Property Market stories
Slower construction inflation should ease pressure on would-be buyers, with CoreLogic saying house-building costs rose just 1.1% over the past year.
House prices are still 17.6% below their post-Covid peak, with weak Auckland and Wellington values weighing on 2025 prospects.
Mortgage holders may get further relief early next year, but house prices are likely to rise only modestly as listings and unemployment stay high.
Falling interest rates and higher inventory are drawing more buyers back, with October sales up 20% nationally, REINZ says.
Lower interest rates are reviving property investor confidence, with national sentiment turning positive after the Reserve Bank’s OCR cuts.
Tauranga’s housing squeeze is worsened by 2,142 empty homes, though the mayor says filling them beats building anew.
Low vacancy and scarce small units are pushing Christchurch industrial rents higher, while slower demand for large sheds is creating rare sub-lease opportunities.
House values fell again in September, with lower rates yet to lift prices and mortgage stress still a risk for borrowers.
Buyer enquiries jumped 8.5% in the fortnight after the Reserve Bank’s cut, as more Kiwis moved into the market.
Demand from luxury retailers is pushing prime CBD retail rents higher in Christchurch, where vacancies have fallen to a seven-year low.
Buyer demand picked up in July, with sales rising 14.5% year on year even as the national median house price slipped 2.2%.
Townhouses now account for nearly half of new dwelling consents, with Auckland driving most of the rise as buyers seek cheaper homes.
Flat house prices are helping first-home buyers as nationwide values slipped 0.5% in July, the fifth monthly fall in a row.
Buyers are still active, but high mortgage rates and new debt limits are making deals harder to close across the housing market.
Buildings may get longer deadlines as ministers weigh safety against the cost of seismic upgrades and mortgage pressure on owners.
Auckland and Wellington weakened again in May as high mortgage rates and plenty of listings kept the national housing market subdued.
Buyer interest has cooled across New Zealand, with searches per listing down 10.4% as high rates and recession fears deter house hunters.
Higher costs now are prompting borrowers to favour one-year deals, even as CoreLogic says that bets on lower mortgage rates are building.
More listings and higher sales in March suggest New Zealand’s housing slump has passed its low point, with buyers gaining choice.
A glut of listings and high borrowing costs are keeping prices flat, with Auckland edging lower and buyers enjoying more choice.
