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I think we could all agree that the only constant in life is change. This certainly applies to sentiment in and around the housing market. So often headlines are the drive but equally those same headlines are behind the times. So it is, that we observe yet another wind shift, if you will, in sentiment.
Certainly things took a dive post-election, but over the last months we have observed, firstly, many first home buyers coming into the market. This on the back of a low interest rate environment. Secondly, a renewed enthusiasm for property generally, as buyers and sellers get on with their lives. We have confirmation of this sentiment, confirmed by the latest ASB survey:
Taking a macro view of life, we can’t help but agree with the Chief Executive of the Property Institute’s view that the median house price could double by 2026
The simple supply and demand factors, particularly for central Auckland, driven by the amenity values of schooling and transport continue to draw buyers in. In short, whilst recent decision around negative gearing – LVRs and the bright line test on home ownership, may affect the speculative investor, the general appetite for home ownership is not going away.