Homeowners $565/month better off

Homeowners with an average mortgage of about $300,000 will save about $193 per month or about $2,000 per year as a result of the Reserve Bank's one per cent cut in official interest rates yesterday. Economists predict that further interest rates cuts could save homeowners another $200 per month by early next year. The latest cut means mortgagees are about $565 per month better off than they were in September. Families will also benefit next week from the Rudd government's economic stimulus package which will deliver them $1,000 per child. Motorists are also enjoying lower petrol prices with some city stations charging less than $1 per litre for the first time in many years.

Source: Herald Sun