Back to Blog

𝗡𝗮𝘃𝗶𝗴𝗮𝘁𝗶𝗻𝗴 𝗨𝗻𝗰𝗲𝗿𝘁𝗮𝗶𝗻𝘁𝘆 𝗮𝘀 𝗮 𝗕𝗼𝗿𝗿𝗼𝘄𝗲𝗿 🦜

〽️ In times of heightened uncertainty, it's crucial to adapt. Here are some key takeaways following the 9 April OCR announcement:⏭️ Fixed Mortgage Rates: Opting for medium to long-term fixed mortgage rates can provide stability by eliminating volatility in cash flows, allowing you to focus on other financial impacts.⏭️ Market Instability: The election of Trump introduced significant risk, affecting equities and causing market adjustments. This heightened risk is expected to persist t...

📉 𝗢𝗖𝗥 𝗻𝗼𝘄 𝟯.𝟱% - 𝗙𝘂𝗿𝘁𝗵𝗲𝗿 𝗿𝗲𝗱𝘂𝗰𝘁𝗶𝗼𝗻 𝗶𝗻 𝗢𝗖𝗥 𝗮𝗽𝗽𝗿𝗼𝗽𝗿𝗶𝗮𝘁𝗲 🦜

🏦 The RBNZ Monetary Policy Committee has cut the OCR by 25 basis points to 3.5% as of 9 April 2025.💱 Inflation is stable, but weak household spending and global trade barriers pose risks.👥 The Committee is ready to adjust further if needed.Get in touch with Kea Mortgages for your next mortgage re-fix....

March 2025 Market Update 🦜

🚦 The NZ Valocity House Price Index rose 1.5% since its 2024 trough with a national average house price of $969,939 as at March.💡 Lower mortgage rates have shifted the market's volume and direction, fostering optimism in Q1 2025. Lower rates being directly correlated to OCR declines from 5.5% in August 2024 to 3.75% today.🏔️ South Island: lower volume and lower price regions e.g. West Coast saw the strongest growth, while Queenstown & Canterbury also performed well compared to the...

January 2025 Market Update🦜

Interest Rate TrendThe Reserve Bank of New Zealand (RBNZ) in November 24 reduced the Official Cash Rate (OCR) by 0.50%, bringing it down to 4.25%. This reduction is part of a series of cuts aimed at stabilizing the economy. As a result, mortgage rates have also decreased, with Banks offering a competitive 6-month fixed rate at 5.99% and a 12-month fixed rate at 5.75%. These lower rates are expected to boost borrowing and stimulate the property market.CoreLogic NZ Property InsightsProperty values...

Merry Christmas!

...

Good news for Borrowers

Good News for Borrowers: OCR Cut to 4.25%!On November 27, the Reserve Bank of New Zealand (RBNZ) cut the Official Cash Rate (OCR) to 4.25%, down from 4.75%. This marks a significant reduction of 1.25% since August 2024, bringing it down from the peak of 5.50% it held for over a year.What Does This Mean for You?Competitive Rates: Major banks now have a 6-month fixed rate at 5.99%.12-Month Fixed Rates: Currently offered at 5.79%, this is another strong option with minimal difference from the 6-mon...

27 November OCR Drops 0.5%

The Official Cash Rate (OCR) dropped another 0.5% today, with further reductions hinted. This shift will open new doors for prospective homeowners and investors as bank test rates fall and borrowing capacity increases 💵🏡...

October OCR Cut. What happened?

OCR Cut: The Reserve Bank of New Zealand (RBNZ) cut the Official Cash Rate (OCR) by 50 basis points (0.5%) to 4.75%.Policy Statement: The RBNZ’s decision was data-dependent, with the next review scheduled for November 27.Economic Conditions: Domestic economic activity is weak, with increasing excess capacity leading to lower inflationary pressure.Inflation Outlook: Annual consumer price inflation is expected to fall within the RBNZ’s target range, with a significant drop anticipated in the u...

How to Access KiwiSaver for 1st Home Purchase

...

Cash Out Clause Explained

...

Reserve Bank Policy Statement Summary 22 May 2024

Chapter 1: there was agreement on 22 May to keep a tight hold on the economy with the OCR remaining at 5.50% to get inflation back on track, considering different economic growth rates worldwide and the ongoing high cost of living in New Zealand.Chapter 2: New Zealand’s economy is under strain from high borrowing costs, leading to less spending and slower economic growth than desired. Cost of living may still rise due to global issues and a falling New Zealand dollar. Chapter 3: Worldwide ec...

Shifts in the NZ Housing Market: Demand Drops and Prices Cool Amid Rising Economic Challenges

Nationwide Demand Decline: Searches per listing on realestate.co.nz are down by 10.4%, and engagement per listing decreased by 7.5% year-on-year.Slight Price Reduction: CoreLogic reports a 0.1% dip in NZ house prices in April, with the average value now at $933,633.Economic Pressures: High interest rates, increasing living costs, and recessionary pressures contribute to reduced consumer confidence and demand.Mortgage Renewals: Approximately 59% of mortgages (by value) are due for renewal within ...

Talking Points on Property: New Zealand's 2024 Tax Law Changes

The Taxation (Annual Rates for 2023-24, Multinational Tax, and Remedial Matters) legislation passed Thursday, March 28, 2024, officially becoming law.Key features of the amendments that impact property investment included:Repeal of existing Bright-Line tests: The current 10-year and 5-year (new build) test will be replaced by a new 2-year test.The change will come into effect on or after 1 July 2024​ with property transactions completed after this date likely to fall under the new 2-year brigh...

New Zealand's Housing Landscape: April 2024 Highlights Revealed!

New Zealand’s residential real estate market is worth a combined $1.63 trillion.There was a 1.1% increase in average property values across NZ in the three (3) months to March 2024. Average values increased 0.1% in the year to March, the first positive figure since September 2022 (2.8%).Wellington and Dunedin were the strongest performing main centres increasing 1.6% in the first quarter.March sales volumes increased for the 11th consecutive month and were 9% higher than the same month in...

Major Shifts in NZ's Rental Landscape: Key Updates for Landlords and Tenants

The New Zealand Government is amending the Residential Tenancies Act to attract landlords back to the rental market by:Re-introducing 90-day 'no cause' evictions for periodic tenancies.Adjusting landlords' notice periods to 42-days under specific conditions and tenants' notice period to 21-days.Allowing landlords to end fixed-term tenancies at term without a specific reason.These changes aim to increase rental property supply, reduce rent pressure, and contribute to resolving the housing crisis....