On a recent trip to London, I took some time to look at property and speak with locals to get a feel for similarities between there and Auckland, and given that, where I believe the market will go and what I would do as an investor in NZ.
I am always frustrated by our media and how they report house prices. Tabloid rubbish bouncing from headline to headline with no substance.
Typical of our tabloid media we get the usual fear driven headlines designed to sell papers.
In recent weeks the banks have tightened up their credit policies and specifically rules around non-residents being able to borrow. The changes came out of nowhere, but in reality the issue that banks have been forced to deal with has been brewing for some time.
If you worked in the UK you probably accumulated one or more pension funds that are now still sitting there.
From what I see, the market is softening quickly. Listings are up, auction clearance rates are down, the "bullish" stories are not as fervent.
No government has lost an election because house prices increased. This goes to the heart of why we have seen decades of government in-action.
With wholesale interest rates tracking as low as they are, and ongoing ructions in Europe, there is plenty of keen discussion on interest rates.