News & Research

Migration, Mr Peters & the housing market

09 October 2017

A current topic under the microscope, given the context of NZ First’s position of power in Coalition negotiations, is migration.

New Zealand’s record high net migration eased slightly in August, with the downward trend now appearing more consistent. The influence of NZ First’s tighter proposed immigration policies could combine with current trend, meaning a continual decline in net migration, more so with Labour who are more closely aligned to NZ Firsts migration stance.  

But irrelevant of whom Mr Peters favours, any immigration changes will take time to come into effect. Head of CoreLogic Research, Nick Goodall comments: “The current pressure on the housing market from an increasing population will remain for the short term. A large part of our positive net migration picture is still due to Kiwis choosing to stay here or expats returning home and most of those are returning from Australia. An improving Australian economic outlook will start to influence those figures”.

“Looking ahead, we’d expect that a National led government may potentially result in a property market activity increase to occur sooner than a Labour lead Government would, because National has fewer policies in play to address housing demand. 

For this and other market insights (such as the main economic factors that influence the housing market, sales volumes, values, and active buyer types in both the national and main centre housing markets) - download your free copy of the September/October Property Market & Economic Update Report, created by the CoreLogic NZ research team.