Search: Real interest rate
RBA Glossary definition for Real interest rate
Real interest rate – The real interest rate refers to the cost of borrowing money (i.e. the nominal interest rate) net of inflation. It takes account of the fact that part of the nominal interest that borrowers pay to lenders represents compensation for anticipated inflation. The remaining �real� component better reflects the economic cost of borrowing and the return to lending.
RBA Glossary definition for interest rate
interest rate – The term used to describe the cost of borrowing money or the return to the owner of the funds which are invested or lent out. It is usually expressed as a percent per annum of the amount of money borrowed, lent or invested.
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The Australian Housing Market: Prices, Ownership and Affordability | Submission to the Productivity Commission Inquiry on First Home…
1 Nov 2003
Submissions
Measures of affordability of home ownership have declined since the mid 1990s, with house price increases more than offsetting the impact of lower interest rates on affordability. ... This ratio is still about a percentage point below the peak reached at
https://www.rba.gov.au/publications/submissions/housing-and-housing-finance/inquiry-productivity-commission-on-first-home/prices-ownership-affordability.html
Policy Considerations | Submission to the Productivity Commission Inquiry on First Home Ownership – November 2003 | Housing and Housing…
1 Nov 2003
Submissions
The increases in house prices over this period have more than offset the contribution to affordability arising from lower housing interest rates. ... that are highly leveraged and that own properties where vacancy rates are high.
https://www.rba.gov.au/publications/submissions/housing-and-housing-finance/inquiry-productivity-commission-on-first-home/policy-considerations.html
Abbreviations | Submission to the Financial System Inquiry – March 2014 | Financial Sector | Submissions
1 Mar 2014
Submissions
CMBS. Commercial mortgage-backed securities. COIN. Community of Interest Network. CPA. Certified Public Accountant. ... SSF. Securities settlement facilities. SVRs. Standard variable rates. TIBS. Treasury inflation-linked bonds.
https://www.rba.gov.au/publications/submissions/financial-sector/financial-system-inquiry-2014-03/abbreviations.html
The Role of the Financial Sector | Submission to the Financial System Inquiry – March 2014 | Financial Sector | Submissions
1 Mar 2014
Submissions
market. From day to day, the Reserve Bank's goal is to manage supply to meet the system's demand for cash at the price – the interest rate – set by the ... The spillovers to the real economy from dysfunction or operational failure in the financial
https://www.rba.gov.au/publications/submissions/financial-sector/financial-system-inquiry-2014-03/role-of-financial-sector.html
Sources and Management of Systemic Risk | Submission to the Financial System Inquiry – March 2014 | Financial Sector | Submissions
1 Mar 2014
Submissions
borrowers) include in their approval process an assessment of whether it can be serviced at higher (assumed) interest rates. ... years. If interest rates rise substantially during the term of the fixed-rate loan, households would be exposed to a negative
https://www.rba.gov.au/publications/submissions/financial-sector/financial-system-inquiry-2014-03/sources-and-management-of-systemic-risk.html
Executive Summary | Submission to the Financial System Inquiry – March 2014 | Financial Sector | Submissions
1 Mar 2014
Submissions
The vulnerability of some households to sudden changes in financial conditions, including interest rates, has increased and Australian banks have concentrated exposures to mortgages. ... The vulnerability of some Australian households to sudden changes
https://www.rba.gov.au/publications/submissions/financial-sector/financial-system-inquiry-2014-03/executive-summary.html
The Regulatory Response to the Global Financial Crisis | Submission to the Financial System Inquiry – March 2014 | Financial Sector |…
1 Mar 2014
Submissions
Emerging market economies have a history of using macroprudential tools, often because their exchange rate regime constrains the use of monetary policy (Borio and Shim 2007). ... It is, in any event, in Australia's interests to adopt high standards in
https://www.rba.gov.au/publications/submissions/financial-sector/financial-system-inquiry-2014-03/regulatory-response-to-the-global-financial-crisis.html
Factors Behind the Recent Rise in House Prices | Submission to the Productivity Commission Inquiry on First Home Ownership – November 2003…
1 Nov 2003
Submissions
Another influence on mortgage rates in Australia has been increased competition in the financial sector since deregulation, resulting in a significant compression of mortgage interest margins relative to the cash rate ... The base period of the mid 1980s
https://www.rba.gov.au/publications/submissions/housing-and-housing-finance/inquiry-productivity-commission-on-first-home/factors-behind-recent-rise-in-house-prices.html
Background: Financial System Trends | Submission to the Financial System Inquiry – 6 September 1996 | Financial Sector | Submissions
6 Sep 1996
Submissions
the desire of insurance companies to make use of the banks' more extensive distribution networks, and the banks' interest in improving the earning capacity of these relatively expensive branches. ... Over time, developments in securitisation may see
https://www.rba.gov.au/publications/submissions/financial-sector/financial-system-inquiry-1996/background-financial-system-trends.html
Executive Summary | Submission to the Productivity Commission Inquiry on First Home Ownership – November 2003 | Housing and Housing Finance …
1 Nov 2003
Submissions
This structural reduction in nominal interest rates has been principally a result of the transition to low inflation. ... Mortgage interest rates have been relatively stable at a low rate now for the past half-dozen years.
https://www.rba.gov.au/publications/submissions/housing-and-housing-finance/inquiry-productivity-commission-on-first-home/executive-summary.html