Report shows home loan affordability best in years

Press Release from Mark Pullar at Roost, Queenstown

Report shows home loan affordability best in years

Buyers looking to enter Queenstown.s property market are being presented with some of the best opportunities they.re likely to see in years.

Today.s Roost Home Loan Affordability Report shows that home loans across the country became more affordable for the third time in as many months, and are now at their best level in a year, at similar levels to those seen back in 2004.

According to report author and financial commentator, Bernard Hickey, a fall in fixed mortgage rates is behind the improvement.

While Queenstown remains the most expensive area to buy into in New Zealand, Roost Queenstown Mortgage Broker, Mark Pullar, agrees the current climate is very much in the favour of buyers.

“Now, more than ever, it is a „buyer.s market. out there. For the first time in a long time I.m seeing banks competing amongst each other on interest rates on home loans, making it more affordable than it has been for some time for property buyers.

Combined with improved levels in affordability, I.d say that the next 6-12 months will continue to offer up good opportunities for buyers locally”.

The Affordability Report shows two year mortgage rates are down at 6.70% from 7.25% in the last three months and floating rates are flat at around 6.2%. Bernard Hickey believes home loan affordability should improve further i n coming months as house prices are expected to ease further and recent tax cuts will improve median disposable income by NZ$29/week.

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