Over recent weeks we have seen the gradual increase in the long term interest rates ie 3,4, and 5 year fixed rates. Lenders have been explaining that their costs for borrowing long term funds offshore have substaintally increased. This has seen 5 year fixed rates jump from 5.99 to 6.75%. We are encouraging borrowers to look at their loan structures and talk to us now at The Home Loan Group (NZ) Ltd. We dont anticipate major increases in the near future but now might be a good time to talk through your options and plan any structure changes.
If you know or hear of someone looking at their lending situation, please refer them to us at The Home Loan Group (NZ) Ltd. We can look at their current position, analyse possible scenarios and provide options.
The Reserve Bank have once again reduced the OCR by 50 basis points this month to 3 percent.
Alan Bollard said in response to the world economy, "In New Zealand, the impact of difficult trading conditions is showing through clearly in reduced export revenues, weak business sentiment, and sharply curtailed investment and employment. Further house price falls and increased precautionery saving by households are driving a weakness in spending. Inflation pressure is abating rapidly as a result. While credit growth is easing in line with the weak economy, we expect financial instituitions to continue lending on sound business propositions to support the recovery."
He went on to say that any future cuts will be much smaller than observed over recent months.
It’s difficult to not pick up the newspaper or turn on the radio without learning of job losses across a wide range of industries. And its even more devastating if the loss of a job puts the family home in jeopardy.
Many mortgage repayment plans cover mortgage payments through death or disability but not redundancy. However we are pleased to advise that we can now offer the opportunity for you to secure redundancy cover as part of a comprehensive mortgage repayment plan. It’s certainly worth taking a look at and we can arrange a no obligation premium quotation for you.
Involuntary Redundancy Benefit
• Covers your actual owner/occupier mortgage repayments for up to 6 months
• Maximum benefit of $2500 per month
• Payable after a 4 week stand down period
• Possible to make more than one claim during the policy
• Benefit payable regardless if you receive a redundancy payment from your Employer
To arrange a no obligation discussion, then please call the team at The Home Loan Group (NZ) Ltd.
If you have some small debts or a credit card you cant get on top of why not speak to the team at The Home Loan Group (NZ) Ltd. We have competitive interest rates and are able to discuss the full range of lenders and options that will suit your needs. Alternatively let us know if your fixed rate is due to expire soon and we can provide you with the best options to refix your loans.
Please call us today at The Home Loan Group (NZ) Ltd for a no obligation discussion - and remember, you can come to us or our mobile service can come to you.