Bank of New Zealand (BNZ) stories
Low rates, fiscal stimulus and reopening borders should support New Zealand property values in 2021, though office and retail risks remain.
New Zealand’s housing boom lifted values in almost every main centre, with Auckland now boasting 117 suburbs above the NZD $1 million mark.
A shortage of homes for sale is fuelling record house prices and leaving buyers with fewer options, despite the busiest November in 13 years.
Affordability is worsening for first-time buyers as house prices outpace incomes, deepening the housing divide and fuelling political pressure.
Listings fell to record lows as buyers pushed Auckland’s median house price to GBP £1 million and nationwide sales hit a 14-year October high.
The Business Improvement District levy will stay flat as Takapuna's board backs a new chair and incoming members for the year ahead.
Nationwide house prices climbed 1.3% in October as low rates and scarce listings kept demand ahead of supply.
Record-low rates have lifted first home buyers to a 25% market share, but reimposed lending curbs could force many out again.
Nationwide property values rose 0.8% in September as low rates and scarce listings kept demand firm despite the economic downturn.
Record house prices and strong sales are fuelling doubts over Treasury’s forecast of a 5% fall by June next year.
Tighter lending criteria and renewed virus restrictions are likely to cool mortgage demand after July’s NZD $6.6 billion peak.
Pent-up demand is expected to lift sales as Aucklanders return to the market after nearly three weeks in lockdown.
Auckland and Dunedin buyers are skewing towards mortgaged investors, as July's share hit a four-year high despite fresh Covid-19 uncertainty.
House prices and sales could weaken in September unless the Government extends mortgage deferrals as the wage subsidy ends and election looms.
Property values have already slipped nationwide, with tourism-dependent centres like Queenstown hardest hit as the recession starts to bite.
Sales momentum remains firm in Auckland, with first-home buyers and investors still active despite claims the city has tipped into a buyers’ market.
Lower deposit rules and weak bank returns are drawing small investors into housing, helping keep prices elevated across New Zealand.
Affordable townhouse projects in Auckland will get a lift as the non-bank lender commits GBP £75 million to new residential developments.
Lower deposits and record-low borrowing costs are giving first-home buyers their strongest opening in more than a decade this winter.
With mortgage rules easing, the Government is being urged to soften New Zealand's foreign buyer ban to help revive property sales and investment.
