Photo: RNZ
Home loan borrowers are switching banks in record numbers, chasing cash back incentives.
But who's paying the price?
Reserve Bank data shows there was $14.1 billion of home loan lending in December, $3.6b more than the previous strongest month, which was March 2021.
Cotality chief property economist Kelvin Davidson said it was a "large spike" in lending activity, for both owner-occupiers and investors.
He said some of it was for people buying houses but the bulk of the activity came from people switching banks.
There was $5.8b in home loan lending refinanced in the month, more than double the previous high. Switches made up 41 percent of the total movement of lending, compared to the previous highest level of 30 perc
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