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: Wednesday, August 12th, 10:30AM

Mortgages

Mortgage Rates Daily Commentary
Tuesday 11 August 2020  Add your comment
Kainga Ora rate cuts; Greens propose further tenancy reforms

Kainga Ora has slashed one, two, three, and five year rates this morning. Its one year rate is available at 2.93%. See the latest rates here.

Meanwhile, the Green Party does not believe recent tenancy reforms went far enough. It has proposed new rules on its election campaign. 

 

rss
Latest Headlines

High-risk borrowers running into problems

Borrowers who have missed payments or who are considered high risk for other reasons are increasingly likely to be turned away if they try to refinance with new lenders.

Monday, October 6th 2008, 5:05AM

by Maria Scott

It is barely a year ago that lenders were competing to attract borrowers with blemished credit histories, small deposits or unproven incomes. But the credit crunch has dramatically reduced choice as lenders have withdrawn, retrenched and tightened criteria.

Mortgage broker Darren Pratley, of Auckland Home Loans and chairman of the New Zealand Mortgage Brokers Association says that lenders’ criteria have changed so much that some borrowers will have no option but to stay with their current lenders when they need to refinance.

Any missed payments could certainly jeopardise a borrower’s ability to move. “Lenders aren’t prepared to take on another lender’s problems.”

Louise Ledger, director of non-bank lender Global Home Loans confirms that “the appetite for anyone with a credit issue has really shrunk”.

Laura Gregory, general manager of Freedom Mortgages (formerly Resi Mortgage Corporation) says it is “definitely a lot harder than it was six months ago” for borrowers to switch lenders if they had experienced payment problems.

William Cairns of non-bank lender General Finance says that many who easily qualified for a mortgage two years ago, would not get one today.

If a borrower gets a loan approval and it is not quite what he or she wanted they may have to accept it, as it is likely to be the only one they get.

For lenders who remain in the higher-risk end of the market, the conditions may help them to retain borrowers who might otherwise have jumped ship if they had a choice of rate or terms. But this is likely to be small comfort when overall demand for loans is down and where one of the main funders of loans for non-banks, GE, has withdrawn all fixed rates. Borrowers with strong credit ratings may be able to switch to mainstream banks if they want a fixed rate.

« Sovereign axes lo-doc lendingOCR cut to 7.5% »

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 2.55 2.69 2.79
ANZ 4.44 3.15 3.25 3.39
ANZ Special - 2.55 2.69 2.79
ASB Bank 4.45 2.55 2.69 2.79
Bluestone 3.49 3.49 3.49 3.49
BNZ - Classic - 2.55 2.69 2.79
BNZ - Mortgage One 5.15 - - -
BNZ - Rapid Repay 4.60 - - -
BNZ - Std, FlyBuys 4.55 3.15 3.29 3.39
BNZ - TotalMoney 4.55 - - -
CFML Loans 5.50 - - -
Lender Flt 1yr 2yr 3yr
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 3.95 3.85 -
Credit Union South 5.65 3.95 3.85 -
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 ▼3.85 ▼3.95 -
HSBC Premier 4.49 2.45 2.60 2.65
HSBC Premier LVR > 80% - - - -
Lender Flt 1yr 2yr 3yr
HSBC Special - - - -
ICBC 3.69 2.55 2.65 2.79
Kainga Ora 4.43 ▼2.93 ▼3.07 ▼3.24
Kiwibank 3.40 3.30 3.54 3.54
Kiwibank - Offset 3.40 - - -
Kiwibank Special 3.40 2.55 2.79 2.79
Liberty 5.69 - - -
Nelson Building Society 4.95 3.45 3.49 -
Pepper Essential 4.79 - - -
Resimac 3.39 3.45 2.99 3.35
SBS Bank 4.54 ▼3.05 3.19 ▼3.25
Lender Flt 1yr 2yr 3yr
SBS Bank Special - ▼2.55 2.69 ▼2.75
The Co-operative Bank - Owner Occ 4.40 2.55 2.69 ▼2.79
The Co-operative Bank - Standard 4.40 3.05 3.19 ▼3.29
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 3.65 3.69 -
Westpac 4.59 4.15 4.09 4.49
Westpac - Offset 4.59 - - -
Westpac Special - 2.55 2.69 2.79
Median 4.55 3.05 3.13 3.12

Last updated: 11 August 2020 8:24am

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