The new regulations to force buyers to find bigger deposits and will play right into the hands of property speculators and rental property investors.
On top of all that, 2nd tier lander will fill the gap with personal loans and 2nd mortgages which can only lead to more costs
Think about the affordable house builders while you are at it. What will the builder of affordable houses do if a chunk of his buyers disappear? He will cut back on building which can only exacerbate the shortage.
There will be no winners, just a lot of losers. Watch how the headlines will grow about the homeless and higher rents that must inevitable result.
It’s going to be an interesting year.
Spring surge in house listings not enough to keep up with demand; record low listings
September 2, 2013
The number of houses available to buy has fallen to record lows, according to the latest NZ Property Report by Realestate.co.nz
The marketing manager for Realestate.co.nz Paul McKenzie said the “flush” of new listings that typically arrive on the New Zealand property market in spring arrived early this year in August.
But even though the number of new listings in August – 10,714 – was up some 3% on the same time a year ago, this was not enough to stop the number of available houses falling to the record lows.
“Inventory levels fell to a record low of just 23 weeks in August,” McKenzie said.