KiwiSaver has enjoyed huge success since it began in 2007, far exceeding participation expectations and quickly becoming an important part of New Zealand. However, a new report by the University of Auckland’s Retirement Policy and Research Centre casts some doubt on the scheme, suggesting it has done very little to improve household savings and support the New Zealand economy.
Property prices in Auckland’s less-favoured suburbs are catching up as home-buyers are looking at properties in less expensive suburbs in a bid to get on the property ladder.
Experts say the city is seeing a “spill-over effect” and the loan-to-value ratio (LVR) caps introduced last year are driving demand for homes in suburbs not traditionally sought-after. “People who still wanted to buy houses and didn’t have large deposits would have to go to suburbs where the properties were favourably priced,” said NZ Institute for Economic Research principal economist Shamubeel Eaqub.
Step 1. You refer…
by giving your friends our contact details and telling them to mention your name to us when they call
Step 2. Your referral is successful…
when your friends settle their loan with us
Step 3. Then you will receive…
a $50 gift voucher in the mail
If you give the most referrals in 2016,
you will receive a $1000 gift voucher in time for Christmas!
* Finance must be organised through the Edge Mortgages and have been settled in 2016.
* Eligible friend referrals are those made after 1st January 2016.
The Reserve Banks restrictions on low value-to-ratio mortgages last year put a dent in the plans of some would be home owners if they didn’t have at least 20 percent deposit.
But there are still options if you are struggling to save that much of a deposit.
Although there are restrictions, the banks can still lend to people with a deposit less than 20 percent. They are limited to how many of these loans they can provide, but you could be one of those that is able to do so.
Residential mortgages that fund construction of new homes are exempt from the lending rules so you could get a first home built for you.
The Welcome Home Loan supported by Housing New Zealand is for first home buyers who can afford the repayments but are struggling saving for a larger deposit.
If you are looking to purchase property, are a first home buyer or looking to add to your property portfolio when can help get the best deal for you, so talk to us.
Last week experts were predicting that the New Zealand dollar would decline against the Australian dollar as their central bank removed easy bias.
This is after the NZ dollar reached an eight year high in December as Australia’s economy suffered from waning demand in their mining resources.
Then on Tuesday the dollar fell to it’s lowest since early January, before advancing to 92.13 Australian cents today. The New Zealand dollar rose to a week high as sentiment improved, turning investor attention to riskier assets.
Traders will be eyeing the Reserve Bank of Australia’s Statement on Monetary Policy, which was scheduled for release at 1:30pm, for revisions to key economic forecasts.
Credit card debt is on the rise. If you want to get rid of your credit card debt faster – then make sure you are getting the best deal.
Changing from one bank to another could save you thousands of dollars, as the major banks offer balance transfer deals that mean you pay a low interest rate on the transferred amount for a fixed term. For example, Westpac offers a 1 per cent balance transfer rate for 12 months. If you have high debt this interest saving can really add up.
Consider low-interest cards. Although the fees are twice as much, the lower interest rate can still mean you save money if you have to pay the debt off over a long period of time.
Of course, transferring to a bank with a low transfer rate offer won’t benefit as much if you don’t actually pay the debt off!
Source: NZ Herald