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The latest house price results from the REINZ shows that New Zealand’s property market is still booming, with prices growing a whopping 30% over the 12 months to October:
However, the insane price growth alongside recent policy actions have left New Zealand’s property market in a precarious position in 2022, with potentially large price falls in the offing.
Yesterday, the RBNZ hiked interest rates for the second consecutive month to 0.75% and raised its forward guidance:
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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.