Latest report from CoreLogic has shown big drop in house price expectations
Expectations for house price gains have dipped in September, a new study has shown.
According to Colliers International’s latest quarterly Residential Property Market Outlook Survey, the number of respondents expecting median prices in New Zealand to rise over the next 12 months still outweighs those who expect a decline. However, the result of a net positive 26% this quarter is down from a net positive 36% recorded three months ago.
Colliers director of research and communications Chris Dibble said the lower level of positivity appear to surround the Overseas Investment Amendment Act.
“Almost half of our survey respondents were pessimistic about the market impact when discussing the new Overseas Investment Amendment Act which comes into force on October 22,” he noted. “Development activity and lower sales volumes also remain front of mind for survey respondents.”
In Auckland, a net positive 16% of respondents expect median price to increase over the next 12 months.
The highest expectation of house price growth is Queenstown, followed by Tauranga/Mt Maunganui and Wellington. Dunedin and Whangarei were the only two locations to record an increase in the net percent of respondents expecting the median price to increase over the next 12 months.
