Wellington and Auckland record gains, others subdued
While Ōtepoti Dunedin and Tauranga showed more subdued activity, other major centers like Te Whanganui-a-Tara Wellington and Tāmaki Makaurau Auckland experienced noticeable gains, with increases of +0.3% and +0.6% respectively.
Recovery tempered by new lending caps
Kelvin Davidson (pictured) of CoreLogic NZ contextualised the recent data as part of a broader recovery, driven by past declines in mortgage rates and a gradual improvement in economic conditions.
“The falls in mortgage rates since around July or August last year were always going to take a little bit of time to flow through to house prices, given the weak economic environment and subdued household confidence,” Davidson said.
He noted that an abundance of listings and the persistence of higher fixed interest rates from previous years temporarily restrained property values.