New-Zealand Housing Outlook 2009

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New Zealand Housing Outlook 2009

Wellington and Auckland both played hosts to the annual QBE LMI Housing Outlook Seminar for 2009, the premier economic overview and forecast, for the New Zealand housing market compiled by one of the leading property forecasters, Infometrics.

QBE LMI CEO Ian Graham was on hand to get proceedings underway, introducing the business to the forum providing an overview on the new parent, current ratings, business prospects and outlook before passing over to key note speaker, and property forecast specialist Gareth Kiernan from Infometrics.

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Gareth provided a number of positive insights showing that the New Zealand housing market is seeing something of a revival this year, with residential volumes recovering from the substantially low levels seen in 2008. Much of this recovery is attributed to mortgage rates having had a positive affect on housing affordability. LMI representatives were on hand to answer delegate and customer questions and queries, discussing all manners of the current state of the property market.

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"The House price surge, and higher interest rates that we had over much of this decade, pushed housing affordability to very high levels has fallen substantially " said Gareth, "affordability has improved as a result of lower house prices and lower mortgage rates ..this is drawing investors and first home buyers back into the housing market "

Migration is also expected to have a positive impact on house prices over the next year, with up to 23,000 immigrants are expected to land on New Zealand soil in second half of 2010, a surprisingly high figure given the current economic conditions.

“This time next year we expect double digit house price growth because of a shortage of housing that is developing ...there will be a bounce back in the property market and the signs are already in place, said Gareth.”

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Many thanks to all those that attended both Wellington and Auckland seminars. We hope you gained a good insight and hope to see you next year at the New Zealand Housing Outlook 2010.

For full access to the report and presentation please click here.

To access the webcast for the New Zealand Housing Outlook 2009 please click here.

In the meantime if you have any questions please don't hesitate to contact one of our team from the Contacts Page.