Weaker than expected

Nationally, house prices are still a long way below their peak. ANZ is forecasting it will take years to reattain those levels.

Chief economist Sharon Zollner says the bank is waiting to see November’s post-election REINZ data before making any more significant adjustments to its forecasts.

She says it’s not just house prices that are on the weaker side – the indicators for sales and new listings show there is further softness to come.

House sales ticked down in October across all major markets. House sales have a tendency to be volatile month-to-month, but ANZ says it will be watching closely to see if this resumes last year’s trend of a weakening housing market, or whether it’s just a hiatus awaiting policy certainty.