MORTGAGE DEFERR AL SCHEME
MORTGAGE HOLIDAYS CONFIRMED UNTIL END OF MARCH “Extending mortgage holidays until the end of March is positive news for homeowners and the real estate industry generally. Things are now looking more workable,” says Derryn Mayne, Owner of Century 21 New Zealand.
for Australian homeowners by
“With a triple whammy averted for
another four months.
September, this could’ve been a spring of discontent for thousands
Initially the Reserve Bank announced on 24 March a sixmonth principal and interest payment holiday for mortgage holders and SME customers whose incomes had been affected by the economic disruption from Covid-19. As of 30 June, nearly 60,000 Kiwis
The real estate leader’s comments followed the Minister of Finance recently announcing a sixmonth extension to the
had deferred their payments on the likes of mortgages, while a further 79,000 had reduced their payments servicing home loans, personal lending or
mortgage deferral scheme. The Government, Reserve Bank and retail banks agreed to a six-month holiday which was due to expire on 27 September. It will now run until 31 March 2021.
“With the General Election and applications closing on the wage subsidy scheme still happening this spring, extending
mortgage holidays until the end of the first quarter next
This follows banks in Australia
year is a no-brainer. We need to
agreeing in July to extend their six-
first get over these two big humps,
month mortgage holiday scheme
and it will mean a brighter summer!
C21 MARKET PULSE
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extension of mortgage holidays will help preserve the real estate market and property values overall,” she says. The Century 21 boss says the underlying strength of New Zealand property continues to prove itself, with industry statistics still showing that any doom and gloom forecast back in March and April has yet to be seen. “There was a perfect storm brewing
debt.
"...this extension of mortgage holidays will help preserve the real estate market and property values overall."
of homeowners. However, this
CENTURY 21
on the horizon this spring, but the Reserve Bank has again acted decisively which will only help overall confidence in the market,” says Derryn Mayne.
