As any developer will know, banks across New Zealand have dropped a couple of belt sizes in the recent years. They’ve moved rapidly from the binge eating of the 5 or so years between 2011 and 2016 straight onto the no-sugar diet. Let’s just hope it doesn’t lead to a sugar crash!
When prices are going up, everyone seems happy to pay ever increasing prices and nobody questions whether or not it is a good time to buy. Conversely, when prices are falling everyone sits on the fence waiting for the market to pick up.
When it comes to property, the risk is that borrowers (and speculators in particular) think tomorrow will be better than today and don’t act. Watching a speculator in action is like putting a frog in water and gradually increasing the temperature. The frog never jumps out.
The Auckland market is in a state of flux. So, what is some of the data telling us about house prices?
It’s time to pull out the crystal ball and talk property prices. With house prices falling in Sydney (4.5% in the past year), the question is, will the same thing happen here? For this post I thought I’d develop a bottom-up ‘economic’ model.
For those of you who have read my recent article Top 5 first home buyer tips, you may remember me talking about the opportunities that have presented themselves over the last year or so to potential first home buyers. Where there’s a will there’s a way, as they say, and that certainly seems to be the case with the current New Zealand property market.
Right now, being a bank customer without using an advisor must be a nightmare.
First-home buyers across the country will be feeling a sense of relief as recent mortgage lending figures solidify.
I am always frustrated by our media and how they report house prices. Tabloid rubbish bouncing from headline to headline with no substance.
After four years in the making, the new-and-hopefully-improved Auckland Unitary Plan has been released by the Independent Hearings Panel (IHP) and is now up for both public and Council scrutiny.
Whilst I fully agree that house prices are over-inflated, I don’t think it’s to the extent that this ratio suggests.
If there's one thing that has dominated the headlines lately, it's the Auckland house situation.