But Bolton says after the sharp rise in mortgage rates, he believes they are starting to peak. Because the Reserve Bank has talked it up so hard that mortgage rates are already pretty much pricing in every [future] OCR increase. "The OCR's going to go up but it's already fully priced into mortgage rates, so I think mortgage rates are going to start to stabilise quite quickly. He does, however, see higher mortgage rates having a broad impact on the economy by reducing the discretionary spending of mortgage holders. The everything bubble's popping, [and] property has probably done comparatively well.
Source: Stuff July 02, 2022 00:25 UTC