The latest data shows a pickup in the Auckland’s housing market (more transactions).
You could tell just by visiting the auction houses last week in Shortland Street.
Of the 8 properties available for auction on Tuesday 20 August, 7 were successfully sold (either before the auction day or during the auction). What we are seeing is that well maintained properties in sought after locations are selling well if they are reasonably priced.
Sure, the prices in Auckland are a bit lower than they were at the peak but this is good news for first home buyers.
Similarly in Wellington, House prices growth have slowed down but house prices are still trending upwards. Plus the rental market is still going strong because the employment market in Wellington is very resilient.
Additionally, the Reserve Bank of New Zealand has already indicated that interest rates are likely to continue to remain low in the near future.
This is all very good news. The current low interest rate environment is benefitting borrowers and making it more affordable for first home borrowers to buy their home. Also, the loan repayments are in some cases cheaper than renting. So if you are still sitting on the fence and haven’t decided to buy your first home, now is the time to make your move.