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The current climate is serving up favourable conditions for legal professionals to get onto the property ladder or expand their portfolios, one brokerage has said.
In mid-February, interest rates were cut for the first time since November 2020, providing much-needed relief to mortgage holders nationwide. Since then, and particularly with the federal election now mere days away, there has been much speculation about whether the Reserve Bank of Australia would make further cuts to ease pressure on Australians.
While the RBA opted to hold the cash rate at 4.1 per cent at the start of this month, conventional wisdom dictates that further cuts are coming this year.
As reported by Lawyers Weekly’s sister brand, The Adviser, lenders have reacted to the release of the minutes from the 1 April meeting, saying that the context of escalating global trade tensions had significantly altered the outlook for monetary policy since the RBA Monetary Policy Board met. To this end, lenders now believe a rate cut is coming in May. Moreover, and as reported by another sister brand, Accounting Times, “benign” jobs market leaves the door open for a rate cut next month.
Globally, the geopolitical climate, spurred in large part by the Trump administration’s implementation of tariffs on countries worldwide, has added new layers of uncertainty and unpredictability in the market. As of the time of filing this story, the White House had just announced a lowering of the tariff rate against China – however, given Trump’s flip-flopping on tariffs since retaking office in January, such a reduction in rates against China may not last.
Against this backdrop, Lawyers Weekly approached Legal Home Loans (LHL) to ask whether now is a good time for lawyers to buy property.
LHL general manager Aylin Unsal outlined that 2025 has thus far served up a quiet property market. The February interest rate cut, she said, “has not had the igniting effect that some expected”.
“There is ongoing uncertainty in the market, with the fallout of the tariffs fuelling expectations of deeper rate cuts and some people waiting to see what happens in the upcoming federal election,” she said.
This, in turn, “makes it a great time to buy”, she proclaimed, “as competition is fairly low, and sellers are adjusting their expectations”.
In terms of borrowing, Unsal went on, lenders are reducing their fixed rates, indicating that they are indeed expecting further RBA cuts soon.
“Currently, fixed rates are lower than variable rates – however, a 50 basis point cut would change this,” she said.
Lawyers should speak to specialist brokers, she stressed, such as those at Legal Home Loans, noting that legal professionals “remain ahead of the market, with professional benefits such as 10 per cent deposits with nil lenders mortgage insurance still very much available”.
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Jerome Doraisamy is the managing editor of Lawyers Weekly and HR Leader. He is also the author of The Wellness Doctrines book series, an admitted solicitor in New South Wales, and a board director of the Minds Count Foundation.
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Jerome Doraisamy
