Housing confidence down, investment property ‘less attractive’

Confidence in the housing market continued to fall over the three months to October, with tax changes regarding investment property adding to the cautiousness towards housing as an investment option, according to the latest ASB Housing Confidence Survey.

The survey also found there had been little sign of a rush of listings in the wake of Budget changes in regard to property investment, despite the fact the changes make "investment property a less attractive option."

"It appears potential sellers are holding off putting their house on the market in the hope housing market conditions will improve," said ASB chief economist Nick Tuffley.

Expectations for house price rises fell across all regions, expect Auckland.