Economy the chart

Two years of house prices defying all the forecasts

Andy Fyers
Mon, 20 Dec 2021

Two years of house prices defying all the forecasts
The median house price in Auckland has increased from $1m to $1.3m during the pandemic.
Andy Fyers
Mon, 20 Dec 2021
"Our baseline scenario assumes house prices will fall by around 9% over the remainder of 2020."  That was Reserve Bank's assessment in its first monetary policy statement (MPS) once the impact of covid-19 on New Zealand had become clear.Issued in May 2020, a time of immense economic uncertainty, it saw prices falling as a result of "lower population and household income growth" and in spite of "lower interest rates, and the easing of loan-to-value ratio restrictions." The latter two being measures that the...

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