What Happens if the RBA 50bp Rate Hike?
If the RBA decides on a 50 basis point (0.50%) hike, the cash rate would move from 3.85% to 4.35%. Here's what that means for mortgage repayments.
Current cash rate
3.85%
Rate after 50bp rate hike
4.35%
+50bp
Mortgage repayment impact
Based on a 30-year principal & interest loan with 2.5% bank margin above the cash rate.
| Loan size | Current | After 50bp rate hike | Change |
|---|---|---|---|
| $300,000 | $1,867/mo | $1,966/mo | +$99/mo |
| $500,000 | $3,111/mo | $3,276/mo | +$165/mo |
| $750,000 | $4,667/mo | $4,914/mo | +$248/mo |
| $1,000,000 | $6,222/mo | $6,553/mo | +$330/mo |
Which meetings price a 50bp rate hike?
| Meeting | Probability |
|---|---|
| May 2026 | 9% |
| June 2026 | 2% |
| August 2026 | 3% |
| September 2026 | 1% |
| November 2026 | 2% |