What a difference a year makes
Friday, December 17th 2010, 3:56PM
Economists have been suggesting for quite some time now the best place for your mortgage is floating. However they are now saying that its probably not a bad idea to put a portion of your mortgage on to a fixed rate.
The above graph shows the gap between the major banks (ANZ, ASB, BNZ, National and Westpac) median floating and two-year fixed rates has narrowed significantly in the past 12-months proving the second part of the paragraph above as a viable option. The margin between the two rates was 120 basis points in January to only 35 points in December.