Rich Harvey

But if we look back in history and we look back at 2002 to 2008, during that period of time, there were 22 increases in the standard variable rate for mortgages.

So back in that time, Craig, people were paying 8% to 9% on their mortgages.

But at the same time, property prices more than doubled across most markets in Australia.

So that's a really interesting takeaway that I think people need to know, that we have had times where you have rising interest rates

and potentially some falling.

And then it's going to basically see potentially a very rapid repeat of history and property prices will continue their boom again.

Well, the best thing to do, Craig, is to do the maths.

It's simply, you know, work out what's going to be the actual impact on your weekly budget of each interest rate rise.

So let me give you an example.

Let's say you've got a mortgage of $750,000 outstanding and you're currently paying 2.5% on that mortgage.

Now, if you get an extra 0.25% increase, your repayments per month will increase by $99.

Now, if the interest rate goes up by half a percent, you'll be paying, you know, $198, almost $200.

So let's round it up.

For every quarter percent rise on a 750 loan, you'll be paying $100.

Double that for a 0.5%, you'll be paying $200.

So then look at that in the context of your budget.

Is that a lot of money?

You know, that extra $100, $25 a week, you know, yeah, that's a couple of coffees, that's maybe a lunch out.

But it also is going to get multiplied.

Is