Average Victorian buyers face lockout from 16 suburbs if RBA hikes

The average Victorian borrower is facing a $17,000 hit from RBA to their borrowing power this week. Victoria’s average homebuyer will be priced out of some of Melbourne and regional Victoria’s few remaining affordable areas by a Reserve Bank hike on Tuesday. And there could be knock on effects to the state’s coffers as the price of sales, and sales volumes, both take a hit this spring. The RBA is widely expected to announce a 0.25 percentage point increase to the nation’s cash rate, which underpins mortgage costs, on Tuesday. RELATED: Rates nightmare: Experts tip double RBA hike before Christmas One RBA decision can affect home ownership for more than a decade, research finds Top 6 banks panic: Aus’ biggest lenders hike rates before RBA can New analysis of the impacts on the borrowing power of those taking out the state’s $664,000 average loan has found, with a 20 per cent deposit, they would go from being able to afford houses worth up to $797,000, to those worth less than $780,000. That would cost them access to a median-priced house in 16 suburbs and towns, including Heidelberg West, Sunshine West, Cranbourne North, Rosebud and South Morang. But with concerns the nation may be f...