The view from the top: NZ Mortgages

We’ve been anticipating it for a while and now it looks like we’ve arrived at the peak of interest rates – and what will probably be a turning point in the market.

In late May, the Reserve Bank raised the OCR (Official Cash Rate) by 0.25 basis points, a move that came as no surprise to anyone. At the time, they signalled every intention of holding the OCR at that level for the next 12 months. It remains our belief, however, that by the end of 2023, interest rates will be on their way down, albeit gradually.
There is a feeling of change in the air. We are seeing borrowers begin to act in anticipation of interest rates reducing. We’ve particularly noticed a change with property investors. They’ve been very, very quiet over the past 18 months. In the last few weeks, this market has really begun picking up.
Investors and home buyers alike will also take heart in the easing of LVR restrictions that took place on 1 June 2023.
All in all, the market is poised for an upswing, though not as dramatic as we have seen in recent years.
Want to know how these changes will impact you? Contact NZ Mortgages on 0800 100 300 or to find out.


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