Auckland Property & Fixed Rate Updates

Auckland house price growth continues to diverge from other regions, with softness in Auckland house prices remaining evident. Falls in mortgage rates and delayed growth are providing a boost to activity in the regions, but for how long is yet to be seen.

The pressures of demand are easing with migration slowing. Headwinds are evident; bank prudence, investor wariness, and affordability limitations are expected to constrain activity. 

Tighter credit conditions remain and if proposed increases in bank capital requirements are implemented, expect to see a low or no growth curve.

Fixed Rates: Fixed rates of 3.95% for 3-years is the flavour of the month and expect to see the OCR to be cut in as early as August. If that will flow through to the retail rates offered by the banks is yet to be seen.