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NZ Mortgage Rates · Updated May 2026

Current NZ Mortgage Rates 2026

Compare fixed and floating rates from major NZ banks. Use the free calculator below to see your exact repayments.

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Rates updated May 2026 · Sources: Bank websites · RBNZ · Indicative only — confirm with your lender
1-Year Fixed Rate
~6.29%
Major bank average, May 2026
2-Year Fixed Rate
~5.89%
Most popular term for NZ investors
Floating Rate
~7.15%
Higher flexibility, higher cost
Rate comparison
NZ Bank Mortgage Rates — May 2026

Indicative rates from major NZ lenders. Always confirm directly with your bank or mortgage adviser.

Lender 6 Months 1 Year 18 Months 2 Years 3 Years 5 Years Floating
ANZ 6.49% 6.29% 6.19% 5.89% 5.99% 6.25% 7.24%
ASB 6.45% 6.25% 6.15% 5.85% 5.95% 6.20% 7.20%
BNZ 6.49% 6.29% 6.19% 5.89% 5.99% 6.25% 7.24%
Westpac 6.45% 6.25% 6.15% 5.85% 5.99% 6.20% 7.20%
Kiwibank 6.39% 6.19% 6.09% 5.79% 5.89% 6.15% 7.10%
SBS Bank 6.35% 6.15% 6.05% 5.75% 5.89% 6.10% 7.05%

Rates are indicative only and subject to change. Check directly with your lender or use a mortgage adviser for your actual rate. Source: bank websites, May 2026.

Rate guide
Understanding NZ mortgage rates

Fixed vs floating — which is better?

Fixed gives certainty — you know your exact repayment amount for the term, making budgeting simple. Floating moves with the OCR and can save money when rates fall, but exposes you to rises if the RBNZ shifts upward.

Most NZ investors fix for 1–2 years as a compromise. In a falling rate environment (like 2025–2026), shorter fixed terms let you re-fix sooner at lower rates rather than being locked into a longer term at today's rates.

What is the OCR and how does it affect rates?

The Official Cash Rate (OCR) is set by the Reserve Bank of NZ (RBNZ) and directly influences what banks charge for mortgages. When the RBNZ cuts the OCR, floating and short-term fixed rates typically fall within weeks.

The OCR was 5.5% in early 2024 and has been cut progressively since — currently sitting around 3.5% in mid-2026, which has brought fixed rates down significantly from their 2023 peaks of 7.0–7.5%.

How NZ rates have moved (2023–2026)

2-year fixed rate trend — major bank average

Mid 2023
7.05%
End 2023
7.25%
Mid 2024
6.85%
End 2024
6.35%
Mid 2025
6.05%
May 2026
5.89%

2-year fixed rate, major bank average. Source: bank websites, RBNZ. Rates have fallen approximately 1.4 percentage points since the late-2023 peak.

Calculate your exact repayments

Enter any loan amount, rate and term to see your weekly, fortnightly and monthly repayments — instantly.

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Frequently asked questions
NZ mortgage rates FAQ
As of May 2026, the average 1-year fixed rate from major NZ banks is approximately 6.29%, and the 2-year fixed rate sits around 5.89%. Floating rates are around 7.15%. These represent a significant drop from the 2023 peaks of 7.0–7.5%, driven by RBNZ OCR cuts from 5.5% (early 2024) to approximately 3.5% (mid-2026).
Kiwibank and SBS Bank consistently offer rates slightly below the big four (ANZ, ASB, BNZ, Westpac). However, the difference is typically 0.1–0.2% — on a $600,000 loan, that's roughly $600–$1,200/year. A mortgage adviser can access rates not always advertised publicly and negotiate with multiple lenders simultaneously, often achieving better outcomes than going direct.
In a rate-falling environment like 2026, short fixed terms (1–2 years) are generally preferred — they give certainty now while allowing you to re-fix at potentially lower rates when the term ends. Floating makes sense if you expect to sell or repay a significant lump sum soon, as you avoid break fees. Most NZ investors fix for 1–2 years in current conditions.
The Official Cash Rate (OCR) is the rate the Reserve Bank of NZ charges banks for overnight lending — it anchors all NZ interest rates. The RBNZ cut the OCR from 5.5% in mid-2024 to approximately 3.5% by mid-2026 in response to falling inflation. These cuts have directly translated into lower fixed mortgage rates across all major lenders.
Owner-occupiers need a minimum 20% deposit (80% LVR) under RBNZ rules. Property investors need a minimum 35% deposit (65% LVR). Some lenders allow first home buyers with less than 20% under the First Home Loan scheme (5% deposit with Kāinga Ora guarantee). Use our LVR calculator to check your specific numbers.
In 2026, a good rate is anything at or below the average for your chosen term. For 1-year fixed, below 6.29% is competitive. For 2-year fixed, below 5.89% is good. Rates more than 0.3–0.5% above these benchmarks suggest you should shop around or use a mortgage adviser to negotiate.