The media spotlight has been on the housing sector of late, but commercial property is also performing well enough that New Zealand’s biggest fund manager is calling it the star asset class in the year ended March.

New Zealand's median house price in March held to its record reached in February and sales activity jumped to its highest level in six years.

Although the traditional response to rising interest rates is for mortgage borrowers to flock to fixed rate loans, that’s not the best move for all but a few, says William Cairns of mortgage banker Cairns Lockie.

This time around, Reserve Bank governor Don Brash met concensus expectations and raised his official cash rate (OCR) from 5% to 5.25%, the second rise of the current tightening cycle.

The Reserve Bank today raised the official cash rate from 5.0 per cent to 5.25 per cent.

Money Managers has flexed its muscle and forced the manager of an FMG-promoted property syndicate to change its plans.

Economists are picking that the Reserve Bank will raise the cash rate by 25, and maybe as much as 50 basis points on Wednesday.

New Zealand’s isn’t the only housing market that’s booming. According to The Economist magazine, it’s practically a worldwide phenomenon. And the performance of the New Zealand market looks tepid against the international picture.

Jenny Ruth looks at the reasons why non-bank lenders have struggled to get market share in New Zealand.

The rising trend in housing consents begun in January last year continued in February, according to Statistics New Zealand.

Even though the Reserve Bank raised rates on Wednesday, it is only this morning that the first major bank, WestpacTrust has raised its floating mortgage rate.

As if to vindicate Reserve Bank governor Don Brash’s decision to raise interest rates, the latest real estate sales figures show the median house price at a record in February and sales activity at its strongest since March 1996.

Contrary to most economists’ expectations, Reserve Bank governor Don Brash raised his official cash rate (OCR) from 4.75% to 5%, citing a stronger than expected New Zealand economy and a less threatening global economy.

Contrary to most economists’ expectations, Reserve Bank governor Don Brash raised his official cash rate (OCR) from 4.75% to 5%, citing a stronger than expected New Zealand economy and a less threatening global economy.

For once economists are unsure what the Reserve Bank will do with rates on Wednesday when it makes its Monetary Policy Statement.

Australia-based Wizard Home Loans, which opened its 11th New Zealand office in February, is now writing nearly $40 million in mortgages here each month.