House prices have further to fall

The bank  is predicting prices have further to fall in this cycle as credit conditions remain tight, and confidence is lacking. It is picking a fall of 10-11% in the House Price Index (HPI) by the end of the year.

The quiet market appears to be putting many potential vendors off from listing.

According to realestate.co.nz  the number of new property listings are tracking close to the level seen last year when there was a much more active market.

Comments made by those working in the market suggest the gap between the price expectation of vendors and buyers is just too far to bridge at present.