Auckland House Prices fall 4 percent

[flyernzl]

From memory, there is a question on the form along the lines of:
"The address of this property is xxx
On census night how many individuals were occupying that house on that night".

Buy yes, of course people can just ignore the census form. Its an illegal act, but so what.

[Wayne]

Gary Lin says investors driving the price rises

"Low offers now get accepted," he said, telling how many auctioned
properties were being passed in, sales volumes were low and one St
John's place expected to sell for $750,000 went for only $626,000:
"That's the effect of investors leaving the market."

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11781028

By saying prices have gone down because investors left the market directly suggests that investors were driving the market up.
Given that investors are buying (in Auckland) for the capital gain, and they are the ones driving the prices up, it seems like a giant Ponzi scheme.

[Don't believe the Hype]

Gary Lin says investors driving the price rises

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11781028

By saying prices have gone down because investors left the market directly suggests that investors were driving the market up.
Given that investors are buying (in Auckland) for the capital gain, and they are the ones driving the prices up, it seems like a giant Ponzi scheme.

gotta be a different Gary Lin as the one on PT says prices never go down in Auckland.

[Wayne]

gotta be a different Gary Lin as the one on PT says prices never go down in Auckland.

Evil twin brother maybe?

[McDuck]

Evil twin brother maybe?

I blame video games for all this.
World of warcraft specifically.
Haha.

[eri]

sqatting in

mcduck mcmansions

ok?

[Perry]

Central Auckland house prices plummet, Real Estate Institute data shows
24 April

Mt Albert, Royal Oak and Long Bay down;
Takapuna, Onehunga, Morningside, Rosehill, Oteha, Milford, Glen Innes, Grafton and Stonefields all up.

Is the sky falling?

Will there be a run on caves?

[Bluekiwi]

Central Auckland house prices plummet, Real Estate Institute data shows
24 April

Mt Albert, Royal Oak and Long Bay down;
Takapuna, Onehunga, Morningside, Rosehill, Oteha, Milford, Glen Innes, Grafton and Stonefields all up.

Is the sky falling?

Will there be a run on caves?

Another year of it for sure.
Then maybe 3 years of slump.

[Perry]

But if some areas are up and some are down, what if the average is no change?

Apart from location preferences by buyers.

[Bluekiwi]

Its all down.

Don't be fooled by stats Perry, you can only go by real life on the ground experience.

When property crashes only the good houses in the good streets sell ie. the more expensive stock.
So the sales stats don't reflect the actual market crash.

No area's are up.

[Davo36]

Wow, BK, you haven't been on here for ages.

I think that data in the article is median sales price. These can be up or down over short periods of time, as we know.

[artemis]

Its all down.

Don't be fooled by stats Perry, you can only go by real life on the ground experience.

When property crashes only the good houses in the good streets sell ie. the more expensive stock.
So the sales stats don't reflect the actual market crash.

No area's are up.

That would explain the median price holding up even for Auckland. There are a lot of apartments and units for sale in central Auckland (Trademe numbers), about half of all Trademe for sale listings, mostly apartments. Because they are generally less expensive than standalone homes and town houses, a decrease in sales would help maintain the median prices.

Has there been a decrease in sales of apartments and units? Or an increase in these for sale? I don't know but we do know new bank lending to property investors is now about a third of what it was in mid 2016. Many apartments have been bought as rentals in the past.

If property investors are buying fewer rentals, who will buy them? It's not like owner occupiers have had no choice of apartments in recent years. Join the dots.

[Perry]

Don't be fooled by stats Perry.

I have no interest in the Auckland or its prices, fortunately.

I posted the item because I expect quite a few PT Forumites will be interested.

But comparisons using median prices seem to me to be almost deceptive.

I don't recall it with any great accuracy, but someone once mentioned that - using the median index - if Bill Gates moved to NZ, approximately a million people would immediately be below the poverty line.

Lies, damned lies, political promises and statistics, eh?

[JBM]

New Zealand is still going to be a desired place to live for immigrants.

Well rich ones ... you have to pay $300pw+ to rent a craphole in Invercargill .. NZ living is very unaffordable unless you're on a good income or happy to be in bunk beds with other per room
Oil prices looking to spike ... NZD showing weakness .... $3lt fuel more inflation to come ..

[Perry]

Prediction noted. Back in six months.