Ten things to know about mortgage debt
The market has been relatively subdued over the past 12-18 months, alongside the downturn in sales volumes and property prices.
But there are now signs of a turnaround for those variables, and lending activity is also starting to rise – albeit from a low base. So what’s the current lie of the land and what are key things to keep in mind?
CoreLogic’s chief property economist Kelvin Davidson takes a deep dive into the mortgage market stats.
1. New lending flows over August-October...MORE»
Market doesn't believe RBNZ's tough talkTuesday, December 5th, 9:44AM
Loan Market mortgage adviser Bruce Patten says the Reserve Bank is posturing when it says it might raise the OCR again next year if inflation is not under control. MORE» |
Interest-only loans spurned as mortgage arrears increaseMonday, December 4th, 9:55AM
Alongside increased credit demand, mortgage arrears are up 25% year-on-year as households across the country continue to roll from low to high fixed interest rates. MORE» |
OCR assumptions don’t add up
Economist Tony Alexander doesn’t believe the RBNZ will keep the OCR at 5.50% or higher through to the middle of 2025, even though the central bank is forecasting a possible further hike next year.
MORE»Record immigration to blame for rates staying higher for longer: RBNZ
Those bearing the brunt of rising mortgage rates can blame the impact of record net immigration for interest rates remaining high into 2025 before they're likely to see any relief.
MORE»RBNZ dashes hope of 2024 interest rate cut
The Reserve Bank left its official cash rate (OCR) unchanged at 5.5% and said “ a prolonged period of subdued activity is required to reduce inflationary pressure.”
MORE»BREAKING: OCR held, but comes with a warning
The Reserve Bank has held the official cash rate at 5.50% but warns it could rise.
MORE»Mortgage lending should be removed from CCCFA
If ever there was a law designed to do good but in need of a rewrite, it is the CCCFA.
MORE»