Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


Provinces suffer from LVR restrictions

National property market analysis - provinces suffer from LVR restrictions


Please find attached national property market analysis from New Zealand’s largest real estate group, Harcourts.

Around the country our provincial sales are showing very clearly the negative effect loan-to-value restrictions have had in these fragile markets.

Written sales are down across the board in the Central, Wellington and South Island provincial regions, however, average prices remain similar or slightly higher. This indicates it is buyers at the lower end of market who are unable to make a purchase.

In Auckland sales are also down, but for different reasons. A continued lack of new construction, combined with a growing population, is leading to a hesitancy among vendors to sell, for fear they will not be able to buy a suitable property elsewhere. Rental yields are also attractive, meaning vendors are much more likely to retain property when buying elsewhere.

In Christchurch it is a similar story, however there is hope on the horizon. Residential construction and new builds are ramping up and this will soon lead to more choice for buyers.

Construction in Auckland and Christchurch is desperately needed to ease demand and ease rising prices. The market elsewhere can only be helped by a removal of the LVR restrictions, allowing first home buyers the freedom to step on to the property ladder.


August_2014.pdf

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Bad Day For Rope: Donaghys Job Losses Another Blow To Dunedin

The loss of 30 jobs from Donaghys rope and twine factory is yet another blow to the people and economy of Dunedin, says Dunedin South Labour MP Clare Curran. More>>

ALSO:

Oil: 2014 New Zealand Petroleum Summit

Simon Bridges: Our abundance of energy and minerals resources provides us with unique opportunities to build the New Zealand economy.

Over the past three years the Government has made significant changes to how the sector is regulated. More>>

ALSO:

WWF Report: Solutions In Reach; World Biodiversity Suffers Major Decline

Global wildlife populations have declined by more than half in just 40 years as measured in WWF's Living Planet Report 2014. Wildlife's continued decline highlights the need for sustainable solutions to heal the planet... More>>

ALSO:

Scoop Business: NZ Dollar Catches Breath After "Goldilocks" Slump

The New Zealand dollar edged up following its dramatic slump yesterday after the Reserve Bank confirmed speculation it intervened in the currency market last month and PM John Key suggested a “Goldilocks” level far lower than at present. More>>

ALSO:

Biosecurity: Kiwifruit Claim To Hold Officials Accountable For Psa

Kiwifruit growers have joined forces to hold Biosecurity NZ accountable in the courts for its negligence in allowing 2010’s Psa outbreak that devastated New Zealand’s kiwifruit industry and exports. Foundation claimants representing well ... More>>

ALSO:

Poison: Anglers Advised Not To Eat Trout In 1080 Areas

With the fishing season opening in just a few days (1 October 2014), anglers are being warned by the Department of Conservation(DOC) not to eat trout from pristine backcountry waters and their downstream catchments, where the department is conducting 1080 poisoning operations. More>>.

ALSO:

Get More From Scoop

 
 
Computer Power Plus

Standards New Zealand

Standards New Zealand

Mosh Social Media
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news