Sydney's overheated property market continued to weigh on the Reserve Bank of Australia's decision to hold interest rates steady at the April policy meeting, according to the minutes of that meeting.

The central bank also wanted to see further data to determine the impact of its February cash rate cut, to a record low 2.25 per cent, before easing again.

The minutes, released on Tuesday,  suggest the bank might still be prepared to wait a few months before cutting rates again, saying it would "continue to assess the case for such action at forthcoming meetings".

On housing, it said: "Members remained alert to the possibility that the low levels of interest rates could foster imbalances in the housing market."

However, it said real estate markets were uneven from state to state.

"Although prices continued to rise rapidly in Sydney and, to a lesser extent, Melbourne, trends elsewhere were more varied," the RBA minutes said.

The RBA surprised a range of economists and market-watchers by opting to hold rates this month. Since then, the chances that it will cut again at the May 5 meeting have been pared back from more than 70 per cent to 56 per cent, according to futures pricing.

Cuts still, however, remain on the table, according to governor Glenn Stevens, as unemployment remains high and growth below-trend.

The bank also has an eye on the sluggish pace of global recovery, central bank easing around the world, the slowdown in China and the decline in commodity prices. It also noted that the response of borrowers and savers to changes in interest rates and asset prices was "unusually certain in a world of very low interest rates and high household leverage".

Mr Stevens told delegates to a conference in New York early on Tuesday Australian time that the RBA board remained willing to lower the cash rate further, "should that be helpful in securing sustainable economic growth". He also reiterated his view that the Australia dollar still had some way to fall.

On Thursday it dropped about 0.4 per cent, to US76.90¢, after the release of the April meeting minutes.

JP Morgan's Australian economist Stephen Walters said on Tuesday the RBA was still likely to proceed with a May follow-up cut to its February easing.

With quarterly inflation data due this week expected to show a further slowing in consumer prices,  the bank would be clear to move again, he said.

"The bottom line on the April decision is that officials wanted more time to assess how the economy was tracking and responding to the February rate cut, and saw merit in waiting for the next quarterly inflation data, due [on Wednesday]," he said.

"Officials also may have been influenced by early signs that accommodative policy was working, although the reaction of borrowers and savers to lower interest rates is 'unusually uncertain'," he added.

" All the while, there still is anxiousness about the exuberance in Sydney's housing market, where home auction clearance rates are at record highs, and prices are rising at close to 3 per cent per month!"