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Watch the CoreLogic Monthly Property & Economic Update for January 2019

This month we keep it nice and short, checking in on listings and sales volumes and musing possible LVR changes and the relevance of CVs.

21 Jan 2019

Inconsistent growth across many of NZ’s main centres epitomises the 2018 property market

According to the December CoreLogic QV House Price Index, property values in New Zealand grew by 1.2% over the last three months, a minor reduction on the rate of growth at the end of November. A slight drop (-0.2%) in the Auckland index for December took the annual rate for all of 2018 into the negatives (-0.4%) for the first time in just over a year. This further illustrates the weakness of the current Auckland property market as unaffordability, restrictive lending and Government influence continues to impact the market.

16 Jan 2019

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Property values in New Zealand continued to grow at a modest pace for the 13th month in a row

The November CoreLogic QV House Price Index found that property values in New Zealand grew by 1.3% over the last three months. Auckland remains a key influence and while its quarterly growth hit the positives (0.1%) for the first time this spring, the long term trend of no effective growth in two years...

LVRrulesrelaxedalittlefurther

No surprise to see LVR rules relaxed a little further

New lending data released this week highlights low non-performing loan ratios and a still-cautious approach by the banks. As expected, the Reserve Bank of New Zealand also announced a further softening of LVR rules. This may provide a kick-start to sales volumes provided more borrowers can secure loans, but...

Property values generally in tune with the labour market

Locations with the biggest house price increases over the past year have also generally had the strongest employment growth, with Otago/Dunedin being a prime example. At the other end of the spectrum, both employment growth and house prices have been softer in Canterbury and Christchurch.

Watch the CoreLogic Monthly Property & Economic Update for November 2018

This month we keep it nice and short, checking in on listings and sales volumes and musing possible LVR changes and the relevance of CVs.

Extra rules don’t seem to be deterring property investors, yet.

The latest CoreLogic Buyer Classification series shows that property investors remained active in October. The figures were possibly boosted by overseas buyers rushing to beat the foreign ban, but they nevertheless still illustrate that extra government regulations in the rental property sector aren’t scaring...

Can you trust the CV? Here's what you need to know

The relevance of CVs (Capital Values) has been questioned recently. It’s not the first time and I’m sure it won’t be the last, but the one thing I think we have to come back to is that CVs are a great anchor point for market value and, either consciously or sub-consciously, pretty much everyone in the market...

Wellington Houses

Wellington’s property bounce: what’s going on?

Property values in the capital have picked up the pace again in the past few months, despite the rise of 45% already seen in the past three years (bringing the Capital’s average value to more than $800,000). The bounce in values can be explained by a number of underlying drivers, but the key thing is simply...

Property earnings

Capital gains vs wages: where has property ‘earned’ the most?

Over the past 6-7 years, it’s been possible for property owners to ‘earn’ more from their property’s increasing value than through employment. Of course, it’s only a cash profit if they actually sell their property and either relocate to a cheaper area, downgrade to a lesser value home, or exit the market...

Property values in Wellington City spring to life as the winter lull for values comes to an abrupt end.

The October CoreLogic QV House Price Index has been released, showing an interesting story nationwide. Assessing the results, we provide detailed commentary on what's happening nationwide and look into the relevant property market drivers. Also included is a detailed comparison against the situation in...

NZ’s residential property market continues to negotiate a series of headwinds, but with some supportive factors ahead

The latest CoreLogic Quarterly Property Market and Economic Update has just been released, and in it we suggest that the overall property market outlook may be one of future uncertainty with the foreign buyer ban yet to make its full impact.

House roofs

A slow moving market doesn’t necessarily mean weak prices

While Auckland’s property market has been turning over at a relatively slow rate in recent times, listings remain high. This illustrates the city’s affordability problem and its adverse effect on buyer demand, resulting in limited value growth. Wellington has also had a low turnover rate, however, listings...

Watch the CoreLogic Monthly Property & Economic Update for October 2018

This month Nick poses the question about whether we’ve hit a floor in sales volumes, checks out days to sell and also covers the latest from the Tax Working Group, ponders the RBNZ’s position on LVR restrictions and gives a quick mention for KiwiBuild now the ballot for the first release has closed.

Moving in

First home buyers are still finding a way into the market

First home buyers grew to 24% of all residential property purchases across NZ in Q3 2018, from 18% four years ago. Such growth means that for the first time, they now hold equal market share with mortgaged multiple property owners. Despite high prices, first home buyers are still managing to find a way to...