Banks Loosening %

The moment we've been waiting for has arrived, the OCR has dropped to 5.25%! While this is still far from the near-zero rates of the pandemic, it’s a positive shift. 

Could this earlier-than-expected, moderate decrease signal the beginning of a series of steps to ease the burden on mortgage holders and get the market moving more smoothly? With the rollback of CCCFA (Credit Contracts and Consumer Finance Act ) regulations from December 2021, there’s hope that people will soon be able to access lending more freely and safely, without having to justify every coffee purchase. The madness of the past was real, but we have turned the corner. 

Overall, the outlook is improving as homeowners are increasingly enjoying the advantages of the Reserve Bank's recent interest rate cut, as banks compete to offer attractive mortgage lending rates.