At its November meeting today, the Reserve Bank of Australia (RBA) decided to leave the official cash rate unchanged at 3.60%, marking the third straight hold since August.

The decision follows a hotter-than-expected inflation result for the September quarter, which showed prices rising 3.2% annually, up from 2.1% in June. 

That result pushed the pause button on any near-term hopes for another rate cut, with the RBA saying it remains cautious about easing too quickly. 

What the RBA Said

In its post-meeting statement, the Board acknowledged that inflation has fallen substantially since its peak in 2022.

The RBA acknowledged that Trimmed mean inflation was “materially higher than expected”, however:

“The Board’s judgement is that some of the increase in underlying inflation in the September quarter was due to temporary factors. The central forecast in the November Statement on Monetary Policy, which is based on a technical assumption of one more rate cut in 2026, has underlying inflation rising above 3 per cent in coming quarters before settling at 2.6 per cent in 2027.”

Where the Big Banks Stand

All four major banks were expecting the RBA to hold steady today and they’ve been proven right.

Bank	November Prediction	Next Move
CBA	Hold (3.60%)	No further cuts this cycle
Westpac	Hold (3.60%)	Under review after higher-than-expected inflation
NAB	Hold (3.60%)	Cut in May 2026
ANZ	Hold (3.60%)	One more cut, not before February 2026

The biggest shift in expectations came from the Commonwealth Bank, which officially scrapped its forecast for any further rate cuts, citing stronger-than-expected consumer spending and housing activity.

The bank’s leading economists expect the cash rate to remain at 3.6 per cent for the foreseeable future, signalling that the RBA may be done cutting this cycle.

Belinda Allen, CBA’s Head of Australian Economics told ABC News that recent data show a stronger-than-expected rebound in spending and housing demand.

“The cyclical upswing has occurred larger and faster than expected,” she explained. “This will see the RBA conclude that the economy needs the cash rate to remain in slightly restrictive territory.”

In simple terms, households are spending more again, and that extra demand is keeping inflation higher than the RBA would like. 

As a result, Australia’s biggest bank now believes the RBA will pause rate cuts indefinitely.

CBA had previously tipped one final reduction in early 2026, which would have brought the cash rate down to 3.35 per cent. But with stronger consumer spending and rising prices, that forecast has now been abandoned.

For borrowers, it’s a sign that rates may have bottomed out for this cycle, and that any further mortgage relief could still be some time away.

What It Means for Borrowers

While many mortgage holders may have been hoping for another rate cut before Christmas, today’s hold means most variable-rate borrowers will see no change to their repayments following the November decision by the RBA board.

However, after three rate cuts earlier this year, in February, May, and August, borrowers who’ve had the rate cuts passed on in full by their lender are still paying significantly less than they were at the start of 2025.

That said, not all lenders pass on rate cuts automatically or in full. Some delay adjustments for existing customers, while others apply changes only to new loans.

If you’re not sure whether your lender has applied the previous cuts, now is the time to check. Contact your local YBR mortgage broker to get the ball rolling.

Repayment Snapshot

The RBA held the cash rate steady at 3.6% today, but Borrowers continue to benefit from this year’s earlier cuts.

According to Mozo’s latest analysis, the average borrower with a $660,000 home loan could save around $100 a month (or $1,195 per year) after the August rate cut alone. That’s based on an interest rate falling from 6.10% to 5.85% per annum.

Here’s how the average borrower’s repayments would have decreased following the most recent rate cut: 

State	Loan Amount	Current Monthly Repayments	New Monthly Repayments	Monthly Difference	Annual Difference
Nationally	$660,000	$4,192	$4,092	–$100	–$1,195
NSW	$795,000	$5,050	$4,930	–$120	–$1,440
VIC	$628,000	$3,989	$3,894	–$95	–$1,137
QLD	$641,000	$4,071	$3,975	–$97	–$1,161
SA	$591,000	$3,754	$3,665	–$89	–$1,070
WA	$594,000	$3,773	$3,683	–$90	–$1,076
TAS	$487,000	$3,093	$3,020	–$73	–$882
NT	$488,000	$3,100	$3,026	–$74	–$884
ACT	$616,000	$3,913	$3,820	–$93	–$1,115

Property Prices Continue to Rise

Australia’s housing market has gathered pace again, with values rising at the fastest rate in more than two years, according to Cotality’s Home Value Index.

National home values increased 1.1 per cent in October, led by Perth (1.9 %), Brisbane (1.8%) and Adelaide (1.4%).

Cotality research director Tim Lawless said the February rate cut marked the turning point for the housing market.

“Before the February rate cut, housing conditions were losing momentum, even recording flat to falling values through late 2024 and January 2025,” Lawless said. 

“The first rate cut in February marked a clear turning point, with home values moving through a positive inflection across most regions and gathering steam since then.”

With three rate cuts delivered so far this year, Lawless highlighted improved borrowing capacity and “supply falling well short of demand” have been the key drivers of renewed competition in the property market.

The Bigger Picture 

Even if the RBA is pausing, you don’t have to.

This is the perfect time to:

• Review your current loan and check if your lender has passed on all cuts in full.
• Compare your rate with other providers in the market. Competition among lenders remain strong, and you could find a better, more suitable deal.
• Speak with your local Y Home Loans expert for personalised support to ensure you’re getting the most from your home loan.

Whether rates move or stay steady, it pays to have someone in your corner.