House price falls more than 12 months away
House prices are likely to rise a further 10% to 15% next year but they will fall "to some unforecastable extent" in 2005, according to Bank of New Zealand chief economist Tony Alexander.
Monday, January 5th 2004, 9:53PM
by The Landlord
Fueling the continuing boom are factors such as immigration, which while declining, should still be positive. "If we get an extra 20,000 people in the next year, that’s still a lot of demand for housing," he says.
Interest rates are still low, the labour market is tight and job security high, making people readier to take on debt than if they were worried about losing their jobs. Added to these factors are the clear investor preference for housing and the current shortage of builders.
Read More - Opens in a new window
| « Shy and retiring or boom town? | Historic NP building on market again » |
Special Offers
Commenting is closed
|
|
Printable version |
|
Email to a friend |
