MyRefix

The break-even rate is the interest rate at which the total cost of going short equals going long. If the rate you get when you refix is below this number, you saved money by going short. If it’s above, the longer fix would have been cheaper. It’s the key number to watch — everything comes down to whether you think rates will be above or below this when your shorter fix expires.

It depends on the rate gap between short and long terms, and where you think rates are heading. A larger gap means rates need to rise significantly for the longer fix to have been worth it. Use the calculator above to find your specific break-even point — it turns this decision from a guess into a clear number.

Special rates are lower but typically require 20%+ equity (loan-to-value ratio under 80%) and your salary credited to the bank. Standard rates are available to all borrowers regardless of equity or banking arrangements. If you’re a first-home buyer with less than 20% deposit, you’ll usually be on Standard rates.

NZ banks can change rates at any time, but major movements typically follow RBNZ Official Cash Rate (OCR) reviews, which happen 7 times per year. Rate changes often flow through within days to weeks of an OCR decision. Competitive pressure between banks can also trigger rate changes independently.

No. MyRefix is an educational tool that helps you understand the maths behind your refix decision. It doesn’t account for your full financial situation, risk tolerance, or future life changes. Always consult a qualified financial advisor or mortgage broker before making mortgage decisions.