Auckland housing slowdown will be 'short lived'

  • 14/01/2016
Auckland housing slowdown will be 'short lived'

An expert is predicting that Auckland's flat-lining housing market will be short lived.

Latest Quotable Value figures show that residential property prices only grew 0.2 percent last month.

But Massey University's Dr Susan Flint-Hartle doesn't think that will last long.

"Because of low interest rates I see this turning around again, I see values going up in Auckland still more and more and we see the margin between Auckland and the rest of the country getting wider and wider," says Dr Flint-Hartle.

"Interest rates are so slow, and people, when that happens, are encouraged to try to buy a better-value house, borrow more money, because it doesn't cost them that much to repay the loan.

"These things seem to have put the brakes on rising prices a little but we don’t see that continuing on this year."

Nationwide values are now nearly 35 percent higher than the 2007 market peak.