Unpacking the Fixed-rate Mortgage Cliff with Pete

The Evolving Landscape of Property Investment: Insights from Pete 

The property market is a dynamic entity, constantly influenced by various factors ranging from economic shifts to societal trends. Recently, Pete shared his observations on the current state of the market. Here’s a deeper dive into his insights and what they could mean for potential investors.


1. The Current State of Property Inquiries

Over the last half-year, Pete has observed an increase in property inquiries. However, a sense of caution prevails among investors. Many are awaiting a clear sign that the interest rate cycle has peaked and isn’t merely in a temporary pause. While properties are available, finding quality stock is challenging, and competition remains fierce.


2. The Fixed Rate Mortgage Cliff

The full implications of the fixed rate mortgage cliff are yet to be seen. Pete suggests that we might be in “the eye of the storm” with a significant volume of fixed rate mortgages set to reset between July and October. Despite the potential challenges, Pete remains optimistic, believing that the most anticipated calamities often don’t manifest as severely as predicted.


3. The Future of Regional Markets

The pandemic saw a boom in regional markets as many sought a change of scenery. However, with changing mortgage rates and the gradual return to offices, there’s a noticeable shift back to cities. Pete highlights areas like Logan, Ipswich, and Mackay, which experienced significant investment during the pandemic. However, he remains bullish on certain regional markets, especially those within a two-hour commute of major cities, such as Newcastle and Geelong.


4. The Potential of Inner-City Apartments

Pete believes that inner-city apartments in cities like Sydney, Melbourne, and Brisbane might offer promising returns in the coming years. With the resumption of immigration and the return of international students, there’s potential for growth in these areas, especially if there’s been an undersupply.



The property market remains a complex landscape, with various factors influencing its trajectory. While challenges exist, opportunities abound for discerning investors. As Pete aptly puts it, if you have the budget and can afford it, certain properties could offer promising returns.

For a more detailed analysis and direct insights from Pete, check out the full article here.