NZ: House sales have been flat but oscillating - ANZ

Liz Kendall, senior economist at ANZ, notes that New Zealand’s REINZ house sales increased 14% m/m in January (sa, ANZ estimate), reflecting some continuation of recent data volatility, with perhaps a small bump from the RBNZ’s relaxation of loan-to-value ratio restrictions.

Key Quotes

“Overall, sales have been flat but oscillating, to be 1% lower than a year ago (3mma). House prices rose 0.3% m/m, with annual growth tracking at 3.1% y/y.”

“Auckland weakness continues, with prices down 2% over the past year. Looking forward, we expect continued gentle moderation in price pressures, with headwinds weighing on the market.”

“Affordability constraints are being felt and investors are wary, especially with the longer-term prospect of a capital gains tax looming. Credit availability does not appear to be a particular constraint, though proposed changes in bank capital requirements will likely weigh if implemented.” 

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.

Feed news

EUR/USD slides on USD strength, weak German data

EUR/USD is trading below 1.1350. The German IFO Business Climate slightly missed expectations with 98.5 points. The USD is gaining ground despite progress in US-Chinese talks.


GBP/USD recaptures 1.3000 amid Brexit uncertainty, dollar swings

GBP/USD is trading above 1.3000 once again, as the USD loses ground now. Reports about a potential extension of Brexit are circulating but no progress has been made. Trump meets China's Vice PM Liu later.