Mortgage Rates Compared
For a number of years New Zealand offered and paid close to the highest interest rates in the developed world. In recent months interest rates have fallen dramatically.Since April 30 2009, the central bank's key interest rate has stood at 2.5 percent. Mortgage rates are higher than this and are not expected to fall much further because, regardless of the central bank's interest rate, New Zealand's banks need to source much of the money they lend from overseas. One result of the credit crunch is that it has become harder for banks to secure overseas funding. In fact, none of the mortgage rates on offer from the major lenders are any lower today than they were when the central bank's official cash rate stood at three percent.
Most borrowers should find little difficulty securing a mortgage in New Zealand.
Here are the current interest rates on mortgages offered by the country's main high street lenders.
Last Updated February 12 2010
Mortgage Interest Rates in New Zealand
| Type of Mortgage | ANZ | ASB | Kiwibank | National Bank |
| Variable Rate | 6.66% | 5.75% | 5.65% | 5.75% |
| 6 months fixed | - | 6.00% | 5.75% | 5.70% |
| 1 year fixed | 6.50% | 6.55% | 6.25% | 6.15% |
| 2 years fixed | 7.34% | 7.55% | 7.20% | 7.20% |
| 3 years fixed | 7.69% | 8.10% | 7.79% | 7.95% |
| 5 years fixed | 8.04% | 8.75% | 8.69% | 8.60% |
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