Mortgage rates over the years...

Just having a clean out of old files and mortgage info, amazing to see how the rates have changed in the 11 years since we took out our first mortgage.

November 1995 - 9.95% [:0]
June 1998 - 11.25%
10 October 1998 - 7.95%
24 October 1998 - 6.95%
March 2001 - 8.25% [:0]
July 2005 - 9.05

Now? - 10.30% [xx(]

So it looks like it's gone a 10 year cycle - but oh how we can only wish that it will do the same 4 month decrease as it did between June and October 1998!!!!!

1980-81 ranged from 16-19 %.. we had just returned from overseas.. had that to deal with and the car-less day.. and still females couldn't get anything on hire purchase or get a home loan.. house prices about 25- 40k for middle of the road home and dizzy price of $70k for a home by the lake.... so what will it all be in another 25 yrs time..[:0]

What were the salaries like back then, Beedee?

in 1982 we had a first mortgage of 22% floating and a second mortgage of 12%, that was fixed.

Yes, my first mortgage in 96 was up near 9.95%, got as low as 5.95%.... Am just wondering where all this lastest malarkey will lead. What gets up my nose is the price of petrol still being so high, just out and out profiteering by the oil companies (no real surprise, i know...)

We bought our first house in 1988. Our interest rate was 16½%

quote: so what will it all be in another 25 yrs time..

As a general rule, property prices double every 7 years.

Sorry Tigger, didnt see your ???. I know in 1972, a nurses wage was about 3,500 and police got about $4,k then when I came back to NZ and started working in 1980 it was around the $7k.. but then all the increases took it slowly up to the $20k with everyone else.
I remember reading that 3 yrs of wages should match the price of a home that one could afford.. and I did keep to that.. but think I might fail now as I think my salary/wages this year will be about $10-15k.. so dont think there are many homes at $45,000[V] available

Yep I remember a 21% mortgage in 1985. Remember having to grovel to get it too.

Also got turned down on finance for buying an $11,000 section (had a river reserve boundary!) when we had $6000 deposit as a section "wasn't good security" (that still puzzles me - where was it going to go, don't think anyone would steal it, couldn't burn down...) Wish I had it now, and bet I would have no problem borrowing all of the 300 odd thousand it is probably worth now....

Tony Alexander from the BNZ keeps saying don't fix for more than a year as the rates will come down...

Not sure what his take is on selling our currency off to drop it though.

Rates are too high now. But when we moved over in 1986 my parents had 24%? But as I was young, I got a very good interest rate on my savings, and I didn't have a mortgage. Don't get anything worth mentioning on savings these days - so any savings go in the floating mortgage.