PHOTO: The housing market’s resilience will partly depend on returning New Zealanders feeding buyer and tenant demand, QV says. Photo: RNZ / Nate McKinnon
New Zealand’s quicker than expected move down the Covid-19 alert levels has seen house prices hold steady, despite overall growth slowing during the June quarter.
The CoreLogic QV House Price Index rose 1.3 percent in the three months to June, with the average house price rising to $738,018.
In the year to March the average was $728,276.
QV’s general manager David Nagel said despite the slight cooling, open homes and auctions continued to be well attended and the market was experiencing good competition, particularly from first home buyers.
“It’s looking better than a lot of us thought… the real estate sector’s recorded strong interest from vendors with listings close to normal levels for this time of the year.
“Banks are recording good levels of enquiry, so I guess the question is, is this sustainable?”
He said the market’s resilience would partly depend on returning New Zealanders feeding buyer and tenant demand.
“That’s a lot of people that have to find somewhere to live… and makes up significantly for what will be a significant reduction in normal migration numbers… certainly they’re filling the void at the moment.”
Keeping interest rates low, reducing unemployment and keeping Covid-19 out of the country would also play a part.
READ MORE VIA RNZ
