Kiwibank stays aloof from home loans price war

Wednesday 24 November 2004

The government-owned Kiwibank has chosen not to participate in the pricing war in the home loans market which has seen the major banks slash their profit margins to the bone.

By The Landlord

While Bank of New Zealand is offering a two-year fixed rate loan at 6.90%, ANZ Bank and ASB Bank are offering two-year fixed rate loans at 6.95% and Westpac is offering a "special" of 6.99% fixed for 18 months, Kiwibank’s two-year fixed rate remains significantly higher at 7.35%.

That’s despite the fact that Kiwibank still guarantees that its home loan customers will be better off over a six-year period than they would with the major banks.

Kiwibank spokesman Bruce Thompson says while that guarantee remains in force but his bank doesn’t try to match short-term offers on individual rates.


It remains confident its loans will still be cheaper over time.

Read More - Opens in a new window
Commenting is closed

Property News

More than fair “wear and tear”

Proving tenant liability for damage has long been a major worry for landlords but a recent Tenancy Tribunal shows that it can be done.

House Prices

No stopping Capital price rises

There’s no sign of a slow-down in Wellington’s property prices with Trade Me Property’s latest data showing that asking prices continue to rise solidly.

Commercial

Demand challenges for commercial sector

Vacancy rates in the commercial property sector are set to increase as changing economic conditions dampen demand.

Site by PHP Developer