tmmonline.nz  |   landlords.co.nz        About Good Returns  |  Advertise  |  Contact Us  |  Terms & Conditions  |  RSS Feeds

NZ's Financial Adviser News Centre

GR Logo
Last Article Uploaded: Friday, July 17th, 12:02AM

Mortgages

Mortgage Rates Daily Commentary
Thursday 16 July 2020  Add your comment
ASB moves to single fixed rate card

ASB Bank has moved to a single fixed home loan rate card, charging all borrowers the same interest rates "irrespective of their equity levels": [READ ON]

rss
Latest Headlines

Home affordability holds up

Housing affordability slipped only marginally in the September quarter after showing its worst decline in 7½ years in the previous quarter.

Monday, October 14th 2002, 7:10AM

by Jenny Ruth

Housing affordability slipped only marginally in the September quarter after showing its worst decline in 7½ years in the June quarter, according to the latest AMP Banking/Massey University report.

In the latest quarter, a small rise in mortgage interest rates was offset by a slight drop in interest rates which meant houses nationwide were just 0.1% less affordable than in the June quarter. But houses were 4.4% less affordable in September than a year earlier.

The declines in affordability are modest in the context of the heightened activity in the housing market. The survey notes house sales were up 21.1% in the September quarter and for the year ended September they were up 31%.

"Given the sales activity, one would expect prices to be going through the roof, and certainly some real estate agents would have us believe that is the case," says Graham Crews, senior lecturer in real estate at Massey.

"But the bulk of the middle housing market is stable and what we’re seeing is more a price recovery than a speculative bubble appearing," Crews says. He notes that house prices nationwide rose 5.1% in the last 12 months which "appears relatively modest and is good news for home buyers."

As one would expect, home affordability has fallen most in Auckland, down 0.8% in the September quarter and down 10.1% in the year ended September. The median house price in Auckland rose 10% in the 12 months ended August.

AMP’s head of retail banking Michael Guggenheimer says home loan interest rates are expected to remain stable for the rest of the year, signaling ongoing strength in the market.

Massey prepares this quarterly report for AMP Banking combining data on house prices, mortgage rates and average weekly earnings.

Percentage Change in

Home Affordability

In the last quarter

Percentage Change in Home Affordability

in the last 12 months

Region

Improvement

Decline

Improvement

Decline

Northland

-5.5

-

-

5.9%

Auckland

-

0.8%

-

10.1%

Waikato/Bay of Plenty/ Gisborne

-

2.3%

-

0.5%

Hawke’s Bay

-

1.8%

-

6.5%

Manawatu/Wanganui

-

7.6%

-

6.4%

Taranaki

-

0.5%

-

7.9%

Wellington

-

1.4%

-

1.8%

Nelson/Marlborough/

Kaikoura

-3.1

-

0%

0%

Canterbury/Westland

-

7.2%

-

4.8%

Otago

-

3.5%

-3.3%

-

Southland

-9.5

-

-20.6%

-

New Zealand

-

0.1%

-

4.4%

AMP Banking Home Affordability Survey

« Commission to investigate KiwibankMBA's Tucker warns legislation may be inevitable »

Special Offers

Commenting is closed

 

print

Printable version  

print

Email to a friend
Mortgage Rates Table

Full Rates Table | Compare Rates

Lender Flt 1yr 2yr 3yr
AIA 4.55 ▼2.69 ▼2.69 ▼2.99
AIA Special - 2.69 2.69 2.99
ANZ 4.44 3.15 3.25 3.39
ANZ Special - 2.55 2.69 2.79
ASB Bank 4.45 ▼2.69 ▼2.69 ▼2.99
ASB Bank Special - 2.69 2.69 2.99
Bluestone ▼3.49 ▼3.49 ▼3.49 ▼3.49
BNZ - Classic - ▼2.55 2.69 2.99
BNZ - Mortgage One 5.15 - - -
BNZ - Rapid Repay 4.60 - - -
BNZ - Std, FlyBuys 4.55 3.25 3.29 3.59
Lender Flt 1yr 2yr 3yr
BNZ - TotalMoney 4.55 - - -
China Construction Bank 4.49 4.70 4.80 4.95
China Construction Bank Special - 2.65 2.65 2.80
Credit Union Auckland 5.45 - - -
Credit Union Baywide 5.65 4.75 4.75 -
Credit Union South 5.65 4.75 4.75 -
First Credit Union Special 5.85 3.35 3.85 -
Heartland 3.95 2.89 2.97 3.39
Heartland Bank - Online - - - -
Heretaunga Building Society 4.99 4.35 4.45 -
HSBC Premier 4.49 2.60 2.65 2.80
Lender Flt 1yr 2yr 3yr
HSBC Premier LVR > 80% - - - -
HSBC Special - - - -
ICBC 3.99 2.58 2.68 2.79
Kainga Ora 4.43 3.29 3.39 3.85
Kiwibank 3.40 3.40 3.54 4.00
Kiwibank - Capped - - - -
Kiwibank - Offset 3.40 - - -
Kiwibank Special 3.40 2.65 2.79 3.25
Liberty 5.69 - - -
Nelson Building Society 4.95 3.45 3.49 -
Pepper Essential 4.79 - - -
Lender Flt 1yr 2yr 3yr
Resimac 3.49 3.45 3.39 3.69
SBS Bank 4.54 3.29 3.19 3.49
SBS Bank Special - 2.79 2.69 2.99
The Co-operative Bank - Owner Occ 4.40 2.69 2.75 2.99
The Co-operative Bank - Standard 4.40 3.19 3.25 3.49
TSB Bank 5.34 3.35 3.49 3.79
TSB Special 4.54 2.55 2.69 2.99
Wairarapa Building Society 4.99 3.75 3.99 -
Westpac 4.59 4.15 4.09 4.49
Westpac - Offset 4.59 - - -
Westpac Special - ▼2.55 2.69 2.79
Median 4.55 3.17 3.22 3.12

Last updated: 16 July 2020 2:33pm

Previous News

MORE NEWS»

News Bites
Compare Mortgage Rates
Compare
From
To
For

To graph multiple lenders, hold down Ctrl key while clicking in list box

Also compare rates to OCR
Find a Mortgage Broker

Add your company

Use map
About Us  |  Advertise  |  Contact Us  |  Terms & Conditions  |  Privacy Policy  |  RSS Feeds  |  Letters  |  Archive  |  Toolbox
 
Site by Web Developer and eyelovedesign.com