[M&J]

Stop looking Sam or we will have to send you to addiction counseling!!! :D

[Sam B]

Ha Jo, you're not kidding. What have I become?? I never had any money before to even care about. I've only looked once today, it's all over now and I'm feeling ok about it.

[Tia Maria]

Well who'd have thought we'd be grateful it has broken the 2.45!

Cheers

Tia

[speckythecky]

Yes I almost jumped today. When we arranged our mortgage we used 2.5 to calculate what we needed. fortunately the financial advisor rounded everything up so in order to have enough money to pay for the house 2.45 will be enough. I am still greedy though and want to get at least the 2.5. Only 1 week left though.

[Steadybears]

We watch with horror whats happening on the market - we having to pay
R6.28 for a NZ dollar - and its getting worse!!!

[CJ22]

In a strange kind of way, I'm glad we have naff-all money to change :)

[Tia Maria]

Yes I almost jumped today. When we arranged our mortgage we used 2.5 to calculate what we needed. fortunately the financial advisor rounded everything up so in order to have enough money to pay for the house 2.45 will be enough. I am still greedy though and want to get at least the 2.5. Only 1 week left though.

You may get your 2.5 - currently standing at 2.499!

Cheers

Tia

[alan999]

Through the 2.5 barrier, work barbie this afternoon, auckland speedway tonight. What a day!!

[Nick88]

http://seekingalpha.com/article/67242-yen-carry-trade-hits-a-critical-juncture?source=feed

As the yen strengthens against the NZ$ this should decrease the carry trade (possibly exacerbated by a drop in interest rates next year). This will weaken the NZ$ against the GBP considerably, some are picking it to go back to the pre-boom rates of 3.3-3.6.

Another good reason to rent and keep your powder dry.

[buzztalks]

if only....

[nippa&pippa]

just realise my thread is still going....:laugh i still hoping for exchange rate to improve.....

[lockstock]

It's above 2.5. Yay (-ish). It only seems like 6 months ago that it was 2.9 and we were hanging on for 3. Ah, sweet times.

[Tia Maria]

It's above 2.5. Yay (-ish). It only seems like 6 months ago that it was 2.9 and we were hanging on for 3. Ah, sweet times.

Those were the days eh?! :)

Cheers

Tia

[CJ22]

I suppose really I ought to be rooting for it to stay low, since we won't be bringing much capital over (enough to buy a decent used car and to set up in a rented home). At least if the ER is low, visiting back home won't be so expensive. Also, a low ER makes my NZ salary seem more comparable to my UK salary (although that's a nonsense comparison I know). But being slightly more logical about it, I hope it goes up for the sake of those with plenty of capital to transfer.

[mikewalkerfrom]

We're 5 weeks out from Christchurch and all my budgeting has been done on 2.50. Every % point above 2.50 means a smaller mortgage.... or maybe a couple of season passes to Mt Hutt :D , or a new kitchen.... or double glazing.... or central heating.... or more savings.

It's amazing what options open up if you have just that little bit more money...

[CJ22]

>or maybe a couple of season passes to Mt Hutt
A wha?

[dusk]

sounds like something to do with skiing ;)

[speckythecky]

Finally made the jump yesterday morning, got 2.51 which was about the highest point it reached for the day - and the highest for a couple of weeks. I hope for those of you still to change money, that it goes up again and maybe if we get to 3 dollars again I will look at moving my pension over.

[Ojai]

I suppose really I ought to be rooting for it to stay low, since we won't be bringing much capital over (enough to buy a decent used car and to set up in a rented home). At least if the ER is low, visiting back home won't be so expensive. Also, a low ER makes my NZ salary seem more comparable to my UK salary (although that's a nonsense comparison I know). But being slightly more logical about it, I hope it goes up for the sake of those with plenty of capital to transfer.

I'm in the same place as you, but it's been depressing watching the USD fall and fall and fall. I try not to think about how much more I would have had from my small savings if we had moved three months ago.

[barryp]

You can exchange currencies before you go. I sure do feel your pain.

People in NZ are surprised and freaking out b/c our dollar keeps hovering around US80c. I am surprised that it is not higher against the USD, which continues not to be supported by either its government or its Reserve Bank.

[cathgates]

It seems to be dropping again against the pound after a very short tease slightly upwards :wah :(

Cath X

[CJ22]

01/03/2008 $2.45
02/03/2008 $2.49
03/03/2008 $2.49
04/03/2008 $2.49
05/03/2008 $2.47
06/03/2008 $2.52
07/03/2008 $2.54
08/03/2008 $2.54
10/03/2008 $2.55
11/03/2008 $2.50

[tleventer]

Think of it this way... it could be worse.

$1 US only = $1.25NZ.

[lockstock]

That'll be the US throwing some money at the oil price problem.

[CJ22]

Yeah, the US still acting like it's an oil exporter rather than the foreign-oil-dependant satrapy it actually is. Head meet sand.

[tleventer]

Not going to argue with you in the least! I could go on a soapbox tirade on what the US is doing wrong fiscally... but I'll spare ya'll.

Needless to say... the economic situation here is going to continue its downward trend for a while yet because no one in power has a clue... and the people are too sheepish to understand what is happening and how to change it. :(

Yep... one of the reasons we are looking at moving.

[Tia Maria]

A lickle jump (thats the financial term! :p ):

2.53

Cheers

Tia

[Tia Maria]

2.54 ......

Cheers

Tia

[lockstock]

Do not on any account mention the drop in the exchange rate this week. Don't mention 2.9 or anything ressembling last August September. Please.:uhoh

[Tia Maria]

Do not on any account mention the drop in the exchange rate this week. Don't mention 2.9 or anything ressembling last August September. Please.:uhoh

:laugh

I promise to not mention its currently 2.5, heading towards 2.6, or the fact that when it was 2.9, everyone thought it was heading for 3.2! :p

Cheers

Tia

[JandM]

No, no, none of us is looking at anything like that at all....

[Tia Maria]

And I'm really not going to mention that it has zoomed up to 2.57 in the last hour......:eek:

Cheers

Tia

[IanW99]

And I'm really not going to mention that it has zoomed up to 2.57 in the last hour......:eek:

Cheers

Tia

No-one seems to have mentioned this lately, but noticed it's now up to 2.6.

Wonder how much higher it will go?

Ian

[Carey]

Watching and hoping every day that it will creep up and up!

[Mickstim]

Watching and hoping every day that it will creep up and up!

We're with you there. Hoping for some serious magic in the next few months!

[Tia Maria]

At last a bit of movement - 2.63! :nice1

Cheers

Tia

[Mickstim]

At last a bit of movement - 2.63! :nice1

Cheers

Tia

Onwards and upwards..................

Bx

[BaldyBeardyBloke]

sending mental messages - <up up up up up....>

[Tia Maria]

sending mental messages - <up up up up up....>


Must resist ...... cheeky .... Friday ..... response! :p

Cheers

Tia

[BaldyBeardyBloke]

Must resist ...... cheeky .... Friday ..... response! :p

Tia

Resistance is futile :)

[Marsh]

:uhoh Good if you are buying which we did yesterday. Bad if when you get to New Zealand and need to send money to UK...which we will be doing...oops.

[overscan]

Unfortunately, when we planned our savings for emigrating the exchange rate was a lot higher than it is right now. The shortfall is going to be about $10,000 NZ :(

Praying for a miracle - of course, could try an start an internet rumour to get a bank run going....:eek:

[lockstock]

Unfortunately, when we planned our savings for emigrating the exchange rate was a lot higher than it is right now. The shortfall is going to be about $10,000 NZ :(

Praying for a miracle - of course, could try an start an internet rumour to get a bank run going....:eek:

Been there, still doing that! Ah the heady days of 2.93....will they ever return? Still kicking ourselves for turning down 2.89. I can still hear my voice saying 'no - we'll wait until it goes back up'. We had to settle for 2.51 in the end.

[Marsh]

Like you been there done it. Then we managed 2.7 to date lowest 2.49...could we please open the door and get someone who knows what they are doing to help out....sigh.

[vixxann]

ok,.. just beginning to think about this (as it terms of it affecting us personally!!)

what is/was a good rate? or is that like asking how long is a piece of string ?!

we have set up a Hifx account and I believe they will hold rates for you until you want to transfer.. so if I start looking now I'm just wondering at what point to agree a rate - I have NO idea :o

[IanW99]

ok,.. just beginning to think about this (as it terms of it affecting us personally!!)

what is/was a good rate? or is that like asking how long is a piece of string ?!

we have set up a Hifx account and I believe they will hold rates for you until you want to transfer.. so if I start looking now I'm just wondering at what point to agree a rate - I have NO idea :o

Yep, how long is a piece of string :p

It's all pretty much a guess going on the current market, so you really just need to set a price that you are happy with. If you set the rate too high then it may never reach that value and if you set it too low then you 'lose' money.

Bit of balancing act between how quick you need the money and the best rate that you can achieve.

General consensus is that it will continue to trend downwards against the GBP towards the end of this year, so the longer you can leave it the better.

Traditionally the current rate is low as its more 'normal' rate is around 3, however it hasn't been 3 for a while now. Last time around it nearly went to 3 which everyone was waiting for and then it never made it.

Ian

[Carey]

Yes we're watching closely. Likewise don't know what to aim for although we like the way recently it's been creeping up. Could it just keep going a bit more though?

[Peter&Liz]

ASB latest Economic Quarterly report (April 2008) has the NZD deprecating against GBP to around the 2.77 rate by March 2010.

Also forecasting NZ interest rates falling to 6% by March 2010.

Although the previous forecast was predicting a much more generous rate of 2.94 for 2010 and interest rate of 6%.

http://reports.asb.co.nz/report/article/1073/22/0/'b'-is-for-belt-tightening.html

Peter

[willsken]

ASB latest Economic Quarterly report (April 2008) has the NZD deprecating against GBP to around the 2.77 rate by March 2010.

Peter

Noooo... I was hoping for it to do that by the end of this year! :uhoh:uhoh

[CJ22]

Still, a drop in house prices AND interest rates will be welcome for those of us looking to buy with little or no equity :)

[icemaiden]

2.64 at lunchtime today.

[CJ22]

2.67 tonight. That's the highest I've seen it since I started looking in Oct 2007.

Yahoo 3 Monthly Graph (http://finance.yahoo.com/echarts?s=GBPNZD=X#chart1:symbol=gbpnzd=x;range=3m ;indicator=volume;charttype=line;crosshair=on;ohlc values=0;logscale=on;source=undefined)

[Mickstim]

Well, you have us to thank for this. We just transferred a very large amount to pay for our house (at 2.62) Aaaaaaaargh!!!!!!!

[lockstock]

2.68 at the moment. Maybe the cut in interest rates is helping. I'm trying hard not to think of the 2.51 we had to take in January when we transferred funds to buy the house. :wah

It's like an old friend this thread!

Who's hanging out for 2.8 and above this time then????

[Alan]

Was offered 2.63 this morning but may see what the spot rate is tomorrow morning.

[KiwiDreamer]

Booked at 2.66 today, glad that's out of the way now.

[IanR]

Bollard's blinked... most other Central Banks are putting rates on hold or up... Bollard drops rates and signals future rate cuts and to hell with inflation (the market now thinks rates will drop from 8 per cent today to 6.75 per cent by March next year)... I'd suggest that there's only one way the NZD is heading.

[lockstock]

2.69 - will we get 2.7 by the end of the day? All I need now is some money in the UK to change. I don't know why I'm getting in such a tizz about this but it's so exciting!

[gonzo]

Not sure about he title of this thread, just thinking of the many thousands in NZ who are off to OZ, combined with the carnage in the property market their stake money will just about buy them a coffee in a trendy cafe in Melbourne or Brisbane. Perhaps posters should also be aware that the decline of the kiwi will directly contribute to falls in the NZ standard of living as anything imported into NZ and that is just about everything will cost more in NZ dollar terms and in addition will in all probability increase inflation across the board. What was it that Harold Wilson said about the pound in your pocket? Still if it leads to a rush of people selling pounds and US dollars and buying the Kiwi more power to them god knows the NZ economy needs the money. I must admit I am starting to think that NZ is a bit like Hotel California you can check in anytime you like but you can never leave.

[Alan]

Gonzo, not sure what your post is meant to mean. There are far more people leaving the UK than any other western economy, and house prices globally are under big pressure. If you buy a home in the long term wherever you are it will increase in value, and if you get any move right you should be comparatively okay.

As far as I can see NZ bit the bullet quickly on inflation and can now afford to cut back somewhat.

[Carey]

2.68 at the moment. Maybe the cut in interest rates is helping. I'm trying hard not to think of the 2.51 we had to take in January when we transferred funds to buy the house. :wah

It's like an old friend this thread!

Who's hanging out for 2.8 and above this time then????


We are!! Watching closely.....up, up, up please!

[smitjo]

Up Up Up Up Up she cries!!!!!
Haven't got the money to exchange as yet so still hanging on and hoping that it continues to climb!

[Rusty]

Up Up Up Up Up she cries!!!!!
Haven't got the money to exchange as yet so still hanging on and hoping that it continues to climb!

Same here.
Hope to have it in about 4-6 weeks. I think from memory this was the high point last year?
2.9 pleeeaaase. Then it can go back to normal so it does not effect the NZ economy ;)

[Peter&Liz]

Historically the NZD is still pretty high against the GBP, we were getting approx $3 to the £1 on holiday in NZ in late 2006, and if you go further back prior to 2003 you were getting $3 and then some more to the £.

http://www.tititudorancea.com/lib/fx/gbp_to_nzd_since99.png

A Currency depreciation is a double edge sword, yes imported goods become more expensive but exports become cheaper, and given the current global economic outlook that might be no bad thing for the NZ economy.

Peter

[incredible hulse]

Gonzo, not sure what your post is meant to mean. There are far more people leaving the UK than any other western economy, and house prices globally are under big pressure. If you buy a home in the long term wherever you are it will increase in value, and if you get any move right you should be comparatively okay.

As far as I can see NZ bit the bullet quickly on inflation and can now afford to cut back somewhat. Think the point is that because the kiwi is a weak currency you would need to earn a lot of it to manage elsewhere - nz firms aren't renowned for paying 3 times uk counterparts for example so a weak dollar is only good if you are coming into the country

[Alan]

You are right however I would point out that housing in particular is not that far away from mirroring each other especially around Auckland and also these things comes in cycles and there will be a time when it is stronger and the pound weaker as has been the case in recent years.

[CJ22]

$2.72!

[vixxann]

ok - I have to hold my hands up I'm a bit of a novice regards interest rates and exchange rates.. it all normally floats just an inch over my head :uhoh
but now I realise its important and we could potentially lose money over my ignorance so I'm looking for advice.

Do most people transfer their money because they want to buy a house in NZ?
Is it ever worth transferring just to take advantage of a good rate even if you don't need money yet?
crucial question - what is a good rate?

we've sold our house in UK and have some money sat in our bank account here. We also have set up an account with Hifx and I think they will hold rates for you? maybe thats another option.

we are planning to rent upon arrival in NZ and not buy for at least a year (I know others have said this then bought before!)

can anyone give me some pointers? :)

[IanR]

I'd say I get good value for my £s when the rate is over $2.90 to the quid and poorer the further it falls below that.

That's based on nothing else than a feeling of value when I buy goods or services in NZ - but if the UK holds it's base rate, and Bollard keeps dropping the NZ base rate, I suspect we'll see that ratio again sooner rather than later.

[Sam B]

vixxann, if you plan to buy eventually, then set up an account with XEtrade or such like in advance, then watch the exchange rate like a hawk. It makes such a difference if you have time to get a good exchange rate and are not pressurised into exchanging at a bad one when you need to complete on a house. I don't think I will ever get over the fact that I didn't exchange at 2.93 when I had the chance ... that is definitely a good rate.

http://www.oanda.com/convert/fxhistory This website can show you the exchange rate over previous weeks, months, years, so you can decide when is good. Then you can take advantage of the good interest rates for savings here and start house - hunting. Which nearly everyone does within weeks of arriving even though they all say the year thing....

[Mickstim]

Vicki - another thing to be aware of is that not all banks will allow you to transfer a whole heap of money at once. We had planned to leave our money in Lloyds TSB and open an HiFx account but then discovered that Lloyds would not let us move more than £10 000 a day - so that is no use if you are shipping 'house money'. Just be sure your dosh is somewhere you can get to it when you need it!

Bx

[Tia Maria]

Vicki - another thing to be aware of is that not all banks will allow you to transfer a whole heap of money at once. We had planned to leave our money in Lloyds TSB and open an HiFx account but then discovered that Lloyds would not let us move more than £10 000 a day - so that is no use if you are shipping 'house money'. Just be sure your dosh is somewhere you can get to it when you need it!

Bx

Is this because you were trying to do it via internet? These limits are set, but a word to your bank manager, along with written authority should allow you to do bigger transactions, after all it is your money. It just takes time to set up.

We had the 10K limit with Nationwide, but it turned out to be 10K per transaction, so I enquired whether I could make lots of them in one go and they said yes. It took a fair old while to transfer the house money in 10K chunks and I'm not sure what the logic is behind it, but we got it done eventually!

Cheers

Tia

[vixxann]

thanks for the advice folks
I will check up on my UK bank account daily withdrawal/transfers and also going to phone Hifx on monday with some ???s

sam that website link is fantastic - gives me a good background on the historic rates so I have an idea of what is "good" :)

getting into this now - going to keep watching daily rate now I realise how important it is :p (hard cold fact way - we worked out how many $$s we'd have for our money at a low rate say 2.5 then how may at 2.9 !!!!!!)

[lockstock]

thanks for the advice folks

getting into this now - going to keep watching daily rate now I realise how important it is :p (hard cold fact way - we worked out how many $$s we'd have for our money at a low rate say 2.5 then how may at 2.9 !!!!!!)

It's well worth it - when you do the maths you realise how important it is to get the best rate you can. HIFX are very good to work with. Best of luck!

[IanW99]

thanks for the advice folks
I will check up on my UK bank account daily withdrawal/transfers and also going to phone Hifx on monday with some ???s

sam that website link is fantastic - gives me a good background on the historic rates so I have an idea of what is "good" :)

getting into this now - going to keep watching daily rate now I realise how important it is :p (hard cold fact way - we worked out how many $$s we'd have for our money at a low rate say 2.5 then how may at 2.9 !!!!!!)

If you work out a rate that you are happy with e.g. 2.91 then a good option would be to set this rate with your transfer company e.g. HiFx (I assume that HiFx can do this?). What happens then is that as soon as the rate is met they attempt to exchange your funds at this rate.

The advantages are that you don't need to keep watching the rate and as the rates fluctuate it's possible that it could hit your wanted rate for a very short period of time only and you would miss this value and it may not happen again for many months.

Of course if you set it too high, then it will never be met.

Ian