Read this article in the NZ Herald from yesterday…it makes you wonder how this is even news.
Canadian migrant Genevieve Westcott remembers the 20.5 per cent mortgage rates of the 1980s.
“When we first came to New Zealand in the mid-80s, we had planned to stay for just a year to sample the Antipodean delights. We had left behind a beautiful house in Vancouver. We were horrified at the mortgage rates in God’s Own. In 1987, when I was headhunted back to Canada, the mortgage rate had peaked at 20.5 per cent compared to Canada where the rate was 9.75 per cent for a one-year fixed mortgage. We didn’t waste any time buying a new home in Toronto,” the broadcast journalist remembers.
But by 1991, she had returned here, buying a sprawling villa in Devonport’s Summer St where she lived for 17 happy years.
“Our mortgage rate then, as I recall, was about 14.5 per cent. Luckily we brought Canadian funds with us from the sale of a Toronto home to bolster our purchase. But we still had to go to the bank and it took us a few years to pay off the mortgage. We had quite a party to celebrate when the momentous day arrived.