Keep up to date with the latest mortgage rates.
Are you on the best rate?
Comparing apples with apples.
Below you’ll see a summary of the home loan interest rates and terms currently offered by many of New Zealand’s top lenders. The offers have been grouped into lender types. Alternatively, you can sort by term or rate.
What to consider when comparing mortgage rates.
When looking at mortgage options and special offers from different lenders, it’s important to remember that interest rate is just one of the things to consider.
Your mortgage should be tailored to your individual financial situation, your goals and the lifestyle you want to lead.
Different banks will have different rates, policies, terms, service and ways to structure your mortgage. Talk to your bank, mortgage advisor or financial consultant about getting the best mortgage and repayment plan for you and your money.
|Lender||Lender Name||Floating||1 Year||2 Years||3 Years||4 Years||5 Years|
A quick guide to types of mortgage.
A table mortgage is repaid by periodic repayments of principal and interest over the loan term, resulting in a declining principal balance and eventual repayment of the loan.
Should you choose fixed or floating?
When you choose a fixed rate home loan, the interest rate you pay stays the same for a given period (anything from six months to five years). At the end of the term, you can either fix again for a new term or switch to a floating rate. Fixed rates make budgeting easier and are nearly always lower than the floating rate.
- Your repayments stay the same over the term, so there are no surprises.
- Lenders compete for the best fixed rate, so there are usually some great deals going.
- If economists are predicting a rise in interest rates, you can lock in a lower rate for a long term.
- If you want to increase repayments or pay a lump sum off your loan, you’ll probably get hit with a fee.
- If you choose a longer term, there’s always the chance floating rates will dip to below the fixed rate you’re paying.
- You may have to pay a ‘break fee’ if you want to sell your property or move to a floating rate before the term is up.
- You can increase your repayments or pay off a lump sum at any time, without any penalty.
- To simplify your financial life and pay less interest, you may be able to consolidate other borrowing into your floating rate home loan.
- Floating rates are nearly always higher than fixed rates.
- You’ll have less disposable income if repayments go up in response to an interest rate increase.
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