It’s expecting house prices to fall 13.4 per cent by the time we hit June 30, the end of the financial year.
Then it’s predicting another 4.6 per cent drop next year. If that happened, from the top to the bottom of the market, house prices will have fallen 21.3 per cent.
After that? A slow, slow climb back in house prices until 2027, of around 3 per cent each year.
It’s also picked up a drop in investors buying homes to rent.
What’s behind this? Higher interest rates, and low wage growth.
An interesting note, if you’re finding life expensive, is that Treasury also thinks interest rates will start falling this year.
All very interesting stuff, but what should you be doing about it? Whether you’re a first-home buyer or an investor, here are some strategies.
For the latest podcast I talked to Mark Harris, managing director, NZ Sotheby’s International Realty.
For the interview, listen to the podcast here.
• If you have a question about this podcast, or a question you'd like answered in the next one, come and talk to me about it. I'm on Facebook here, Instagram here, and Twitter here.
• Listen to the full interview on the Cooking the Books podcast. You can subscribe on iHeartRadio, Apple Podcasts, or Spotify.
