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


Builders Confirm Volatile New Housing Demand

Media Release
29 June 2010

Registered Master Builders Confirm Volatile New Housing Demand

The Registered Master Builders Federation (RMBF) says that the figures released today by Statistics New Zealand confirm that the recovery being experienced in the new housing sector continues to be very fragile. Figures show the number of new housing units fell by 9.5% in May (excluding apartments) after an increase in April and a decrease in March.

RMBF CEO Warwick Quinn says that while the winter period is traditionally slow, the number of new dwelling consents has been volatile since the Government signalled changes in February to depreciation and tax on investment properties. Mr Quinn says “we noticed an immediate drop off in public enquiry once these announcements were made and while April showed growth the most recent figures, which coincided with the budget and confirmation of the policies, is a reflection of the market remaining weak”.

“There are a number of economists predicting a growing housing shortage which will increase volumes but at this time the construction sector is still some way from being out of the woods” Mr Quinn says. “Increasing interest rates and GST along with wood products and steel price rises are all affecting home affordability and this is manifesting itself in a volatile demand for new housing.” The short term outlook is still uncertain with consent numbers at very low levels. The outlook for the non-residential construction is bleak with this sector showing a 17% fall in consents compared to May 2009. Mr Quinn says “Non-residential construction was held up during the recession with investment in public infrastructure such as sports stadiums, airports and the like but with these coming to completion there are few major commercial consents in the system”. Mr Quinn believes until the recovery is well entrenched and investors are confident with tenant demand and finance is available this sector will remain flat for some time.

The regions with the largest increases for new housing in May were Canterbury, Waikato and Wellington while Auckland and the Bay of Plenty experienced the largest decreases.


© Scoop Media

Business Headlines | Sci-Tech Headlines


TradeMe: Property Prices In Every Region Hit New High For The Very First Time

Property prices experienced their hottest month on record in December, with record highs in every region, according to the latest Trade Me Property Price Index.\ Trade Me Property spokesperson Logan Mudge said the property market ended the year with ... More>>

Motor Industry Association: 2020 New Vehicle Registrations Suffer From Covid-19

Chief Executive David Crawford says that like some other sectors of the New Zealand economy, the new vehicle sector suffered from a case of Covid-19. Confirmed figures for December 2020 show registrations of 8,383 were 25% ... More>>

CTU 2021 Work Life Survey: COVID And Bullying Hit Workplaces Hard, Huge Support For Increased Sick Leave

New data from the CTU’s annual work life survey shows a snapshot of working people’s experiences and outlook heading out of 2020 and into the new year. Concerningly 42% of respondents cite workplace bullying as an issue in their workplace - a number ... More>>

Smelter: Tiwai Deal Gives Time For Managed Transition

Today’s deal between Meridian and Rio Tinto for the Tiwai smelter to remain open another four years provides time for a managed transition for Southland. “The deal provides welcome certainty to the Southland community by protecting jobs and incomes as the region plans for the future. The Government is committed to working on a managed transition with the local community,” Grant Robertson said. More>>


OECD: Area Employment Rate Rose By 1.9 Percentage Points In The Third Quarter Of 2020

OECD area employment rate rose by 1.9 percentage points in the third quarter of 2020, but remained 2.5 percentage points below its pre-pandemic level The OECD area [1] employment rate – the share of the working-age population with jobs – rose ... More>>

Economy: Strong Job Ad Performance In Quarter Four

SEEK Quarterly Employment Report data shows a positive q/q performance with a 19% national growth in jobs advertised during Q4 2020, which includes October, November and December. Comparing quarter 4, 2020, with the same quarter in 2019 shows that job ad volumes are 7% lower...More>>

NIWA: 2020 - NZ’s 7th-warmest Year On Record

The nationwide average temperature for 2020, calculated using stations in NIWA’s seven-station temperature series which began in 1909, was 13.24°C (0.63°C above the 1981–2010 annual average). New Zealand’s hottest year on record remains 2016, when... More>>

Quotable Value New Zealand: Property Market Set To Cool From Sizzling To Warm In 2021

Nostradamus himself could not have predicted the strange series of events that befell our world in 2020 – nor the wild trajectory of New Zealand’s property market, which has gone from “doom and gloom” to “boom and Zoom” in record time. Even ... More>>