What does it mean for house prices?
There have been four major news announcements that have happened over the last 9 days.
Every news story and data release points to recovery:
- Net migration increased to 77,810 – Stats NZ (last Wednesday)
- The OCR stopped going up, pausing at 5.5% – Reserve Bank (last Wednesday)
- House prices rose 0.4% in June – REINZ (last Thursday)
- Inflation dropped to 6%, down from 6.7% last quarter – Stats NZ (Yesterday)
Each news story will lead Kiwis to conclude that house price falls are over in many regions.
After 18 months of blow after blow, the bad news bulletins are ending, and the property market is turning.
ANZ predicts house prices will increase by 4.2% over the next 12 months. Tony Alexander says 5%. KiwiBank says 6%.
None of them will get it exactly right. But they're singing from the same hymn sheet.