Interest rates officially on the move again following holiday break

Man carrying one end of a teal green couch, with the other person hidden behind a wall.

Welcome back to our first interest rates update of 2026!

After a quiet period over the Christmas break, we’ve started to see a little bit of movement in interest rates again over the last couple of weeks.

ANZ rounded out the year with a series of hikes across a number of its longer-term fixed rates, and we’ve now had the rest of the big five lenders—with the exception of BNZ, which is still holding out slightly lower—follow suit.

The best one-year rate in market is still 4.49%, which we’re seeing across all major banks.

In the medium-term space, it’s BNZ leading the pack with a two-year rate of 4.51% and a three-year rate of 4.81%. Longer-term rates are sitting slightly higher, at 5.39% for four years and 5.45% for five.

There was a flurry of refinancing activity towards the back end of last year, with a number of the banks offering a 1.50% cashback offer on new loans in the lead-up to Christmas.

We’re now back to the standard 0.90%, and we’re not expecting to see any of those big deals again any time soon.

In the current environment, it’s always a good idea to have a chat with an expert mortgage adviser who will work with you to find the best strategy for you and your situation, and can answer any questions you may have.

Check back in again next week for the latest New Zealand interest rate news.

Keen for the best rate and some cash too?

We've teamed up with award winning mortgage experts, Squirrel.

With over 1,425 five star reviews on Shopper Approved, Squirrel has helped thousands of Kiwis just like you secure the best possible rate when refixing or refinancing. Squirrel often beats the advertised rates so it's worth getting them to review your mortgage.

shopper approved logofive star revews
R

Ryan

New Zealand

five star revews

The service I got from Squirrel was extremely efficient. They dealt with my loan so easily and achieved a result greater than what I was expecting.

J

Jo

New Zealand

five star revews

Highly recommend Squirrel to sort out a mortgage with the banks takes the hassle out of going to separate banks with so much information they do the hard yards for you - Baz was a superstar and helped me all the way to my new home.

Get a free mortgage review

All fields are required