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Interest rates on hold: welcome news
Released 08 February 2006

REINSW President, Mrs Cristine Castle, today welcomed the Reserve Bank of Australia’s decision to leave interest rates on hold as good news for first home buyers, current home owners and investors.

“The RBA deserves congratulations for keeping interest rates on hold and bringing stability to the residential housing market,” Mrs Castle said.

“The news was expected, but is welcome just the same.”

Mrs Castle said that the RBA’s decision today to post a cash rate target of 5.5 per cent means that rates have been stable for almost a year providing certainty and confidence in the property sector.

“This is good news for people who buy land, build property and provide housing. It underpins continued employment growth and economic prosperity and it maintains affordability for new home buyers and those of us who already have mortgages.”

“Property investors are cautiously returning to the NSW market and this will only give them further confidence, which is necessary to avoid any future tightening of housing supply.”