House sales up, prices rise in November

I’m not making this up folks. I am just reporting the facts. It will be interesting to see if the market continues to climb into the new year. We have bad news on the milk export front, but exports in general are good.   The cost of imports of oil will be cheaper which will have a very positive effect, but then the dollar is falling, wiping out some of that benefit.

Inflation is virtually non existent, so why the high interest rates?  Will the Reserve Bank cut the cash rate or leave it the same for years? Are we heading towards a Zombie/deflationary economy or are we ( and much of the rest of the world) going through a once in a life time readjustment of values?

Wednesday Dec 10, 2014

Photo / Brett Phibbs

Photo / Brett Phibbs

New Zealand annual house sales rose for the first time in 13 months, driven by higher value properties as the lower end of the market is crimped by Reserve Bank mortgage lending restrictions.

The number of houses sold rose 6.5 per cent to 7,416 in November, from the same month a year earlier, the Real Estate Institute said in a statement. The national median sale price rose 7.2 per cent to a record $455,750.

link:

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11371950


Posted in News & Articles | 1 Reply

One thought on “House sales up, prices rise in November

  1. Hi, can you expand on your statement that this could be a once in a lifetime readjustment of values ?

    Thanks

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