially reducing the amount of interest you pay over the life of the loan.
A lower rate doesn't have to mean lower repayments. It could mean a faster path to paying off your mortgage.
- Make Additional Repayments Now
You don't need to wait for a rate cut to start reducing your mortgage.
Even relatively small additional repayments can reduce your outstanding principal. With a smaller loan balance, less interest is charged over time.
Want to see how much you could save?
Try our Extra Repayment Calculator: https://swbrokerage.com.au/calculators/extra-repayment
Always check the conditions of your specific loan before making additional repayments. Variable loans generally provide greater flexibility for additional repayments than fixed-rate loans, although this depends on the lender and loan product.
- Consider Fortnightly Repayments
Depending on how your lender calculates repayments, paying half your monthly repayment every fortnight can result in the equivalent of 13 monthly repayments over a year instead of 12.
That additional repayment can help reduce your loan balance faster and potentially save interest over the life of the loan.
It's a simple strategy, but over many years, small changes can add up.
- Make Your Offset Account Work Harder
If your home loan has an offset account, keeping your available cash there can help reduce the balance on which interest is calculated, while still allowing you to access your money when you need it.
Your salary, savings and emergency funds could all help reduce the amount of interest you pay while sitting in your offset.
The key is making your money work harder without locking it away.
- Review the Rate You're Already Paying
An RBA rate hold doesn't mean your current home loan is necessarily competitive.
Your interest rate, loan structure and features should be reviewed regularly to make sure they still suit your circumstances and remain competitive with what's available in the market.
Sometimes the opportunity isn't waiting for the RBA.
It's making sure your current loan is still working for you.
Did You Know SW Brokerage Clients Receive an Automatic Rate Review?
As part of our ongoing service, we regularly review our clients' rates.
If we identify an opportunity to negotiate a better rate with your existing lender, we'll approach the bank on your behalf — at no additional cost to you.
It's one less thing for you to worry about.
- Build Your Financial Buffer
If you've already adjusted to today's higher repayments, consider using this period to strengthen your financial position.
Rather than planning your future budget around an expected rate cut, think about what you could achieve by maintaining your current repayment capacity.
You could:
Build your offset balance Make additional repayments Increase your savings buffer Reduce other debts Prepare for your next financial goal
When rates eventually fall, you'll be in a stronger position to decide what to do with the difference.
Prepare Now for the Next Part of the Rate Cycle
Nobody knows exactly when the RBA will begin reducing rates — or how quickly those reductions will happen.
But you don't need to wait for that decision to take control of your mortgage.
The period while rates are on hold could be an opportunity.
Review your loan. Reduce your principal. Build your offset. Strengthen your financial buffer.
Then, when rates eventually move lower, you can choose how to use the saving rather than simply absorbing it into your everyday spending.
Experience Matters
A home loan is one of the biggest financial commitments you'll make, and the right advice goes well beyond finding a competitive interest rate.
At SW Brokerage, we're here for our clients at every stage — from structuring your loan and navigating approval through to reviewing your lending as your circumstances and the market change.
Be cautious of big promises and quick fixes.
An experienced broker will set realistic expectations, explain your options clearly and help you make informed decisions based on your individual circumstances.
We're good with numbers, but better with people.
Want to know if your home loan is still working for you?
Talk to the SW Brokerage team today.
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