03/02/2026
RBA UPDATE | Effective February 4, 2026
At its first meeting of the year, the Reserve Bank of Australia (RBA) was unanimous in lifting the official cash rate by 0.25 basis points, taking the rate to 3.85%.
According to the Australian Bureau of Statistics, household spending rose 1% month on month in November to a record $79.35 billion, seasonally adjusted. This represents a 6.3% annual increase, showing consumers are continuing to spend despite prolonged cost of living pressures. Analysts note that this persistent demand is adding further upward pressure on inflation and contributed to today’s rate hike.
In the property market, a new Hotspotting report has pinpointed ten key regions with strong long term growth potential. Queensland features Inner Brisbane and the Sunshine Coast, while Tasmania’s Greater Hobart and Launceston also rank highly. Victoria’s City of Casey, Greater Geelong, and Latrobe City were highlighted for affordability and expanding populations. In New South Wales, Tamworth, Parramatta, and the Hunter Valley were identified as promising markets supported by infrastructure investment and migration trends.
As borrowers adjust to the latest rate rise, these regions are expected to attract increased attention from homeowners and investors seeking value, stability, and growth potential across 2026.
The RBA’s next meeting is scheduled for Tuesday, March 17.
