Central banks are going to keep interest rates low
There are three central banks whose comments and policies are of high importance to interest rate movements and prospects in New Zealand. Most important is our own Reserve Bank, the United States Federal Reserve Board, and the Reserve Bank of Australia.
Is Heartland Bank's new rate too good to be true?
Heartland bank has taken the first stride by dropping their one-year fixed mortgage rate to 1.99%, putting them in the lead. The next lowest one-year rate is 2.49% currently offered by SBS which the other main banks are more than likely to match.
Will 11% Mortgage Rates Return?
Over the June quarter of this year the average interest rate paid by someone with a mortgage was 4.2%. This was down from 4.9% one year ago, 7.1% ten years ago, 8.8% 20 years ago, and 15.6% almost 30 years ago. Could we see those high numbers again?
House prices expected to rise
For those that have recently become homeowners, it will be important that house prices don’t drop. Many people have purchased using a low deposit and if house values drop, these purchasers could find themselves in an adverse equity position.