The rate is substantially lower than the one-year fixed terms at the other major banks, which sit around 2.25 percent, although Heartland Bank last week announced a 1.85 percent rate fixed for one year and a 1.95 percent variable rate. "Housing supply is a huge issue for the New Zealand economy. "We've deliberately chosen to make the offer available to both owner-occupiers and investors in recognition of the role investors can play in making new, high-quality homes available for Kiwi families." "A more sustainable housing market is about increasing housing supply, but it is also about creating more energy-efficient healthy homes." Sims said the variable rate would be available for up to three years from when the borrower first draws down.

Source: Otago Daily Times May 17, 2021 01:52 UTC