Interest Rates

[BigDreamer]

5.85? maybe 4.85?

Ah yes typo. 4.85%

[PTILoveYou]

Hi Guys
Just received the following offer

ANZ
loan $578,888
1 year 4.70%
$4k cash back
Any good?

Cheers

From one of Ron's students on our facebook page.

Interest rates dropping like mad for sure!

[BigDreamer]

Wow 1 year 4.7%. Rates have dropped so fast in the past 3 months. I fixed 2 years at 5.09% in April and that was a *great* deal at the time.

[PTILoveYou]

I fixed 2 years at 5.09% in April and that was a *great* deal at the time.

Break that now or the breakcost will just sky rocket as rates keep dropping lol!

[Maccachic]

Wow 1 year 4.7%. Rates have dropped so fast in the past 3 months. I fixed 2 years at 5.09% in April and that was a *great* deal at the time.

Im still hoping my 4.99%/5years works out good Next one up in December fingers crossed rates are still low

[PTILoveYou]

Im still hoping my 4.99%/5years works out good

Reminds me of the 6.5% @ 5 years being offered in 2010 lol...

[BigDreamer]

I was stupid enough to fix a ~$500k loan (combination of loans) with ANZ for 6.5% last August. I had to break it and it costed me just over $12k. I shed a tear as I paid it but I know it was for the good.

[PTILoveYou]

i had to break it and it costed me just over $12k. I shed a tear as i paid it but i know it was for the good.

ouch !!!

[BigDreamer]

The total break fee when I restructured and moved out of ANZ was a total for ~$17k. Majority of it was made up of the $12k break fees related to the 6.5% fixed loans with $2k which I had to return as I stayed less than 2 years and the remaining was for other smaller loans.

[Wayne]

Break that now or the breakcost will just sky rocket as rates keep dropping lol!

And don't fix again otherwise you will continually review and break.
(Or fix max 6 months which is the new 'floating' im my opinion.)

Decide what you want - security or the daily rate?

[PTILoveYou]

And don't fix again otherwise you will continually review and break.
(Or fix max 6 months which is the new 'floating' im my opinion.)

Decide what you want - security or the daily rate?

Yup 6 months is the new floating.

[chrisgoh]

Rate spiral down like water, more fuel for red hot property.

Money becomes cheaper each day, better invest somewhere to hedge against inflation.

[eri]

The Reserve Bank of New Zealand may take interest rates to a new record low as dairy prices, the currency and the labour market weigh on economic growth.

Westpac Bank's chief economist Dominick Stephens is now forecasting the cash rate to be 2 per cent by December, with four 25 basis point cuts from next week.

http://www.nzherald.co.nz/business/n...ectid=11482149

[Norwest]

I was stupid enough to fix a ~$500k loan (combination of loans) with ANZ for 6.5% last August.

I did similair for a group of mortgages around the same time as you.

In hindsight, it wasn't the best thing to have done, but I wouldn't call it stupid!

Looking back on history is easy, correctly picking the future 12 months ahead is extremely hard.

[cube]

Pick the right rate at the time and don't look back. Rates have to drop quite a long way to make breaking and re-fixing worthwhile.