Low interest rates for a decade: John Symonds' forecast
Aussie Home Loans executive chairman John Symond says low interest rates would ensure the property market stay robust.
"I am expecting low rates for a decade.
" I'm not saying it won't go up, but we won't see 6 to 7 percent interest rates for a decade plus," he told Fairfax Media.
"Mortgages are in a good shape," he said.
"People are still making the same repayment when interest rates were 8 percent.
"The average mortgage holder is two years in front. I'm not saying WA, but the eastern seaboard ... particularly those who have bought property five years ago."
"We took a survey and the net asset value of all the areas where we have loans ...there was a 40 percent equity. In NSW, 50 percent," he said.
Aussie Home Loans has opened its 200th store in Sydney.
He says there is the potential for a 10 to 15 percent price growth in some capital city markets during the next three years as long as employment remained steady.
