Home loan affordability worsened nationally in October because of a rise in median house prices, but an improving outlook for lower interest rates is boosting turnover and borrower demand.
The Roost Home Loan Affordability report for October showed a slight deterioration from September, largely due to a rise in the median house price to NZ$359,000 from NZ$350,000.
Floating mortgage rates were steady and fixed mortgage rates edged lower, moving in line with financial market expectations for a fall in the Official Cash Rate over the next year. Last month economists and markets had expected the next move to be a rise in the rate from midway through next year
Read commentary on the report here: