Reserve Bank drives home buyers back into their caves

The net number of advisers that are seeing more first home buyers in the market has “fallen back into negative territory for the first time since July. There is “less enquiry again after another round of interest rate increases”. The most recent mortgage data from the Reserve Bank certainly supports these views. The Reserve Bank’s latest Statement on Monetary Policy also flagged further rate hikes in 2023, alongside a recession and a 20% peak-to-trough fall in house prices. Why purchase now when their own central bank has tipped further rate hikes, a recession and more heavy price falls?