Advertisement
After last year forecasting an 11% fall in New Zealand house prices by 2019, economic analysis and forecasting firm, Infometrics, has forecast a 12% decline in house values by 2020 on the back of falling population growth (net migration) and rising interest rates:
“Mortgage holders in Auckland look particularly vulnerable to even modest interest rate rises that are likely to occur in the next 2-3 years,” Mr Kiernan said.
The full text of this article is available to MacroBusiness subscribers
Cancel at any time through our billing provider, Stripe
About the author
Leith van Onselen is Chief Economist at the MB Fund and MB Super. He is also a co-founder of MacroBusiness.
Leith has previously worked at the Australian Treasury, Victorian Treasury and Goldman Sachs.