The OCR was increased 0.25% to 5.50% by he Reserve Bank of new Zealand (RBNZ). Although this is another increase the market has factored this into interest rates already....meaning that mortgage interest rates should remain as they are for now.
The really positive news was that the RBNZ indicated that this would be the OCR peak and no further rate increases were anticipated, i.e. we are at the top of the interest rate cycle!! There is a view that mortgage rates will begin to reduce as early as the end of this year.
The RBNZ has also revised its forecast on house prices - they expect a smaller overall decline than previously anticipated with peak-to-trough decline of 17% compared to earlier forecast 23% decline. They anticipate the decline to be completed by the end of the year when values would begin to increase again.
So, if your numbers work with current interest rates then it is only upside from here with stable, and soon to reduce interest rates, and home values about to start to rise soon!!!
If this sounds like a bit of you feel free to reach out here or below!
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