This monthly report created by the CoreLogic NZ Research team covers the main economic factors that influence the housing market, and then looks at sales volumes, values, and active buyer types in both the national and main centre housing markets.

Some highlights of the December 2016 - January 2017 report:

  • Nationwide residential property continues to increase in value and has now ticked over the 1 trillion dollar mark – a significant figure, especially when you consider the value of other asset classes (eg. NZ listed stocks $114b).
  • Net migration continues to increase as departures remain relatively flat and arrivals grow again. The effect of less Kiwis going to Australia and more coming back is still a significant contributor to overall net migration.
  • Nationwide value growth has slowed for the third month in a row, with quarterly growth now only 2%.
  • As value growth slows and rental growth remains relatively strong, nationwide gross rental yield has tapered off at just over 3%.
  • As expected, nationwide market activity has begun to tail off over the last four weeks as we head into the Christmas holidays. This should pick back up from mid-January.
  • Auckland investors have yet to be significantly impacted by the latest LVR restrictions, in terms of their share of sales, which has levelled off at 43%.
  • Values in Hamilton levelled off at $537k last month after 18 months of solid growth.
  • The strong growth experienced across Wellington over the past year is being maintained at around 21% annual growth, however there are signs of a gradual slowdown in the quarterly rate of growth (still strong at 5.5%).
  • First home buyers have continued to make their presence felt across the Wellington market: accounting for 29% of sales in 2016, well above the nationwide 20%.

To download the full report click here.