Property · Building · Design
More than a decade ago, New Zealand’s property industry faced a disastrous leaky-home crisis. Even today, questions about responsibility, repairs and compensation for leaking plaster-clad exterior walls remain unresolved. Headlines about owners pouring in their life savings appear frequently, leaving buyers so fearful of the word ‘plaster’ that they immediately say no.
According to Newshub, amendments to the Credit Contracts and Consumer Finance Act (CCCFA) officially take effect today. They increase banks’ responsibilities and obligations, requiring all lending institutions to spend more time and effort gathering information about borrowers, checking their eligibility and verifying the information before approving loans.
According to the latest report from leading research organisation MakersandMarkets, the global market for variable refrigerant flow (VRF) multi-split air-conditioning systems is expected to reach US$24,090,000,000 by 2022, with a compound annual growth rate (CAGR) of 11.4% between 2016 and 2022.
After YIJU New Zealand published an article titled “Is now the best time to invest in commercial property? (Click to read)” on 3 November, many readers contacted us with concerns: “Given the severe shortages of building materials and construction workers, we worry that taking on a new residential development would dramatically increase our investment risk, potentially leaving the project abandoned and all our money lost.” Against this backdrop, they hope to learn more about commercial property investment through YIJU.
Last Wednesday, the Reserve Bank of New Zealand (RBNZ) officially announced a 25-basis-point increase in the official cash rate (OCR) to 0.75%, while signalling that it expected interest rates to continue rising.
Every year before Christmas, police issue safety warnings reminding people to protect their property. This year, however, the pandemic and prolonged lockdowns seem to have brought the smash-and-grab crime wave forward. Theft targeting businesses and shops has been particularly frequent compared with previous years, with alarming numbers of incidents!
This afternoon, the Reserve Bank of New Zealand (NZRB) officially announced an increase in the official cash rate of 0.25% to 0.75%. This is the second 0.25% increase, following last month’s rise. The Monetary Policy Committee noted that “further removal of monetary policy stimulus is expected over time, given the medium-term outlook for inflation and employment”. Within minutes of the announcement, the New Zealand dollar began falling in foreign exchange trading. By 2:05 pm, it had fallen to 69.30 US cents, below the 69.50 US cents recorded before the 2h announcement.
At 11:59 pm on 21 September, Auckland's five weeks under COVID alert level four finally came to an end, with the Prime Minister announcing a move to alert level three for 14 days. However, as the outbreak continues to worsen and alert level three keeps being extended, it has become Aucklanders' new normal.
On two consecutive days last week, the NZ Herald reported in depth on a 13-apartment development under construction in Auckland's Remuera that faces a halt to work. The reason was not a shortage of building materials or construction workers, but neighbours joining forces in court to challenge the developer's activities and Auckland Council's decision to approve the project's resource consent application without notification. More dramatically, this happened when the apartment project was already close to completion.
In its article on 4 October, YIJU New Zealand reported that New Zealand billionaire Graeme Hart had recently bought several industrial properties in South Auckland through 5 transactions worth a total of NZ$189,000,000 (click to read). Two of the properties have already received government development approval. Now, YIJU takes a look at how New Zealand's richest man plans to develop these two sites. His approach may offer useful insights for your future property investment plans!
In just over a month, the Southern Hemisphere will enter 2022. New Zealand's housing market has remained unexpectedly strong this year despite increasingly stringent government controls. In October, nationwide house prices broke through the million-dollar mark for the first time. As prices continue to surge, year-end restrictions are also intensifying.
Those following property and construction will probably know that, in the middle of last month, New Zealand’s two major parties made a rare joint appearance to announce new housing policies. These aim to ease the housing crisis in major cities by relaxing approval procedures and accelerating increases in residential density. Will more permissive rules and a vision of higher density add fuel to the current building boom? What should those looking to develop medium-density projects consider?