The latest news from economists is that the Official Cash Rate (OCR) may rise in the near term.

Some good news at last, with banks opening up to smaller deposits

With some good advice and planning this could be a reality for you

Might be time to see if it's possible to buy a home

Jacky got a great result for some Kaikoura business owners recently. Over the past 2 years they have worked through many scenarios together, to see if they could get into a home of their own. The c lients had a restricted business income as they had put a lot of cash and further finance into business expansion and survived the effect Covid had on Kaikoura. . This income was insufficient to get them into an entry level home so Jacky asked the accountant to prepare projections and commentary on the increased income. The clients did find a suitable home with a self contained flat which gave extra income needed and got conditional approval at their own bank and another bank. It took some time to ensure they were eligible for kiwisavers as they were not straight forward first home buyers. Jacky helped them through this as well and got approval for this and first home grants and so could get 20% deposit together giving them the best interest rates and cash offered. Jacky also had to work hard to get the longest loan term possible as they were over the usual age for 30 year loan terms. This couple is now living in their own home and their business is thriving. It's been a long process for them to get to this position, and Jacky's expertise and persistence certainly paid off. Do you know anyone who has had a no from their bank? Give us a yell to see if we can help

Jude East Timor

The worm may have turned in the housing market, according to Quotable Value (QV). "For the first time since July last year, the QV House Price Index (HPI) has shown a reduction in quarterly value growth from the previous month," QV said in its latest HPI report.

New Zealand house prices have risen significantly in the past 12 months. This has raised concerns at the Reserve Bank of New Zealand – Te Pūtea Matua about the risk this poses to financial stability.  Central banks responded swiftly to the global economic shock caused by COVID-19, making it cheaper for households and businesses to borrow. These initiatives were complemented by the support provided by Government policies and helped to avert a more serious financial crisis, but also had the flow-on effect of boosting asset prices. In our case, with strong population growth and limited housing availability, house prices climbed from already elevated levels, and debt levels rose with them. This has led to pockets of vulnerabilities as some households have borrowed a lot compared to their income to buy homes at historically high prices.