So, if you are holding out for lower interest rates you might get a nasty shock.  In the past few weeks we are seeing many economists predicting a rise to the OCR as inflation isn't as low as the reserve bank governer would like.  If this happens it will flow through to interest rates.  If you do not re-fix by the due date your loan will drop to the floating rate which is much higher than fixing it.  Of course if you are selling your house, you'd let it drop to the floating rate to avoid break fees.  Every persons situation is unique and a 5 minute call with us can help you decide what to do.  Remember this service is FREE to you.