Migration helps housing find a floor

After several recent false starts, CoreLogic’s latest Housing Chart Pack shows migration and the resilient labour market have played a part in signs of a slowly emerging floor, however it is not widespread yet.

For example, parts of Auckland and Wellington showed rises in values last month, but other areas of the country have seen further declines.

Sales volumes softened a little in July, but still seem to have passed their turning point, given strong increases in the previous two months.

In fact, says CoreLogic chief property economist Kelvin Davidson, something of a ‘saw-tooth’ up-and-down pattern in the coming months wouldn’t actually be a surprise, given some key supports for the market have turned around.”