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‘Mortgage mayhem on the way’ – National

Mortgage news

The Reserve Bank today has confirmed that extensive pain is on the way for Kiwi mortgage holders, National’s Finance spokesperson Nicola Willis says.

The Financial Stability Report, released yesterday by the Reserve Bank, expects that:

  • “Among households with mortgages, the average percentage of disposable income dedicated to debt servicing is expected to rise from a recent low of 9 per cent to 20 per cent…”.
  • “The number of households in financial difficulty will grow as more fixed-rate mortgages reprice, and could increase significantly if mortgage rates rise materially above the servicing assessment rates of around 6 per cent that banks applied through the pandemic period.”
  • “First-home buyers are the most vulnerable as interest rates increase…”
  • “A significant deterioration in labour market conditions remains a possibility, and would lead to further household debt servicing arrears and increase borrower defaults. This could contribute to fire-sale dynamics and accelerate a decline in house prices.”
  • “These findings are gravely concerning and portray a bleak future for Kiwi mortgage holders. I worry particularly about recent home buyers whose prospects look particularly grim,” Ms Willis says.

“New Zealand households are already facing a cost of living crisis and today’s report confirms it’s only going to get worse. While things are already financially tough, the future looks even tougher for many Kiwis.

“I feel for all those mortgage holders who will be kept up at night worrying about how they are going to make ends meet.

“It’s clear New Zealanders and their families are now paying a large price for the extensive money-printing, borrowing and spending under this Government.

“Labour’s economic mismanagement has worsened the cost of living crisis, with real wages declining, and petrol, food and mortgage costs all going through the roof.

“The need for strong, careful economic management and fiscal responsibility has never been more important. National would rein in wasteful spending, stop adding new costs and taxes, let Kiwis keep more of what they earn and deliver a real economic plan to tackle inflation and unleash enterprise.”

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14 COMMENTS

  1. Grand Robber inherited his theiving Dad’s gene and robbed the life savings of those who live within their means by quantitative easing. You cannot make anything from thin air other than money and lies. Money created without any productive means cannot bring wealth; oit can only shift wealth from X to Y. WEF agent Jacinda splashed the stolen aka created new money on wasteful tasks including the huge bribe to MSM and lockdown related wastage. It is only a matter of time, the EU finances are going to get bad. US finances are maintained by passing on their inflation globally. Our exports to China is not going to fetch much profits because the worlwide inflation and financial troubles will affect the Chinese profitability. Fake economist RNNZ governor is an agent of the commerical banks & real estate lobby pumped too much to unproductive assets, which is a sinister plot to destabilse the fair game societal behaviour.

    So it is time to regress to the reasonable levels of house prices. This is will be pushed by interest rate increases on which there is no escape. Both National and Labour will push for more import of people for artificially increase the demand for housing. This old trick has played many times but NZ is no longer attractive qualified well educated immigrants. Canada is much more attractive financially to many.

    Five years of pain awaits fighting inflation and inequity created by Jacinda ????????????.

  2. Federal Reserve just raised US Interest rates by 75 basis points. Orr cannot fool keeping OCR below the rate of inflation. This is economically criminal act which will destroy the productive part of the economy because the shift of capital to nonproductive assets and speculation will push per capita GDP low causing uncontrolled inflation.

      • It’s disgusting what they did to him. His last words were “what did I do?” Libyans we’re very well looked after by Gaddafi whatever you think about him and their standard of living has rapidly declined since his death.

  3. Makes you think what NZ would now be like if there had been no lockdowns, no money printing, no super low interest rates, no mandates and open honest conversations from politicians and the media. A much better place to be than it currently is I would say. And who is responsible for the current state of affairs? Labour for sure but National sat back and watched the catastrophe happen, could have done something but chose not to for one reason or another so are also guilty. Hopefully the bulk of the population can realise this as I want the old NZ back.

  4. The countries set up for the reset takeover are now reduced to 5Eyes and Europe. China, Russia, Africa, even India have arranged food supplies and energy imports via BRICSA. These are the same countries who still actually make things and have food security. Even the Saudis are getting antsy not to mention the tinder box countries-in-waiting in the Middle East. Not sure about Brazil but the Brazilians are, like us, aware of what is going on and who has orchestrated it and may actually do something about it. Rest assured, the world government plan set in motion by a pack of murderous psychopaths isn’t going to happen. They thought they had the northern hemisphere but Russia said no. They thought Australia and NZ were shoo-ins but we have our own problems now – brought about by the same murderous psychos. I could have done a better job of taking over the world myself.
    National, Labour, Act, the Greens and the Maori Party are all in it together. Five legs of the same deformed horse. Let each and every one of them cut their pay, pension and privilege to the bone and suffer with us or get out of parliament.

    • Bloody bang on summary mate!

      Russia is about to expose Britain for blowing up nordstream in cahoots with US. Imagine how p1ssed the Europeans are going to be knowing that while they freeze in their homes.

      Grab some popcorn.

      Party Vote Democracy New Zealand -growing day by day. Supporting New Zealanders, standing up for our rights, reuniting out once proud country. ????????

  5. Traditionally, most Kiwis procure their houses in Spring
    Consequently, at this time of year
    A lot of people are coming off fixed rate mortgage rates
    There will be pain

  6. All by design. Very carefully planned by the powers that be. To bring in a nwo you must first crash the old one. They will see to it that our houses and land are worthless, they will create the problem then provide the solution. They will offer you a reasonable amount for your assets, and also forgive your debt. Then they will ask you to sign your assets over to the state in return for their bailout. They will of course promote themselves as a government that cares for it people. It’s nothing more than legal theft, but given the desperate situation, many will succumb because it will be the only solution offered. With a take it or leave it approach from the government , and a bankruptcy pathway no one wants to go down as the only other option many will surrender. “We will own nothing and we will be happy “

  7. We have paid our mortgage off just recently. We have been hell bent on doing it for the last 10 years especially, forgoing new cars and holidays. People laughed at me when I suggested they do the same with the historically low interest rates. I wonder what they think now?

    There will be pain alright, especially those who bought in the last 2 years. Our government knew what they were doing and constructed this all along in partner with the reserve bank. Criminals. Perhaps we should size their assets as proceeds of crime. Zey Vill own nussink unt ve happy……

  8. And who caused all this mayhem?
    Corrupt National Party Politicians
    When they signed NZ into the International Finance Agreement in 1961
    Which signed the Sovereignty of NZ over to the International Jewish Banking Cabal Mafia of extortionists
    Interest under the guise and ruse of tax’s
    Collected by the IRD
    Works the same for everybody
    Chem trailing started in NZ in 1961 also
    The hypocrisy emanating from the ranks of National is stifling
    And who the hell is Nicola Willis?
    Federal Reserve, created in 1913 to fund WW1
    At the same time the IRS
    And the ADL

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