Market share soars for first home buyers

Over the year to date, FHBs sit at 26% market share, comfortably above the long-term average of 21%, however the number of deals still sits below past norms in a relatively subdued market, CoreLogic’s six-monthly First Home Buyer Report shows.

Kelvin Davidson, CoreLogic NZ’s chief property economist says it’s been a strong market for FHBs, with many key factors still in their favour.

“It wouldn’t be a surprise to see FHBs continue to hold onto an above-average share of property purchases in the next six to nine months.

“We do not expect runaway growth in house prices for the foreseeable future, especially if or when caps on debt-to-income ratios for mortgage lending come into force next year. Affordability also remains a handbrake, as do high mortgage rates.”