The Reserve Bank (RBNZ) cut the Official Cash Rate (OCR) another 25 basis points in May and Economists expect the RBNZ to cut again at least one more time which is likely to be in August. So that has a flow-on where banks tend to follow suit. Fixed mortgage rates have fallen further and the 1 year rate is still the most popular. It also provides a short enough duration to quickly benefit if or when the RBNZ cut the OCR again as that’s likely to lower mortgage rates further. These lower rates naturally cause more demand in the property buying market and a further shortage of houses for sale. Plus now that Capital Gains Tax was not passed by the Government the Property Investors are feeling more confident of buying more rather than selling. That extra demand for buying can naturally shorten the supply and have house prices continue to increase. - We recommend home buyers and property investors call us today to arrange pre-approved lending before finding that suitable property.

Those who already have a mortgage that’s floating or heading that way soon can call us to negotiate a new fixed rate and assist with the structuring of the lending.  Lending can be split into two or more loans for those borrowers wanting stability. Part of the lending can on a longer term fixed rate or left floating to enable lump sum payments to reduce debt faster and save money on the interest charged. 

Mortgage Link in Taupo has just celebrated it's 25th birthday after Wendy & Glenn Yorke established the business in 1994. Thanks again to those of you who continue to support our business when buying more property or applying for top-up loans, re-fixes and especially for recommending us to others. We truly value your business and look forward to continuing to assist you and any friend or family member you refer to our service. Remember to tell them we do not charge them a fee and we endeavour to save them time and money with their lending requirement. We'll continue to send the Gift Vouchers to clients for referring new customers to our service.