Investor mortgage borrowers’ sentiment takes a nose dive

Property investor mortgage borrowers are worried interest rates will rise this year, and this cycle of the market won’t result in firm house price increases.

Despite REINZ data showing house prices edging up slowly, property investors appear disbelieving, the latest Crockers/Tony Alexander survey shows.

The latest QV House Price Index released yesterday shows residential property values edged upwards by an average of 0.1% in the December quarter, with the average home now worth $902,414, but this is 0.3% less than the start of last year and 15.2% below the market peak in 2021.

House prices were relatively static last year and are likely to stay that way for some time, QV says.