Surely we have peaked

[Kbkiwi]

Happened last year too. In other news resimac are lowering their rates ;-)

but they actually rasised rates for investment property loans

[Bobsyouruncle]

Why on earth not Nick. We don't complain about skilled buyers in any other industry. The PC rot against investors these days is just ridiculous.

[Nick G]

Just in this current political situation, that's all. The Herald is gleefully reporting stories about FHBs vs the Evil Investors. I used to do trades and flicks as much as the next guy and I still will at some point.

Look, the poster said that multiple properties they bid on were sold and straight back on TM at higher fixed prices. Maybe not true and value was added etc, but that's the perception and there will be a lot more people who aren't on PT seeing the same thing. Each listing on TM has "another listing from Key Exchange etc etc". Google that organisation and meetups appear with APPP, Maclolm's group, Ben's website, a lot of other folks as well.

The media is there to sell stories. "FHBs locked out of market by organised investor flipping group" has a nice tone to it.

I 100% agree that it's a free market and nothing flippers do is illegal (assuming they go unconditional). If the market turns and they are caught out nobody is going to step in and bail them out of their agreements.

However I'm in marketing and while it may pull in some students who want in on the action it could create more harm than intended. It takes moments to tarnish a reputation and right now there are a lot of people looking for groups to blame for their not being able to buy a house.

[Bobsyouruncle]

I understand your point but (for any of us) to even think that way is sad. They are just running their business. It's PC nonsense and should be ignored IMHO

[BlueSky]

As much as I would like the market to fall (so I could buy more) I think the reality is as long as there is demand and less supply the prices will keep on rising albeit in smaller figures.

New building consents in Auckland have been lagging behind population growth, meaning it hasn't been able to bridge the gap between a shortage of housing and increased demand.

Auckland needs at least 13,000 new houses a year, for 30 years, to keep up with demand - up from current building rates of around 9700 homes a year.

Supply and demand folks, only when these reach an equilibrium then and only then we will see prices stagnate/fall.

[Keithw]

Woohoo record immigration !!!

http://www.stuff.co.nz/business/83102282/record-migration-sees-new-zealand-population-record-largest-ever-increase

100,000 immigrants
70,000 net

Statistics New Zealand said the increased was driven by record immigration, with a net gain in migration of 69,100 during the period."To put this in context, the average annual net migration over the last decade has been 21,800 and average annual natural increase has been 32,300." Statistics New Zealand said.

long may it continue -
years of high property inflation ahead- good news for those holding property.

Unfortunately wages will probably also stay low for the same time. Where are all these new immigrants working ?
Will probably cause rents to balance out between higher demand and ability to pay, although more people per property will continue to be a problem.
Auckland traffic will continue to get worse.

[Kbkiwi]

Woohoo record immigration !!!

http://www.stuff.co.nz/business/83102282/record-migration-sees-new-zealand-population-record-largest-ever-increase

100,000 immigrants
70,000 net




long may it continue -
years of high property inflation ahead- good news for those holding property.

Unfortunately wages will probably also stay low for the same time. Where are all these new immigrants working ?
Will probably cause rents to balance out between higher demand and ability to pay, although more people per property will continue to be a problem.
Auckland traffic will continue to get worse.

Without this immigration New Zealand would be in a recession. Paints a very grim picture for underlying economic strength.

[Wayne]

Woohoo record immigration !!!
long may it continue -
years of high property inflation ahead- good news for those holding property.

And some think we (LLs) should be given more headlines!

[DaveW]

Pretty impressive almost half the population of Hamilton and not to mention the compounding number of births.

[Bobsyouruncle]

The best part is that our internal economy will grow making local businesses more viable. It is just great news for New Zealand and long overdue.

[donna]

Agreed and a lot of them will end up moving to the regions.

cheers,

Donna

[Keithw]

Without this immigration New Zealand would be in a recession. Paints a very grim picture for underlying economic strength.

I agree with the sentiment, but what empirical evidence is there that supports this ?

[BlueSky]

Barfoot & Thompson chief executive Wendy Alexander said on Wednesday the Auckland housing market was showing unmistakable signs that prices were stabilising, and might even be plateauing, for the first time in 5 years.


“There has been a definite change in the market in the last month,” she said.

So

“The average price in July was $867,681, a fall of 4.5% from that for June,

but more significantly 2% below the average price for the previous 3 months.

“The average price has increased by 5.3% over the past 7 months, compared to 2015’s full-year average price increase of 14%.

The median price increase over the past 7 months has been 6%, compared to 17.4% for 2015.


“Whether price increases will continue in the remaining months of the year is unclear.



Normally, prices rise as we enter the spring/summer months, but the Reserve Bank’s new regulations affecting investors will start to have an impact from August on.”
http://www.propbd.co.nz/barfoot-chie...-unmistakable/

Happened last year after 1st October
when did things resume to normal frenzy after the slowdown , February ? which month was the lowest ?

[Bobsyouruncle]

It's mid winter of course it'll happen. Wow people forget the basics quickly when they are looking for headlines. If prices and volumes increased right through winter we would be in supernova territory not just a boom.