OPINION: RBA rate cut perfect timing for house hunt

I AM on the hunt for my first home - so yesterday's rate cut to a new record low couldn't have come at a better time.

I AM on the hunt for my first home - so yesterday's rate cut to a new record low couldn't have come at a better time.

The Reserve Bank dropped the interest rates to a record low of 1.75 per cent on Tuesday, the first cut in a year.

The better news for home owners is most economists are predicting a second cut before the end of the year.

While some may hold off on buying in tough economic times - my partner and I have got our deposit together and we're waiting for the right property to come our way.

While the market has hit a slump, the property rollercoaster will come back to a high and property prices will climb - they always do.

RELATED: RBA drops rates down to 1.75%

NAB said customers with a $300,000 mortgage would save $47 a month as of May 13.

ANZ said alongside the cut in variable mortgage rates, it would cut two-year fixed mortgage rates for owner-occupeiers to 3.75 per cent, and rates on four-month term deposits would increase from 2 per cent to 3 per cent.

The interest rate cuts mean $47 off the monthly mortgage.

It may not seem like much, but $47 a month off the mortgage equates to $564 a year, and with the cost of living on the rise, every little bit counts.

For me that is almost a year's gym membership right there! 

Amongst all the doom and gloom, I am soon to be a home owner and this is certainly an incentive for me.

Are you a property owner or on the hunt for your first home? What will the interest rate cuts mean for you? 

Join the discussion and tell us below.