Most mortgaged homeowners won’t see repayments increase if the RBA hikes interest rates this week

The RBA cut interest rates three times last year, but for most customers of three of the four major banks, lower variable rates did not automatically translate to lower home loan repayments. Photograph: Jesse Thompson/Getty Images

A large majority of the 3.3 million mortgaged homeowners will not see their repayments increase should the Reserve Bank hike rates on Tuesday.

Financial markets and most economists expect the RBA will lift its cash rate target from 3.6% to 3.85%, marking the shortest and shallowest rate rise cycle in memory after inflation roared back in the second half of last year.