PHOTO: PETER MEECHAM/STUFF Squeezing into the housing market may not be about to get any easier, despite economic pessimism.
House prices could be rising at the rate of 8 per cent a year by the middle of 2021, economic consultancy Infometrics has forecast.
It believes the Reserve Bank will remove some chocks on the housing market by further watering down loan-to-value restrictions, when it publishes its next Financial Stability Report next month.
Infometrics also forecast the Government would announce new spending initiatives in December, in the wake of the $7.5 billion annual surplus the Treasury revealed last week “to respond to increasing calls for more fiscal stimulus”.