the future is influenced by Economic Performance and Interest Rate forecasts. The Lender will then add their lending
margin which varies dependant on the Lender and
market conditions.:: Yield Curve – All interest rates currently available plotted on a graph. The relationship of these rates gives an indication of what might happen in the future. :: Risk Premium – NZ is always likely to have higher Mortgage Interest Rates than other 1st World Countries. Due to our geographic location, and the small scale of our financial markets, NZ generally must pay a Risk Premium for funding on International Markets. |
