Misc

Bollard gives a bit but signals warning on house prices

Reserve Bank governor Alan Bollard chose the conservative route in cutting the official cash rate (OCR) from 5.25% to 5% today, ignoring pleas for a larger cut...

Monday, July 28th 2003

On the other side of the ledger, he signalled definite concerns about the housing market, which will no doubt be stimulated further by today’s cut.

In particular, Bollard notes that housing inflation is already "quite strong" and that "some investors have unrealistic expectations about this."

Stephen Toplis at Bank of New Zealand says annual housing inflation at 14.1%, as was shown in the Real Estate Institute’s latest report, "is clearly outside the Reserve Bank’s comfort zone. The apparent beginnings, I would stress beginnings, of a bubble in the housing sector would bother the bank."

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Heartland Bank - Online 6.69
SBS FirstHome Combo 6.74
Wairarapa Building Society 6.95
Unity 6.99
Co-operative Bank - First Home Special 7.04
ICBC 7.05
China Construction Bank 7.09
BNZ - Classic 7.24
ASB Bank 7.24
ANZ Special 7.24
TSB Special 7.24
Unity First Home Buyer special 6.45
Heartland Bank - Online 6.45
China Construction Bank 6.75
TSB Special 6.75
ICBC 6.75
ANZ Special 6.79
ASB Bank 6.79
AIA - Go Home Loans 6.79
Kiwibank Special 6.79
BNZ - Classic 6.79
Unity 6.79
Westpac Special 6.39
China Construction Bank 6.40
ICBC 6.49
SBS Bank Special 6.55
Kiwibank Special 6.55
BNZ - Classic 6.55
Co-operative Bank - Owner Occ 6.55
ASB Bank 6.55
AIA - Go Home Loans 6.55
TSB Special 6.59
Kainga Ora 6.99
SBS FirstHome Combo 6.19
AIA - Back My Build 6.19
ANZ Blueprint to Build 7.39
Credit Union Auckland 7.70
ICBC 7.85
Heartland Bank - Online 7.99
Pepper Money Essential 8.29
Co-operative Bank - Owner Occ 8.40
Co-operative Bank - Standard 8.40
First Credit Union Standard 8.50
Kiwibank 8.50

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