Kia Ora!
In this newsletter –
Hot tip of the month – Changing utility providers could save you hundreds
Did you know – Advised people are more confident with their finances and making decisions
First-home buyer tips – Now is a good time to buy
Property – Where you should be looking for investment properties
Investments – Diversification remains the best strategy
Banks – A surge of customers has benefited from refinancing. What about you?
Reserve bank – OCR holds steady at 2.25%
Insurance – Higher medical excesses: the pros and cons
Business – Have you set your business up to succeed this year?
Hot tip of the month
Changing utility providers could save you hundreds
This is our reminder to review your utility providers. Electricity, broadband, and phone plans can vary significantly. Reviewing your providers each year and switching to a better deal can save you hundreds with little hassle. It is that time of year that the Lines companies review their rates and we all get hit with increases from 1 April.
Did you know?
Advised people are more confident with their finances and making decisions
People who get financial advice have higher financial confidence and satisfaction
The research compares advised vs unadvised consumers and finds that:
- Advised people score significantly higher on financial confidence
- In New Zealand specifically, the confidence gap is larger than the global average
- Around 60% of advised New Zealanders are highly satisfied with their wealth, compared with about 40% of unadvised people [riskinfonz.co.nz]
This supports a clear statement that their finances are “better off” in both perception and outcomes, not just feelings.
First-home buyer tips
Now is a good time to buy
The Reserve Bank has signalled that the OCR is likely to remain steady for the first half of 2026 but may well increase later in the year.
The OCR directly affects interest rates; when the OCR rises, so do interest rates. Sometimes banks raise or lower interest rates in anticipation of an OCR change, so customers may see rates move before an OCR change is even confirmed.
Add to that the market remaining positive for first-home buyers. The result is that if you are in the market to buy your first home this year, it may well be worth ramping up your hunt for a house sooner rather than later.
If you’re hoping to buy a house soon but think you’re not yet able to, let’s talk: we’ve had many clients who have managed with Elise’s expert advice to buy a home sooner than they expected!
Thoughts from Elise
I missed getting my usual February newsletter out and we find ourselves heading into the last month of the 2026 financial year.
Christmas and the seasonal holidays seem a long way behind us and for many of you are in the process of making some big decisions, planning and putting plans into action,
This has meant a very busy start to the year for Team BoB. Gordon is retiring and I have been working on some initiatives to build the team and give me more support to improve our service to support you all. I am excited to say that I am close to being in a position to talk about some upcoming changes.
Before any of you start to panic, the key thing is that I will still doing what I do and I will have more support to provide the services I provide.
On the weekends, Sarah and I have started preparations and minor projects on the “munta to minta” project. It is great to be back making progress on the property.
We also have a new addition to the family in the form of a new kitten. Sparky M’larky is a rescue kitten from Hokitika and at 5 months old he is yet to go outside, although he is very keen to do so.
The property markets are lively and the banks are keen for business, so if you want to know what is best for you get in touch. I look forward to hearing from you and supporting you with your projects this year.
Property
Where you should be looking for investment properties
When building a cashflow-positive investment portfolio, you consider mortgage payments, yield, growth potential, and local demand drivers (places of study, employment hubs, access to transport).
Property investment opportunities aren’t equal across the country. The good news is, you don’t need to invest where you live. So, where in New Zealand are the healthy investment markets?
Good news for BoB Christchurch-based clients: Christchurch has strong investment opportunities. Suburbs such as Aranui, Hornby, Linwood/Woolston and Addington combine lower purchase prices with strong tenant interest. Gross rental yields in the city commonly sit around 4.0–5.5 %, higher than many other large centres.
Beyond Christchurch, several regional markets offer noteworthy opportunities. Invercargill and Whanganui are known for high gross yields (sometimes 5.5 %+), thanks to low entry prices and reliable tenant demand.
Dunedin and Hamilton also feature good returns, buoyed by student and commuter populations and solid long-term demand.
If you’re considering starting or growing your property portfolio, get in touch with Elise. She can help you identify your next steps.
Investments
Diversification remains the best strategy
Even experienced investors can get caught up in a hot trend and end up overexposed to a single company, sector, or asset class. The current economic climate is a timely reminder that diversification helps keep portfolios resilient.
For most people, keeping up with investment news can feel overwhelming — so here’s a quick snapshot of what’s shaping markets right now:
- NZ interest rates remain relatively stable
- Local shares have shown resilience, particularly in retail, financials and infrastructure
- Higher bond yields have made fixed income more attractive again
- KiwiSaver balanced and growth funds are tracking broadly in line with overseas peers, despite ongoing volatility
- Property values are mostly flat, with regional differences
- Global markets continue to be influenced by interest rates, energy prices and geopolitical events
If only one or two of these areas apply to your portfolio, it may be time to review whether you’re sufficiently diversified.
Banks
A surge of customers has benefited from refinancing. What about you?
Banks remain highly competitive, with record levels of mortgage switching reported late last year as borrowers sought sharper fixed rates and cashback offers.
Since the OCR cut to 2.25% in November 2025, several lenders have adjusted fixed-term pricing to remain competitive while balancing wholesale funding costs.
For those with fixed rates due to expire this year, proactive loan reviews are critical. Even modest rate differences across 1- to 3-year terms can materially affect repayments over time.
Short term rates are still low, and the 3-5 yr rates are still under 5.5% which is still a good deal. The big BUT is that the interest rate is the least of the considerations when looking to fix your loans.
At BoB, we secure cashback and legal deals, optimise loan structures, and avoid traps. Book a review with Elise to see if refinancing is the right move for you.
Reserve Bank
OCR holds steady at 2.25%
In February 2026, the RBNZ kept the OCR unchanged at 2.25%, signalling that monetary policy is likely to remain accommodative for some time. There’s no forecasted rise until Q2 2026 or early 2027, based on current guidance.
Inflation and economic confidence are going to be the big factors, that are going to determine when the rates go up. All economists are picking a long slow recovery. The election in Q3 will also play a part in the economic recovery.
Insurance
Higher medical excesses: the pros and cons
Pros
- Lower premiums: Choosing a higher excess usually reduces the cost of your health insurance premiums. [riskinfonz.co.nz]
- Excess is paid once per year: With many NZ policies, the excess is payable once per person, per claims year, not every time you claim. Once it’s paid, further eligible claims in that year may be covered in full. [fma.govt.nz]
- Good value if you rarely claim: If you’re generally healthy, a higher excess can be a costeffective way to keep cover in place.
Cons
- Higher upfront cost if you do claim: You’ll need to be comfortable paying the excess at short notice if treatment is required. [riskinfonz.co.nz]
- Less suitable for frequent claims: If you expect regular treatment, a lower excess may provide more predictable outofpocket costs.
Bottom line:
A higher excess can make sense if you want to reduce premiums and can afford the excess if needed — especially knowing it’s typically only payable once per year
Business
Have you set your business up to succeed this year?
I know we say this every year, but how is it March already?! Hopefully you took some time over the summer to set some business goals and plan how to get your business where you need it to in 2026.
Now is a good time to pick up your plan and check whether you covered the bullet points below.
- Set clear goals, broken into quarterly milestones, with measurable KPIs (Key Performance Indicators) to track progress.
- Outline strategies for marketing, sales, operations, and finance.
- Create or review your risk and contingency plan to manage uncertainty
- Embed team accountability and communication checkpoints to keep everyone aligned and motivated throughout the year.
- Schedule regular review points throughout the year and adjust as needed.
Haven’t found the time to plan out 2026 for your business? Good business starts with a good plan. Book a strategy session today.
We are always available for a chat about your situation.
Book a meeting or send us an email.
Until next time,
Elise and the Team