The Reserve Bank of Australia has opted to maintain interest rates, leaving many Australian mortgage holders without relief. This decision, announced during the RBA’s monthly board meeting on Tuesday, adds to the burden on households grappling with rising mortgage payments amid an ongoing cost of living crisis.

The cash rate remains at 4.35%. While most economists anticipated this decision, there is a growing expectation that a rate cut could occur soon, with many forecasting a reduction in February due to decreasing interest rates abroad and slowing inflation.

Predictions suggest that a much-anticipated interest rate drop could lead to an average increase of nearly $15,000 in property prices in certain cities within the first month following the cut. Sydney and Melbourne are expected to experience the most significant effects, while markets in Perth and Darwin are likely to see minimal changes.