TSB grabbed headlines in February when it came out with a 10 year fixed rate of 5.89%.
The 'good news' is that mortgage rates will stay low.
With incredibly loose monetary policy implemented around the world we are going through uncertain economic times.
In the Auckland region we have a shortage of properties for sale, high immigration, and money coming in from China. All of these factors along with low interest rates and increased rating valuations will fuel further house price appreciation through the first half of 2015.
It looks like the Auckland property market is going to build up another head of steam in 2015. There is confidence in the air. We got through the election unscathed. However, the main catalyst is the prospect of lower interest rates.
New Zealand banks are amongst the most profitable in the world. Yet, the banking environment is extremely competitive especially when it comes to home loans.
Would you be better fixing for 1 year at 5.60% or fixing for 2 years at 5.80%? That depends on your view on interest rates.
This article contains time sensitive advice about what you need to think about in the next 3 days before the next Reserve Bank OCR change on Thursday 12th April 2014.
The short answer is yes. However as ever something as significant and life-changing should not be acted upon based on one piece of advice without a good degree of supporting facts.
The next Reserve Bank Official Cash Rate (OCR) announcement is on 24th April 2014.
We had a Monty Python moment this week with the first OCR change in almost four years.
I'm an optimistic guy, and even I am uncomfortable with how much we are talking up our NZ economy.