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, May 20th, 6:17PM

Mortgages

rss
Latest Headlines

New mortgage lending still slim

Investors are still sitting on the sidelines of the residential housing market.

Friday, May 6th 2022, 11:31AM

by Sally Lindsay

Although new mortgage lending was up to $1.3 billion in March from $1.1 billion in February, it was an annual drop of 44%, the latest Reserve Bank figures show.

Investors accounted for 17% of new mortgage commitments down from 18.5% in February, making this the first drop since December last year and lending to investors with high loan-to-value ratios (LVRs) of 60% rose from 31.4% in February to 32.1% in March. 

Total monthly new mortgage lending topped $7.3 billion in March, up $1.6 billion, or 27.5%, from February but well down on the all-time high of $10.4 billion advanced in the same month last year, when the market had a huge head of steam.

While new the new mortgages value is 17.7% higher than in March 2020, the Reserve Bank says the composition is quite different. Fewer borrowers took out mortgages, but the average size of loans has risen 44.5%. In March the number of mortgages advanced was down by 18.6% from 22,631 in March 2020 to 18,424.

First home buyers were lent $1.2 billion in mortgages in March, up $247m from February, but a decrease of 32.3% from last year. This group had a 16.5% share of the market in March, down slightly from 16.7% in February, the third consecutive drop since it peaked in December last year.

New mortgage commitments to other owner occupiers were up from $3.6 billion in February to $4.7 billion, but fell 25.6% over the year. The market share for other owner occupiers with high LVRs rose from 2.6% to 2.9%, the highest level recorded since December last year.

Consents up

Meanwhile, a record 5,303 new houses were consented in March - the highest ever for any month of the year, and is up 26% on March last year, Statistics NZ data show.

In the year to the end of March, a record 50,858 new houses were consented, up 24% compared to the previous 12 months. This is the first time the number of homes consented had passed 50,000 in any 12-month period.

Also for the first time more multi-unit homes than stand-alone houses have been consented in any 12 month period.

Over the year to March, 25,475 multi-unit homes such as townhouses, apartments, home units and retirement village units were consented, overtaking the 25,383 stand-alone houses that were consented in the same period.

Tags: mortgages

« Advisers crack a major milestoneBNZ profit grows »

Special Offers

Comments from our readers

No comments yet

Sign In to add your comment

 

print

Printable version  

print

Email to a friend
News Bites
Latest Comments
Subscribe Now

Mortgage Rates Newsletter

Daily Weekly

Previous News

MORE NEWS»

Most Commented On
Mortgage Rates Table

Full Rates Table | Compare Rates

Lender Flt 1yr 2yr 3yr
AIA 5.35 4.49 5.25 5.55
ANZ 5.54 5.15 5.85 6.15
ANZ Blueprint to Build 2.78 - - -
ANZ Special - 4.55 5.25 5.55
ASB Bank 5.35 4.49 5.25 5.55
Avanti Finance 5.45 - - -
Basecorp Finance 6.45 - - -
Bluestone 5.29 7.49 7.59 -
BNZ - Classic - 4.55 5.25 5.45
BNZ - Mortgage One 5.55 - - -
BNZ - Rapid Repay 5.55 - - -
Lender Flt 1yr 2yr 3yr
BNZ - Std, FlyBuys 5.55 5.35 5.94 5.99
BNZ - TotalMoney 5.55 - - -
CFML Loans ▲6.45 - - -
China Construction Bank 5.50 5.40 6.14 6.40
China Construction Bank Special - 4.45 5.19 5.45
Credit Union Auckland 5.95 - - -
First Credit Union Special 5.85 4.70 5.20 -
Heartland Bank - Online 4.00 3.85 4.70 4.84
Heretaunga Building Society 5.95 4.80 5.50 -
HSBC Premier 5.49 4.39 5.15 5.39
HSBC Premier LVR > 80% - - - -
Lender Flt 1yr 2yr 3yr
HSBC Special - - - -
ICBC 5.25 4.29 5.09 5.35
Kainga Ora 5.43 4.57 5.58 5.85
Kainga Ora - First Home Buyer Special - 2.25 - -
Kiwibank 5.00 5.55 6.19 6.39
Kiwibank - Offset 5.00 - - -
Kiwibank Special 5.00 4.55 5.19 5.39
Liberty 4.84 - - -
Nelson Building Society 5.95 4.95 5.85 -
Pepper Essential 3.44 - - -
Resimac 4.59 5.60 6.16 6.29
Lender Flt 1yr 2yr 3yr
SBS Bank 5.29 4.69 5.35 5.49
SBS Bank Special - 4.19 4.85 4.99
Select Home Loans 4.09 4.29 4.86 5.09
The Co-operative Bank - First Home Special - ▲4.19 - -
The Co-operative Bank - Owner Occ 5.45 ▲4.29 5.19 5.45
The Co-operative Bank - Standard 5.45 ▲4.79 5.69 5.95
TSB Bank 5.59 5.14 ▼5.79 6.15
TSB Special 4.79 4.34 ▼4.99 5.35
Unity 5.65 4.80 5.50 -
Wairarapa Building Society 5.24 4.55 5.20 -
Westpac 5.54 5.09 5.79 6.09
Lender Flt 1yr 2yr 3yr
Westpac - Offset 5.54 - - -
Westpac Special - 4.49 5.19 5.49
Median 5.45 4.55 5.25 5.52

Last updated: 19 May 2022 10:42am

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