Sticky market for investors – first home buyers in control

QV operations manager James Wilson says the looming introduction of debt-to-income restrictions will almost certainly hamper their ability to buy existing property when it eventually happens.

“Residential property values have mainly plateaued across the country, domestic inflation remains stubbornly high, the unemployment rate is rising, business confidence is low and cost of living pressures remain a significant challenge for many households.”

Waikato registered valuer Marshall Wu says cost of living pressures remain a significant challenge for many households resulting in lower savings rates, persistently low sentiment, and increased uncertainty when it comes to making high-commitment financial decisions like buying property.

Auckland QV valuer Hugh Robson says generally speaking, people seem to be more concerned about their jobs and the high cost of living than buying property. Those who are active in the market tend to be looking for bargains, making lower offers and therefore putting downward pressure on prices.