I think supply is fairly short anyway - I know there were much more houses for sale around the time of the GFC (and hence prices were fairly reasonable) as opposed to the diabolical situation now.

Supply is often short in wiinter, as winter is not usually a good time to sell. This year is obviously a bit different, and houses in my area at least have all been selling well and appear to be going for good prices.
I am not sure IMO if we will see prices dropping until these mortgage holidays end and more people start losing their jobs. But if we are getting a lot of NZers returning, then that may help keep it buoyant. It is too early to tell IMO

Most articles Ive read say its solid, dont expect bargains. I cant speak for the near future of our economy, but its not doom and gloom as I see it. 

More positive news, partly may support solid house prices.

https://www.newshub.co.nz/home/money/2020/07/economic-activity-now-only-slightly-below-2019-levels-treasury.html

Anyone remember the days when houses used to be the thing you lived in? 

dafman:

 

Anyone remember the days when houses used to be the thing you lived in? 

 

What do you live in?

I remember those days. Prices were realistic too. I understand until the GFC happened you could even get a mortgage without a deposit required.

House prices were also into the $250k-$400k range and yet, amazingly, no one died or lost their job from it. Yet today it seems like it would be a terrible thing to have happen.

I wonder if anything will change in this space during/after the second lockdown? Given how quickly things recovered once level 4 finished, I doubt it - but there's no harm in hoping :)

I was looking forward to increased stability and confidence hopefully making people feel more comfortable putting their house on the market. We've been looking and offering for months and demand is just outstripping supply massively. It's crazy out there right now.

quickymart:

 

I wonder if anything will change in this space during/after the second lockdown? Given how quickly things recovered once level 4 finished, I doubt it - but there's no harm in hoping :)

 

hard to know. all the best!

heavenlywild: I think people will be more spooked this time round and play a more cautious game. If you are a FHB it won't change your mindset but those buying off the plan / turn key / construction loan may think twice.

I was looking to invest in a new turn key but not now. Hard to know how many more lockdowns will be enforced during the build and whether I would still have a job in 6 months. Even though serving the loan won't be an issue but the bank won't lend me the 90% if the job goes.

I think that NZ has a problem around how high house prices have risen, compared to wages.. They just keep reducing interest rates, which in turn pumps up the house prices even more, because people can afford to borrow  and service larger amounts, rather than their wages growing. This new lock-down may result in the interest rates dropping even more. Plus because people who would normally go on their OE are now not going, it means there are even more first home buyers than ever. People seem to think that as long as they can just afford to get on the housing ladder, then they are set for life, no matter what price they pay, just as long as they can service the mortgage, because they expect good capital gains on it.