All posts by Jason

Cash Rate Unchanged

The Reserve Bank today left the Official Cash Rate unchanged at 2.25 percent. The housing market was mentioned as has regularly been the case of recent times.

“”There are some indications that house price inflation in Auckland may be picking up. House prices remain at very high levels and additional housing supply is needed. Housing market pressures are building in some other regions””

Keeping a wary eye on what is happening in Australia given that the large lenders here are all Aussie owned it was interesting to note that yesterday Westpac Australia announced it has stopped lending to foreign property buyers and non – residents. The bank also said it was tightening lending requirements on Australian citizens and permanent visa holders who depended on overseas income, reducing the maximum amount it will lend on property to 70 per cent.

Cash Rate Cut to 2.25%

This morning the Reserve Bank updated us with their view of interest rates and the economy which resulted in a cut to the Official Cash Rate to 2.25%. A change in the OCR results in movements in our home loan floating interest rates. As such all of the banks are likely to reduce their floating or variable rates today. Of course for existing customers this reduction will be future dated so the banks can squeeze a few more days on a higher rate out of their customers.

Official Cash Rate unchanged at 2.5 percent

Following the US Fed Announcement this morning the NZ Reserve Bank also kept the benchmark rate on hold.

The growth in Auckland house prices received its customary mention with the warning that it remains a “financial stability risk”.

The possibility of a lower OCR, potentially leading to lower floating home loan rates,  was left out there for further assessment over the coming year.

OCR Cut by 0.25%

Reversing the last of the 4 OCR raises in 2014 the Reserve Bank has cut the Official Cash Rate to 2.50% this morning.

Citing low inflation and a hope that the new Tax and LVR measures on property are easing Auckland house price increases the Bank remains ready to cut again if the data warrants it.

ANZ was the first to pass on the 0.25% in full on its Revolving Credit and Floating interest rates.

Official Cash Rate (OCR) unchanged at 2.75 percent.

The Reserve Bank kicked for touch today and left the Official Cash Rate (OCR) unchanged at 2.75 percent.

Talking to a couple of Real Estate Agents this week the numbers through open homes have fallen significantly this month. Perhaps we are all taking afternoon naps on account of the early starts watching the Rugby. An IRD Number and a NZ Bank Account may have something to do with it also………