RBA Cash Rate Tracker
The RBA held the cash rate at 4.35% in June 2026, pausing after three consecutive hikes earlier this year. The next cash rate decision will be announced on 11 August 2026.
Historical Rate Trend
RBA Cash Rate Target over time
Previous RBA Cash Rate Target4.35%
Everything you need to know about the RBA cash rate changes
From how decisions are made to what they mean for your mortgage—updated after every RBA meeting.
- The RBA hiked the cash rate at its June 2026 meeting. The current cash rate is 4.35%.
- The RBA uses the cash rate to manage inflation within its 2–3% target, and reviews it eight times a year.
- A 25 basis point hike can increase monthly repayments by around $100 on a $600,000 variable loan.
- The next decision is due on 11 August 2026.
24 Jun 2026
Why did the RBA hold the cash rate in June?
The Reserve Bank of Australia kept the cash rate at 4.35% at its June meeting. The decision was unanimous—the board held while it assesses how the three 2026 rate rises are flowing through the economy.
The RBA held for two main reasons:
- Inflation is still too high, but moving: Headline inflation sat at 4.2% in April, down from the 4.6% peak recorded in the March quarter, but still well above the RBA's 2–3% target range. The board wants more evidence that the decline is sustained before acting again.
- Uncertainty remains: The board flagged ongoing risks from global oil prices and services inflation. The board remains focused on ensuring that inflation does not become embedded once the impulse from higher oil prices has passed through.
Where is the RBA cash rate headed in 2026?
The latest inflation figures, released in June, have made the next RBA decision even harder to predict.
On the surface, the numbers look encouraging. Annual headline inflation slowed from 4.2% to 4.0%, coming in below market expectations. That suggests some of the recent price pressures are easing.
But that's not the figure the RBA focuses on most.
The more important measure, trimmed mean inflation, which strips out volatile price movements, rose from 3.4% to 3.6%. Not only is that still above the RBA's 2-3% target range, it was also higher than economists had expected. This leaves the possibility of another rate hike on the table, leading to further mortgage pain for borrowers.
The RBA has already raised rates three times in 2026 before pausing at 4.35% earlier this month. At the same time, consumer spending is weakening, confidence remains subdued and parts of the housing market are showing signs of slowing. Yet inflation is still proving difficult to bring back within target.
That's why we think the most likely takeaway from today's data is not that a rate rise is coming, or that a rate cut is around the corner.
It's that uncertainty remains high.
For borrowers, the better question may not be where the RBA is headed next, but whether your mortgage is still competitive today. Regular mortgage check-ups can help you spot and fix a leak in your finances, rather than relying on predictions about future rate movements.
How much will you pay after the RBA cash rate decision?
Ask Bheja, your AI mortgage copilot, how the latest RBA cash rate decisions affect your home loan. Enter your loan details to instantly see the impact on your repayments.
Example questions to ask Bheja, your AI mortgage assistant:
- Show the impact of a 0.25% interest rate hike on a $870,000 home loan with a term of 30 years, and an interest rate of 5.74%.
- Show the impact of a 0.50% interest rate hike on a $870,000 home loan with a term of 30 years, and an interest rate of 5.74%.
- Show the impact of a 0.75% interest rate hike on a $870,000 home loan with a term of 30 years, and an interest rate of 5.74%.
What the RBA is watching right now
The RBA monitors several key economic indicators when setting the cash rate, including inflation (both headline and core), GDP growth, unemployment, home prices, and wage growth. Of these, inflation carries the most weight. The RBA's primary mandate is to keep it within the 2–3% target band.
Economic Snapshot
The direction is better, but inflation is still above target...
The recent lift from 3.3% to 3.6% shows price pressure is no...
The economy is still growing, but only just. That’s well bel...
Joblessness is basically flat over the past year, so the lab...
House prices are climbing steadily, and the gap from a year ...
Pay rises are still solid, but they have eased from last yea...
Has your bank moved?
Following each RBA decision, Bheja AI tracks which lenders raised or cut rates and by how much, updated in real time.
Enter your loan details to see how the current cash rate affects your monthly repayments.
11 banks raised rates on 281 products in the last 30 days
| Bank | Max Hike | Products |
|---|---|---|
| Bank of Sydney | +0.50% | 1 |
| Westpac | +0.25% | 4 |
| AMP - My AMP | +0.20% | 17 |
Want to learn more?
The RBA cash rate affects more than just your mortgage rate. These guides break down how decisions are made, what the data means, and how lenders are responding, so you can make sense of each move as it happens.
Explore RBA Cash Rate
How It Works
Learn how the RBA sets rates and how changes flow through to your mortgage
Economic Indicators
Key data the RBA monitors including inflation, unemployment, and GDP
Bank Responses
Track which lenders have raised or cut rates in response to RBA decisions
Impact Calculator
Calculate how rate changes affect your monthly repayments
Rate History
Complete history of RBA decisions from 1990 to today
How does the market look right now?
With rates rising, the gap between the big four banks and smaller lenders has widened. These figures reflect live data across 7,215 home loan products, updated throughout the day. The snapshot shows the average variable and fixed rates across the market, the single best available rate right now, and a ranked list of the most competitive lenders by their lowest advertised rate, so you can see at a glance where your rate sits. You can also compare rates across loan types, variable versus fixed, owner-occupied versus investment, and principal and interest versus interest only.
Home Loan Market Snapshot
Real-time insights from thousands of Australian home loan products
Updated: 16 July 2026, 02:57 pm
Average Variable Rate
6.86%
Owner Occupied P&I
Average Fixed Rate
6.82%
3-year fixed
Best Available Rate
5.64%
Variable • Owner Occupied
Total Products
7,445
Available in market
Most Competitive Lenders
Big 4 Banks Average
6.91%
Market Average
6.83%
Online Lenders Average
6.49%
Unloan
4 products
From
5.89%
Avg
6.12%
Fire Service Credit Union
5 products
From
5.89%
Avg
6.17%
Up
6 products
From
5.95%
Avg
6.31%
Family First
17 products
From
5.75%
Avg
6.35%
First Option Bank
24 products
From
5.99%
Avg
6.36%
Rate Comparison by Category
Variable vs Fixed
2,599 products
4,846 products
Owner Occupied vs Investment
3,728 products
3,717 products
Principal & Interest vs Interest Only
4,275 products
3,170 products
Market Features Overview
Products with Offset Account
Products with Cashback Offers
Average Cashback Amount
Products with No Fees
(No monthly, annual, or ongoing fees)
Data sourced from 7,445 home loan products
Analysis based on products supporting minimum $300K loan amounts over 25-year terms
How’s your rate holding up?
Interest rates move. Your home loan should, too.
Instead of guessing what to do after every RBA rate change, perform a quick Home Loan Health Check and see if your current deal still makes sense.
Ask Bheja to:
- Check if you’re overpaying on your current rate
- Compare your loan with the latest RBA cash rate impact
- Estimate potential savings from refinancing
- Discover if fixing or splitting could improve flexibility
It only takes a minute to find out if your home loan is still working for you.
How the RBA cash rate affects your mortgage interest rate?
The cash rate is the interest rate that banks and other financial institutions pay to borrow money from each other overnight. You can also think of it as the wholesale cost of money.
When the RBA changes the cash rate, lenders may adjust their home loan interest rates in response. However, banks are not required to pass on the full increase or decrease. Each lender makes its own decision based on factors such as funding costs, competition and business strategy.
For borrowers on variable-rate home loans, any changes are typically announced within days of an RBA decision and usually take effect within one to two weeks.
As a homeowner, it's important to pay attention to communications from your lender. If your interest rate changes, check when the new rate will take effect and how it may impact your repayments.
More importantly, don't assume your rate remains competitive just because the RBA hasn't moved, or because your lender has passed on a rate cut. Regularly reviewing your mortgage can help you understand how your rate compares with the wider market and whether there may be better options available.
What the RBA cash rate means for savers?
The RBA cash rate doesn't just affect borrowers, it can also influence the interest rates paid on savings accounts and term deposits.
When the RBA increases the cash rate, banks may increase rates on savings products, allowing savers to earn more interest on their money. Conversely, when the RBA cuts the cash rate, savings rates may also fall, reducing the returns available on cash held in the bank.
However, banks are not required to pass on RBA changes in full. Some institutions may increase or decrease savings rates by less than the cash rate move, while others may adjust only selected products.
If you're relying on interest income or building up savings for a home deposit, it's worth reviewing your savings account regularly. The difference between a market-leading savings rate and a below-average one can add up over time, particularly on larger balances.
As with home loans, loyalty doesn't always pay. Comparing savings products periodically can help ensure your money is working as hard as possible.
What the RBA cash rate means for the housing market?
The RBA cash rate can influence housing demand, borrowing power and property prices, but it is only one of many factors that shape the market.
When interest rates fall, borrowing generally becomes more affordable. This can increase buyers' borrowing capacity and encourage more people to enter the market, which may support property prices. Lower rates can also improve confidence among existing homeowners and investors.
When interest rates rise, the opposite can occur. Higher borrowing costs can reduce purchasing power, make repayments more expensive and slow buyer demand. In some markets, this can place downward pressure on property prices or moderate price growth.
However, the housing market is influenced by much more than interest rates. Housing supply, population growth, employment levels, government policies and consumer confidence all play an important role. As a result, changes in the cash rate do not always lead to immediate or predictable movements in property prices.
For home buyers and homeowners, it's important to look beyond the latest RBA decision and consider the broader market conditions when making property and borrowing decisions.
What are the big 4 banks predicting about RBA's next move?
The big four banks are split on what comes next.
- ANZ: Expects the cash rate to remain at 4.35% for the rest of 2026, with cuts forecast in 2027.
- Commonwealth Bank (CBA): Expects the cash rate to remain at 4.35% for the rest of 2026, with cuts forecast in 2027.
- NAB: Expects the cash rate to remain at 4.35% for the rest of 2026, with cuts forecast in 2027.
- Westpac: Forecasts two additional rate hikes in August and September, taking the cash rate to 4.85%.
For borrowers on variable rates, another hike means higher repayments within weeks. For anyone coming off a fixed rate, the number they revert to could be well above what they locked in.
Frequently Asked Questions (FAQs)
The current RBA cash rate is 4.35%. It was set at the May 2026 meeting and held at the June 2026 meeting. The RBA reviews the cash rate eight times a year.
Pravin Mahajan
Founder @ Bheja.ai | Mortgage Broker | Ex-CTO RateCity & CIMET
Pravin Mahajan is the Founder of Bheja.ai and an accredited Mortgage Broker (Credit Rep. 570637). Based in Sydney, he sits at the unique intersection of financial regulation and enterprise technology.
With over 30 years of experience, Pravin has architected the consumer platforms that millions of Australians rely on for daily financial and purchasing decisions. His career is defined by building high-scale systems that simplify complex choices:
- RateCity (Acquired by Canstar): As Chief Product & Technology Officer, Pravin led the tech transformation that culminated in the company's acquisition. He orchestrated "Australia’s First Home Loan Sale," a digital initiative that reached over 12 million people.
- CIMET: As CPTO, he built enterprise-grade infrastructure for energy and broadband comparison, scaling operations to support major B2B partners.
- Salmat (Lasoo): He architected digital catalogue systems used by 5.7 million monthly users, digitising the retail experience for brands like Target and Myer.
- Woolworths: Designed the real-time, secure "Pay at Pump" transaction infrastructure deployed Australia-wide.
Today, at Bheja.ai, Pravin combines this deep technical background with his Certificate IV in Finance and Mortgage Broking to build AI agents that don't just compare loans, but help Australians actively secure their financial future.
Mahendra Duddempudi
CTO & Head of Research
Mahendra Duddempudi is the CTO, Founder, and Head of Research at Bheja.ai. With 15+ years in software architecture, data engineering, and analytics, he combines technology and research to simplify complex topics in property, home loans, and finance. His work focuses on using AI, natural language search, and data-driven insights to make financial decisions clearer and more accessible for Australians.
