New Zealand’s over heated property market is set to fall according to a news report on stuff.co.nz and following a surge of listings as homeowners and investors run for the exit.
The Chief Executive of property website realestate.co.nz, Alistair Helm, reports there were 15,129 homes listed for sale in February, an increase of 47% over January, saying the surge in listings was “exceptional”. This, coupled with fewer homes being sold is creating a huge inventory of properties.
According to Mr Helm, it would take 48 weeks to clear all the homes listed on realestate.co.nz. In December the was 34 weeks of inventory.
New Zealander’s appetite for debt is drying up. In March 2007, household debt was rising by $2.1 billion a month. In the months of November 2009 to January 2010, household debt is accumulating by $400million a month.
» House prices set to slide – Stuff.co.nz, 7th March 2010.