“ Add this to stable housing values, and we have seen a genuine rebalancing of the residential property market. Buyers are no longer stretched to the same extent, and banks are demonstrating greater willingness to lend amid reduced credit risk.
“ Greater accessibility is broadening the buyer pool, especially among first-home buyers and movers, while allowing sellers to unlock liquidity.”
A RISING TIDE OF SUPPLY
New property listings across the country have surged. While this is largely welcome news for buyers, it also presents a growing challenge for sellers: competition.
“ Data shows an expanding surplus of unsold properties, as sales volumes fail to keep pace with a flood of properties on the market for sale. Compounding this is a parallel trend of vendor withdrawals – properties pulled from the market after extended periods without result.
“ However, the motivation to sell won’ t have changed, and those listings haven’ t gone away; they’ re merely on pause.”
Coulson says this represents a hidden wave of supply that may return to the market at any moment, potentially increasing pricing pressure.
Source: RBNZ, Statistics New Zealand
Coulson says it’ s a far cry from the credit crunch and Credit Contracts and Consumer Finance Act( CCCFA) restrictions of recent years and provides a more secure foundation for transaction activity.
“ Sellers who list now, before another swell of withdrawn stock re-emerges or winter listing lulls suppress buyer engagement, have a chance to stand out while demand and affordability remain intact.”
COMPLEXITY AND THE GLOBAL ECONOMY
Geopolitical and economic uncertainty continue to cloud the global outlook.
Coulson says US tariff policies, trade frictions, and political posturing influence currency movements and investor sentiment worldwide.
“ Closer to home, Australia’ s re-election of a centre-left government brings a more open immigration stance, potentially influencing trans-Tasman labour dynamics and capital flows.”
RAY WHITE NOW NEW ZEALAND | 8