Property · Building · Design
Last week, the United States announced that 30-year mortgage rates had risen five basis points to 3.02%. This was also the first time since July 2020 that the US benchmark mortgage rate had exceeded 3.02%.
The continuing pandemic, together with months of restrictions at varying levels, has severely affected many New Zealand businesses. Employers and employees alike have faced difficult times, and workplace disputes have become frequent.
Over the past five years, house prices in 67 New Zealand areas have risen by at least NZ$500,000, with some gains even exceeding NZ$1,000,000. These astonishing amounts far exceed most people's earnings over the same period, making these areas New Zealand's luckiest for house-price gains.
On 1 January 2019, real estate agents formally came within the scope of New Zealand’s Anti-Money Laundering and Countering Financing of Terrorism Act (the AML/CFT Act). Recently, the Department of Internal Affairs’ anti-money laundering unit issued its first public warning to a major New Zealand real estate agency chain.
New Zealand house prices rose 19% nationwide last year, with the median price setting records for several consecutive months. Low mortgage interest rates and the removal of loan-to-value ratio (LVR) restrictions last April were both directly linked to the rise.
Yesterday, the Reserve Bank of New Zealand formally reinstated loan-to-value ratio (LVR) restrictions to curb the current housing market boom. Their return means investors now need a 30% deposit to buy property. Tighter controls will follow two months later, with the investment property deposit requirement rising to 40% from 1 May.
Over the past year, New Zealand delivered an impressive performance in the global fight against the pandemic. Yet less than two months into 2021, Aucklanders have already experienced two lockdowns, How will New Zealand’s economy fare as the pandemic continues this year? Where are house prices heading? Here is what New Zealand economists and mainstream media have to say.
As the saying goes, provisions must be ready before the troops march. This could hardly be more apt for land development and construction projects. Major building work involves expenditure on many fronts, so having sufficient funding available when needed is a top priority. Even if you entrust the entire loan application to a professional mortgage adviser, as the developer you still need a clear understanding of the finances before the project begins.
James Hardie is a leading global supplier of fibre cement! Long-term New Zealand residents will no doubt have heard the name. James Hardie fibre cement products are a first choice for many residential building projects in New Zealand, particularly medium-density developments.
New Zealand’s housing crisis affects renters as well as buyers. High and rising rents worry ordinary people just as much as high and rising house prices. Could building homes to rent alongside building homes for sale help resolve this worsening crisis? Britain, at least, has tried it and found it quite effective.
As New Zealand house prices climb and homes become harder to find, many first-home buyers are being held back, while some families hoping to upgrade are also discouraged. An old Chinese saying describes creating something remarkable within a tiny snail shell—so imagine what is possible in New Zealand’s comparatively spacious homes. With ideas and creativity, you can add a playful children’s bedroom to your existing home.
Just yesterday, an old house on a 1518-square-metre section in Parnell fetched NZ$7,200,000 at auction, simply because the previous owner had already obtained resource consent to develop 5 standalone homes on the site. As the new year begins and the housing crisis intensifies, the rush to buy large sections and subdivide land remains in full swing.