Kapiti Financial Advice Limited – KiwiSaver and Investment
The Reserve Bank have lowered the Official Cash Rate by 50 basis points today as expected. A lot of this was already priced-in by the wholesale markets, as the Reserve Bank observed in their accompanying Monetary Policy Statement. They noted that short-term wholesale rates have fallen since the August Statement, but long-term rates have increased. … Read more
The RBNZ kept the OCR unchanged at 5.5%, as was universally expected. The focus of attention is whether the first cut will come in November, or whether the Bank will wait until February. The final review this year will be on the 27th November. The next review is not until 19th February 2025. So, there … Read more
Kiwibank has launched a scheme through which family and friends can team up to turn the dream of owning a home into reality. This allow friends or whanau to buy a home with friends or family: Combine savings with friends or family to achieve the deposit goal faster The ability to share ongoing property related … Read more
A tale of two million-dollar cities The Real Estate Institute of New Zealand (REINZ) recently released their property market report for the month of September 2021. The median house price in the Wellington region increased by 13.7% over the year to $845,000. This was slightly lower than the August median price and is part of … Read more
COVID-19 restrictions had little impact on property prices in September The Real Estate Institute of New Zealand (REINZ) recently released their property market report for the month of September 2021. The data continues to reflect a tight market in which demand is still strong, amidst a pick-up in activity in those areas where lockdown restrictions … Read more
The Reserve Bank of New Zealand is to begin consultation on new proposals to tighten mortgage lending standards, including: Reducing the amount of lending banks can provide to owner-occupiers at a Loan to Value Ratio (LVR) above 80 percent – reducing the share from 20 percent of all new lending down to 10 percent. This … Read more
Today the Reserve Bank released its August Monetary Policy Statement, noting that accommodative monetary policy is complementing fiscal policy by reducing interest rates. There will continue to be downward pressure on interest rates as the Reserve Bank continues to provide support to the economy, in the midst of an environment where inflation and inflation expectations … Read more
Low inflation has been behind a more generalised theme of low interest rates in recent years. More immediately, the desire of central banks around the world to provide support through low interest rates has also played a significant role, particularly as the Covid-19 outbreak has taken hold. This was evidenced by the RBNZ slashing it’s … Read more