PLENTY OF MONEY TO GO ROUND
commented last time that it seemed as though interest rates would remain low into 2012! Well, with the drama in Europe that seems likely well into if not through next year. A lot of this has to do with European [and other] governments dropping their OCR rates, thus making it cheaper for our banks to gather in the extra money needed to meet loan requests here. Additionally, Dr Bollard seems to be indicating that not only will our OCR remain low, it might even drop if market stagnation takes over from current conservative spending by Kiwis.
The banks are telling us that they have never had so many re approved loans in the market but which are not being drawn down on! Are those buyers just waiting for the right property to come on the market?
Filed under: REAL ESTATE | Tagged: Real Estate