Mortgages · August 2026

Three RBA hikes in 2026 have added hundreds monthly to variable-rate mortgages

Developing story — facts still moving. Check Reuters or ABC News for the latest.

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Probably worth doing something about

Directly and materially affects every Australian holding a variable-rate home loan, which is the majority of mortgage holders. A fourth hike on 11 August would increase repayments further.

In a nutshell: The RBA has raised the cash rate three times in 2026, with the most recent move taking the rate to 4.35%. The Board cited Middle East energy shocks and persistent capacity pressures. Governor Bullock’s 28 July speech signalled a hawkish stance ahead of the 10–11 August meeting. The AUD sits at USD 0.7030. Underlying inflation is not forecast to return to the 2–3% band until mid-2027.

Spin Unspin

What they’re saying

The Board frames current settings as appropriate; it reserves the right to move again without committing to either direction.

Bullock is explicitly warning that easing too soon carries a higher long-term cost — a message directed as much at market expectations as at households.

Cash rate figure from official RBA media release. Rate path and inflation forecast sourced directly from RBA Board statement and Bullock speech.

Statement by the Monetary Policy Board: Monetary Policy Decision | Media Releases | RBA

Monetary Policy in an Era of Shocks | Speeches | RBA

Do I care?

Contact your lender or broker before 11 August to model a 25bp rise and assess whether partial fixing makes sense for your budget.

If your variable rate is uncomfortable at 4.35%, it is worth modelling 4.60% before the 11 August decision.

Was this relevant?

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