FunanceFive rate rises in 2026. On the average Australian home loan, repayments are up about $589 a month.
The RBA lifted the cash rate to 4.85% on 3 November, its fifth rise this year. Passed on in full, the November rise adds about $121 a month to the repayments on the average new home loan in Australia ($731,000, ABS), and the year's five rises about $589 a month, or $7,072 a year. The table for four loan sizes, and what the RBA said comes next.
The RBA raised the cash rate on Tuesday, by 25 basis points to 4.85%. It is the fifth rise of 2026, after February, March, May and September, and it takes the year's total to a point and a quarter. The cash rate started the year at 3.60%.
On the average new home loan in Australia, $731,000 (ABS Lending Indicators, June quarter 2026), November on its own adds about $121 a month to the repayment if your lender passes it on in full. All five rises together add about $589 a month, or $7,072 a year.
The decision was not a surprise. Before it, all four major banks expected a rise to 4.85%, after September's CPI came in at 4.3% for the year.
What the RBA said
The vote was not unanimous. Six of the nine Board members voted to raise and three wanted to hold at 4.60%, according to the Board's statement.
The statement's case for moving rests on inflation not coming down fast enough. The Board now expects inflation to stay above 3% for the coming year, and it sees an "increasing risk that higher inflation expectations will become embedded". Global oil supply disruptions are adding to fuel prices.
The November Statement on Monetary Policy, released at the same time, puts the return to target well out. Inflation is not expected to be back inside the 2% to 3% band until late 2027, and higher fuel prices are a large part of why.
The year in five steps
| Decision | Change | Cash rate after |
|---|---|---|
| Start of 2026 | 3.60% | |
| February | +0.25 | 3.85% |
| March | +0.25 | 4.10% |
| May | +0.25 | 4.35% |
| 29 September | +0.25 | 4.60% |
| 3 November | +0.25 | 4.85% |
Sources: RBA cash rate, RBA statement, 3 November.
What it costs, by loan size
Every example on Funance uses the same loan: $731,000, the average new owner-occupier home loan in Australia, from the ABS Lending Indicators for the June quarter 2026. The table puts three other sizes either side of it.
Same method as our table after the fourth rise: a new 30-year principal and interest loan at an illustrative 5.45% in January, 6.45% before Tuesday, and 6.70% now, assuming every rise is passed on in full. Each figure is how much more the monthly (or yearly) repayment is.
| Loan | Extra a month, November rise | Extra a month, all five rises | Extra a year, all five rises |
|---|---|---|---|
| $500,000 | $82 | $403 | $4,837 |
| $731,000 (national average) | $121 | $589 | $7,072 |
| $1,000,000 | $165 | $806 | $9,675 |
| $1,500,000 | $247 | $1,209 | $14,512 |
Illustrative rates, not a market average. Your own rate, balance and remaining term will give different figures, and a loan with fewer years left will move by less.
On the average loan, the monthly repayment has gone from about $4,128 in January to about $4,717 now.
Run this post on your loan
What the November rise costs you
Filled in with the post’s example: the $731,000 average loan. Put in your own.
Repayment now: about $4,717 a month.
When your repayment changes
By Tuesday afternoon, none of the big four had yet announced what it would do with variable rates. After the September rise, all four passed it on in full, with new rates from 9 October, ten days after the decision. If they follow the same pattern, expect announcements this week and higher rates from the middle of November.
When the new repayment first comes out depends on your lender's notice period and your repayment cycle. Your lender's letter or app has the exact amount. Fixed loans do not change until the fixed term ends; what changes is the rate you roll onto.
What comes next
The Board meets again on 7 and 8 December, with the decision at 2:30pm on Tuesday 8 December, the last of the year. A 6 to 3 vote shows the Board is divided, and before this decision some banks were already flagging the risk of a further rise in February.
We are not going to guess the next decision. But a sixth rise is easy to put a number on: another 0.25 would add about $122 a month to the repayment on the same $731,000 loan, taking the year's total to about $711 a month.
Running it on your own loan
Every figure above is for the national average loan at illustrative rates. Yours has its own rate, balance and years left.
- The free mortgage scenario calculator runs a rate change against your own loan, with no account needed.
- The Debts tab (free) holds your actual loan and shows its payoff date at your real rate.
- The What-If Scenarios tab (Pro) puts a rate rise beside your whole budget, not just the loan, so you see what is left over each month before it happens. Pro starts with a 14-day trial.
This post is general information about public RBA decisions and standard loan arithmetic. It does not take into account your objectives, financial situation or needs, and it is not personal financial advice. For your own situation, talk to a mortgage broker or a licensed financial adviser.
Run 4.85% on your own loan. The mortgage calculator takes your balance, rate and years left, and shows the repayment before and after a rate change. Nothing to sign up for.
Frequently asked questions
What did the RBA decide on 3 November 2026?
The Monetary Policy Board raised the cash rate by 25 basis points to 4.85%, its fifth rise of 2026 after February, March, May and September. Six of the nine Board members voted for the rise and three voted to hold.
How much does the November rate rise add to the average Australian mortgage?
The average new owner-occupier home loan in Australia is $731,000 (ABS Lending Indicators, June quarter 2026). As a new 30-year principal and interest loan, moving from 6.45% to 6.70% lifts its monthly repayment from about $4,596 to about $4,717, an extra $121 a month. Across all five rises this year, from an illustrative 5.45% in January, the extra is about $589 a month or $7,072 a year. Your own rate, balance and remaining term will give a different figure.
When is the next RBA decision?
The Board meets on 7 and 8 December 2026, and the decision is announced at 2:30pm on Tuesday 8 December. You can model a further rise against your own loan with the free mortgage scenario calculator.
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