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![Bernard Hickey: Predictions need a pinch of salt](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Bernard Hickey: Predictions need a pinch of salt
Every time the economists' predictions have been quashed by an unexpected event that meant interest rates didn't rise much, or at all, writes Bernard Hickey.
![Tame inflation expected to keep rates on hold](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Tame inflation expected to keep rates on hold
RBNZ and economists agree inflation remained tame in the fourth quarter, keeping intact expectations OCR doesn't need to rise until March.
![Reserve Bank OCR stays at 2.5pc](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Reserve Bank OCR stays at 2.5pc
The Reserve Bank has left the official cash rate unchanged at 2.5 per cent. Interest rates are expected to increase early next year.
![Markets expect increase in OCR](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Markets expect increase in OCR
When it releases its monetary policy statement on Thursday the Reserve Bank is expected to turn up the volume on its warning that it is preparing to remove the support of ultra-low interest rates in place since the recession.
![Low deposit lending halved](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Low deposit lending halved
The share of new mortgage lending going to borrowers with low deposits halved in October, the first month in which the Reserve Bank's curbs on such loans applied.
![LVR limits ease pressure](/pf/resources/images/placeholders/placeholder_l.png?d=793)
LVR limits ease pressure
Lending restrictions are starting to ease the pressure on the property market but first-home buyers are still finding it tough as prices and interest rates creep up.
![Housing affordability worsens](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Housing affordability worsens
Despite the introduction of the Reserve Bank's lending restrictions, home affordability has continued to worsen according to a new report.
![Reserve Bank defends new loan limits](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Reserve Bank defends new loan limits
In a speech to the Property Council this morning the Reserve Bank's deputy governor has gone on a charm offensive over its LVR restrictions.
![Westpac cuts 2-year mortgage rate](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Westpac cuts 2-year mortgage rate
Westpac has dropped its two-year fixed rate home loan but at the same time hiked its one-year rate.
![Property values continue to accelerate](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Property values continue to accelerate
Rising New Zealand property values accelerated last month as the lack of listings in Canterbury and Auckland continue to overheat the market.
![Home prices 7.5pc above last peak](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Home prices 7.5pc above last peak
Christchurch and Auckland property prices still increasing as regions slow over winter, figures show.
![Don Blair: The Auckland housing debate - regional strategy needed](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Don Blair: The Auckland housing debate - regional strategy needed
Creating incentives that provide opportunities within the wider Auckland region can be done if affordable housing and good paying jobs are available, writes Don Blair.
![Peter Lyons: Resurgent US economy will bring pain for us all](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Peter Lyons: Resurgent US economy will bring pain for us all
A resurgent American economy would have a major impact on New Zealand, writes Peter Lyons. The events of the past few weeks provide a taster.
![Don Blair: Affordable housing for all? Bad economic policy](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Don Blair: Affordable housing for all? Bad economic policy
As an American, I have firsthand experience of how wrong the push for home ownership can go, writes Don Blair.In New Zealand as in most countries, the housing market is driven by two main variables.
![Reserve Bank tipped to start using new tools](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Reserve Bank tipped to start using new tools
The Reserve Bank will likely use its new macro prudential tools within the next six months to cool Auckland's overheated housing market, says the New Zealand Institute of Economic Research.
![NZ houses overvalued by 25pc - IMF](/pf/resources/images/placeholders/placeholder_l.png?d=793)
NZ houses overvalued by 25pc - IMF
New Zealand housing is already overvalued by about 25 per cent and if it continues to rise may force the Reserve Bank to hike interest rates, according to the IMF.
![Greens want Kiwibank to take on Australians](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Greens want Kiwibank to take on Australians
The Green Party wants to bolster Kiwibank's capital so it can "really take on the Aussie banks".
![Kiwibank cuts one-year mortgage rate](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Kiwibank cuts one-year mortgage rate
Kiwibank has today reduced its one-year home loan rate by 26 basis points and withdrawn a six-month special promotion.
![IMF cautions against tinkering](/pf/resources/images/placeholders/placeholder_l.png?d=793)
IMF cautions against tinkering
The International Monetary Fund counsels against "messing with" the NZ monetary policy framework.
![Reserve Bank warning shot](/pf/resources/images/placeholders/placeholder_l.png?d=793)
Reserve Bank warning shot
Reserve Bank governor Graeme Wheeler delivered a warning to the financial markets yesterday - don't assume interest rates can only go up from here.