BRANCH UPDATES Cathy Punter Bay of Plenty Gisborne Branch President Bay of Plenty Gisborne Legal Executives New Zealand Spring 2026 At the time of writing this report, spring still feels a long way off, especially after a week of the coldest recorded o temperatures. My hometown of Rotorua was -5.6 C one morning! Property market As we move towards spring, the property market is showing signs of cautious activity rather than dramatic change. Buyers are still price-conscious, vendors are adjusting expectations and borrowers are paying close attention to where mortgage interest rates may head next. For all legal executives involved in conveyancing, refinancing, relationship property, estate administration or lending-related work, these rate movements remain a practical consideration for clients at almost every stage of a transaction. After the sharp increases experienced in 2022 and 2023, mortgage rates eased through 2024 and 2025 as the Official Cash Rate moved lower. During 2026, however, the direction has become less straightforward. The Reserve Bank increased the OCR to 2.5% in July (and to 2.75% in early September), noting that inflation pressures remain a concern and that interest rates may need to be adjusted to return inflation to target. Standard advertised mortgage rates reported by the Reserve Bank also show that, by July 2026, shorter fixed terms had edged up from earlier in the year, with oneyear standard rates around the mid-5% range and longer fixed terms sitting higher. Interest-rate movements can affect more than the client’s monthly repayment. They may influence whether finance conditions are satisfied on time, a purchaser needs an extension, a refinance remains worthwhile after break costs are considered and whether a client’s lending instructions change shortly before settlement. In a busy spring market, small timing issues can quickly become stressful if clients have not allowed enough time for bank approvals, KiwiSaver withdrawals, insurance confirmation or to update loan documentation. Social events Successful mid-year social events for the Bay of Plenty Gisborne Branch were held over winter. Gisborne members joined together for a dinner at a local restaurant, Tauranga members attended a pottery and wine evening, and Rotorua enjoyed dinner and a quiz at a local restaurant. Thank you to all the social convenors for arranging these evenings. It is important for our community to attend these events. The conversation inevitably turns to work but it’s a great way of getting to know each other outside the confines of the office. Spring is often a busier period for property transactions; this year may be no exception. While the market is not experiencing the same level of rate shock seen in earlier years, the recent trend suggests borrowers should not assume further reductions are guaranteed. For all legal executives, the safest approach is to keep finance-related timing, documentation and communication firmly on the radar from the outset. Te Ahi Tupua The picture accompanying this report is of a sculpture called Te Ahi Tupua or The Eternal Fire. The sculpture sits below road level within the middle of a roundabout near Te Puia at the entrance to Rotorua. When approaching the roundabout from any direction it appears as though the sculpture is erupting from a volcano and looks particularly spectacular when it is lit up at night. The sculpture was developed by New Zealand Māori Arts and Crafts Institute and tells the story of the arrival of geothermal energy to Rotorua. The sculpture depicts steam vents, heat, flames and eruption; it is meant to reflect the interconnectedness of the community, the pursuit of knowledge and care for our natural environment. 5 Te Ahi Tupua, Rotorua Supplied by Cathy Punter
Brought to you by digidoc.online
ZGlnaWRvYyBvbmxpbmU=