The Reserve Bank held the OCR at 1.50% today but cited “….weaker global economic outlook and the risk of ongoing subdued domestic growth, a lower OCR may be needed over time to continue to meet our objectives.”
The Reserve Bank has today cut the OCR from 1.75% to 1.50% citing “continuing house price softness in some areas” which means in Auckland.
It seems unlikely that the 4 main Banks will pass on the full 0.25% cut to their floating interest rate borrowers.
Utilising its global muscle HSBC is offering 3.69% fixed for 2 years for new borrowers seeking to borrow $500k +.
The 3.95% one year fixed rates available through the 4 large Banks lasted 3 weeks.
In the space of 4 days this week all Four Banks have unsurprisingly reached the same conclusion that they could no longer offer that rate.
This week see’s ANZ and Westpac out with 1 year fixed interest rates of 3.95%.
Nothing like having a go at poaching anothers customers due to slower lending growth as a result of the Banks more restrictive lending policies.
ANZ has trimmed Fixed Home Loan Rates today.
For the under 80%’ers
1 year fixed to 4.19%
2 years fixed to 4.35%
3 years fixed to 4.49%
The Reserve Bank has today kept the OCR @ 1.75%.
Of interest was the lengthening of the period that it could remain at this low level. “”We expect to keep the OCR at this level through 2019 and into 2020″”
Swap rates, the drivers of fixed interest rates, have declined today as a result.
The Reserve Bank has held the Official Cash Rate today @ 1.75%.
They noted they are ready to raise or lower the rate if required.
For those under the majical 80% mark.
1 year up .09 to 4.39%
18 months up .10% to 4.49%
Looks like we have dropped a cylinder and lost a year of posts. 🙁