ANZ, Westpac, National Bank, Kiwibank, BNZ and TSB have all increased their floating mortgage rates and reduced their longer term fixed rates in the wake of similar moves by ASB last week and after the Reserve Bank of New Zealand's Official Cash Rate increase on July 29.
Financial markets reduced longer term wholesale rates on expectations the Reserve Bank's future OCR hikes would be lower and slower than previous expected, which gave banks room to cut their longer term fixed rates.
(Updated with Kiwibank moves early on Tuesday afternoon, BNZ moves late on Tuesday afternoon, National Bank late early on Tuesday evening )
TSB, however, stepped out of line by increasing its floating rate by 30 basis points, which was 5 basis points more than the OCR move. Kiwibank cut its 2 year rate by the most.
ANZ increased its floating mortgage rate by 25 basis points to 6.20% and lifted its 6 month mortgage rate by 25 basis points to 6.35%. It also introduced a 30 month (2 and a half year) special mortgage rate of 6.99%.
It left its one year mortgage rate unchanged at 6.45%, but cut its 18 month rate by 4 basis points to 6.65%. It cut its 2 year rate by 15 basis points to 6.85% and its 3 year rate by 10 basis points to 7.20%. It left its 4 and 5 year rates unchanged at 7.6% and 7.75% respectively.
Westpac lifted its floating mortgage by 25 basis points to 6.10% and lifted its 6 month rate by 15 basis points to 6.25%. It cut its 2 year rate by 14 basis points to 6.85% and cut its 18 month by 10 basis points 6.69%.
Westpac cut its 3 year rate by 5 basis points to 7.2% and its 4 year rate by 10 basis points to 7.45%.
TSB lifted its floating rate by 30 basis points to 5.99% to 6.29% and its 6 month by 25 basis points to 6.35%.
It cut its 2 year rate by 10 basis points to 6.85%. It cut its 3 year by 5 basis points to 7.20% and its four year rate by 10 basis points to 7.50% and its 5 year rate by 5 basis points to 7.75%.
Kiwibank said it lifted its floating rates by 25 basis points from 5.90% to 6.15% p.a.
It raised its 6 month rate by the same amount to 6.35%.
Kiwibank cut its two year mortgage rate by 30 basis points to 6.69% and cut its three-year rate to 7.19% from 7.25%.
It cut its four year rate by 10 basis points to 7.45%.
BNZ lifted its floating mortgage rate by 25 basis points to 6.09% and its 6 month rate by the same amount to 6.30%. It cut its standard 18 month to 4 year mortgage rates by 10 to 14 basis points.
ANZ NZ's National Bank raised its floating rate by 25 basis points to 6.24% and raised its 6 month rate to 25 basis points to 6.10%. It cut its 18 month, 2 year, and 3 year fixed mortgage rates by between 10 and 19 basis points.
See all bank mortgage rates here.
See our interactive chart of average bank mortgage rates here and below
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3 Comments
FYI here's that BNZ monthly email confidence survey that Tony Alexander does
http://bnz.co.nz/binaries/cs090810.pdf
Here's his summary:
"Our monthly survey of Weekly Overview readers has found little change in expectations for the economy over the coming year from four weeks ago. A net 1% of 565 respondents expect the economy will get worse compared with a net 2% expecting improvement in early July. The result leaves sentiment above the net 17% pessimistic average reading since 2005 and in that sense suggests one can anticipate reasonable business capital spending and employment demand consistent with the economy growing near 3%."
"However, as with last month the tone of the comments submitted by respondents is decidedly downbeat with a number indicating things appear worse than a few months ago, that customers are thin on the ground, and that cost pressures remain quite intense. At the same time there are a number in the likes of the manufacturing and recruitment sectors noting improving conditions, but they are in the minority. Interestingly, in spite of the Reserve Bank raising the official cash rate again just over a week ago there were fewer expressions of concern about monetary policy than last month"
As ever, the anecdotal stuff in the report is interesting.
cheers
Bernard
And here's our interactive chart of the BNZ Confidence survey
http://www.interest.co.nz/charts/confidence/bnz-confidence-survey
cheers
Bernard
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