New Zealand is about six months into its housing downturn, offering some clues about what’s to come next for Australian property.
New Zealand, which is six months in their downturn, are on track for a soft landing and a good indicator of where Australian could land.Australian house prices are not expected to plummet below pre-COVID levels with experts saying the local property market can look to the “soft landing” being experienced in New Zealand as a guide.
New Zealand house prices have fallen 5.5 per cent from their November 2021 peak with forecasts it will drop 11 per cent by year’s end, according to ANZ New Zealand. “But [so far] it couldn’t have happened in a more orderly fashion … they have to fall 30 per cent to be where they were before COVID in 2020.”She acknowledged that despite this fall, housing affordability had barely improved after prices rose in the order of 50 per cent during the pandemic.
“It does give us a clue as to what might happen in our country, particularly in the [major] cities ... they’re seeing anywhere between 10 to 12 percentage point drops and 5 percentage point drops in regionals.” New Zealand also introduced legislation last year that tightened home loan assessments, Masters said, which compounded the effect of rate hikes.Lastly, more New Zealand households took on bigger debts in relation to incomes, Masters said.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Fall in New Zealand house prices offers insight into what might happen in AustraliaAustralian house prices are not expected to plummet below pre-COVID levels with experts saying the local property market can look to the “soft landing” being experienced in New Zealand as a guide
Read more »
Fall in New Zealand house prices offers insight into what might happen in AustraliaNew Zealand is about six months into their housing downturn, offering some clues about what’s to come next for Australian property. housing property
Read more »
New Zealand reports second monkeypox case, unrelated to firstAuthorities say the case is in a returned traveller who is now isolating, and is not linked to the first
Read more »
The ‘scary’ new role bringing Michael Sheen to AustraliaActor Michael Sheen is making his first trip to Australia for an exclusive season of Amadeus at the Sydney Opera House | msmegwatson
Read more »
NASA’s new telescope has offered humanity a stunning new view of the universeThe first image from NASA’s James Webb Space Telescope has offered humanity a stunning new view of the universe — a first-of-its-kind infrared image so distant in the cosmos that it shows stars and galaxies as they appeared 13 billion years ago. 7NEWS
Read more »
‘New Zealand got it wrong’: The man vying to topple Jacinda Ardern and open up the nationAotearoa has become fearful, negative and inward, says Christopher Luxon – the man vying to oust Prime Minister Jacinda Ardern.
Read more »