The RBA met this month for the final time this year and as expected have left rates on hold. This is largely due to the lenders raising rates above the .25% the reserve increase by last month. Rest assured, if the lenders had not done this then the RBA most likely would have raised further so there is some consolation in the fact that either way you would be paying similar rates to what you are now anyway.

The RBA do not meet again until February 2011 so you will get some respite until at least then and based on current key economic factors a rise in February seems unlikely at the current time. However things often change quickly as you well know.

Investment in real estate for owner occupation or investment is a solid strategy but should be well planned and thought out. It will do you no good to find that finances are stretched to breaking if there are some rises next year. As I said, things can change quickly but at the moment I believe that rates are still more likely to rise next year than fall, although all being well those rises should be relatively small.

If I don't speak to you before hand, please have a safe and happy Christmas and a happy new year. I’ll be looking forward to helping you with your finances throughout 2011 and into the future.