Rising interest rates and stricter lending rules have resulted in house price growth fall to its lowest point in 18 months, with analysis of very recent sales showing sentiment rapidly changing in the market.
File photo.
Photo: RNZ / Nate McKinnon
CoreLogic House Price Index tracks property value change and its latest report has found a reduction in demand of valuations, down 11 percent compared to the previous 6 months. There are signs that there are fewer buyers talking to banks about issuing them mortgages to buy another property, CoreLogic Head of research Nick Goodall said.
From now until the rest of the year, the impact of the official reimplementation of the LVR is expected to cool the market.
He said anecdotes throughout April were of quieter open homes, a greater share of auctions passing in and fear of over paying having replaced buyers fears of missing out.
First signs of New Zealand housing market slowing - new report Wednesday, May 5, 2021 Eleisha Foon for RNZ
New data has found a reduction in demand in nationwide housing valuations which could be the first signs of the housing market slowing.
CoreLogic House Price Index tracks property value change and its latest report has found a reduction in demand of valuations, down 11 percent compared to the previous 6 months. There are signs that there are fewer buyers talking to banks about issuing them mortgages to buy another property, CoreLogic Head of research Nick Goodall said.
From now until the rest of the year, the impact of the official reimplementation of the LVR is expected to cool the market.