Mortgages

House building slowdown not enough to stop another OCR hike

A slowdown in house building is setting in, but the fall off is not big enough to stop the Reserve Bank of New Zealand lifting its benchmark interest rate next month, economists say.

Wednesday, June 30th 2004

Statistics New Zealand figures out today showed house building consents were down 0.5 per cent in May, following average falls of about 5 per cent in the past three months.

Consents to build apartments fell a seasonally adjusted 5.6 per cent in May, reversing a rise in the previous month. Plans to build all other homes rose 0.7 per cent last month.

Wellington region consents bounced back from a big dip in April to 224 – almost as strong as the same month last year.

National Bank chief economist John McDermott said the while the national consents were at historically high levels, "but they have come off the incredible highs."

The 31,793 consents issued in the May year were the highest 12-month total since April 1976.

Read More - Opens in a new window

Most Read

SBS FirstHome Combo 3.99
Unity First Home Buyer special 3.99
TSB Special 4.39
ICBC 4.39
Co-operative Bank - First Home Special 4.39
Unity Special 4.49
BNZ - Std 4.49
Co-operative Bank - Owner Occ 4.49
SBS Bank Special 4.49
Kiwibank Special 4.49
ANZ Special 4.59
ICBC 4.59
TSB Special 4.69
Wairarapa Building Society 4.79
Nelson Building Society 4.87
BNZ - Std 4.89
SBS Bank Special 4.89
Co-operative Bank - Owner Occ 4.89
Unity Special 4.89
Kiwibank Special 4.89
First Credit Union Special 4.95
AIA - Go Home Loans 4.95
ICBC 5.19
TSB Special 5.29
Westpac Special 5.59
ASB Bank 5.69
BNZ - Std 5.69
SBS Bank Special 5.69
Co-operative Bank - Owner Occ 5.69
Kainga Ora 5.69
AIA - Go Home Loans 5.69
Kiwibank Special 5.79
China Construction Bank 5.99
SBS FirstHome Combo 3.29
AIA - Back My Build 3.34
SBS Construction lending for FHB 3.74
CFML 321 Loans 3.95
Co-operative Bank - Owner Occ 4.99
Co-operative Bank - Standard 4.99
Heartland Bank - Online 5.30
ICBC 5.39
Kiwibank - Offset 5.65
Kiwibank 5.75
Unity Standard 5.79

More Stories

Thursday, February 19th 2026

RBNZ expects slower house price growth in the current recovery

The Reserve Bank thinks house prices will rise at a much slower pace during the current recovery than they have in past cycles.

Wednesday, January 07th 2026

Queenstown not off the radar for first home buyers

First home buyers are not being deterred by Queenstown’s soaring house prices.

Record levels of first home buyers taking out low deposit loans

Tuesday, December 23rd 2025

Record levels of first home buyers taking out low deposit loans

About half of all first home buyer lending has been done at a less than 20% deposit in recent months.

Buyers sitting on the sidelines in best time to buy in a decade

Thursday, December 04th 2025

Buyers sitting on the sidelines in best time to buy in a decade

Stable house prices, low interest rates and plenty of houses to choose from are still not enticing buyers.