Housing market strengthening: Westpac

Wednesday 5 December 2012

New Zealand’s housing market is still in a strengthening phase, according to a Westpac senior economist.

Michael Gordon said today’s statistics from Barfoot and Thompson showed that supply in Auckland in particular had tightened further. New listings have failed to match the upturn in sales over the past six months.

“As a result, the total number of listings is now equivalent to just 3.5 months' worth of sales, down from 3.7 months in October. This is the lowest ratio since December 2003.”

Barfoot and Thompson’s statistics showed a 6.3% seasonally-adjusted fall in sales in November, after a 15% jump in October.

He said low mortgage rates were clearly boosting the market.

“With the RBNZ now obliged to monitor asset prices under its new Policy Targets Agreement, we suspect the RBNZ will have little enthusiasm for OCR cuts.”

Comments from our readers

No comments yet

Sign In / Register to add your comment

House Prices

Top 20 Super City hotspots

Coastal suburbs dominate Barfoot & Thompson’s latest list of Auckland’s top 20 hot growth spots, indicating a shift away from the traditional inner-city favourites.

Commercial

Navigating shaky ground

Attention has been focused on the business risks seismic events can pose since last year’s Kaikoura earthquakes – and yet many people are still unclear about what they need to do.

Mortgages

What the RB governor said

Here is what Reserve Bank governor Graeme Wheeler had to say about interest rates today.

Site by PHP Developer