Property sales slow across New Zealand

Property sales volumes have slowed noticeably across New Zealand, likely a result of a combination of factors: the latest loan-to-value restrictions, tougher lending criteria from banks, and the usual slump in sales over the winter period.

The New Zealand property market appears to be cooling faster than expected, which should take some pressure off bank funding costs. This according to big bank, Westpac, chief executive David McLean.

House price growth across New Zealand is likely to slow more than predicted in 2017 – about a three to four per cent rise is expected, nearly half of what was forecasted - while the previously overheated Auckland market appears to be cooling quite quickly.