The NZ Property Market Podcast
Brought to you by Cotality, formerly CoreLogic. Each week co-hosts Nick Goodall and Kelvin Davidson will bring you all the latest news, stats and insight to keep you up to date with everything to do with the NZ residential property market. Including sales volumes, house price indices, buyer activity, interest rates, loan-to-value ratio restrictions and all of the macro economic factors that influence our largest asset class. Contact us on twitter @NickGoodall_CL or @KDavidson_CL
This podcast is for educational and entertainment purposes only and does not constitute financial, legal, or tax advice. The hosts are not licensed Financial Advice Providers in New Zealand. All information is of a general nature and does not take into account your personal situation or goals. Please consult a qualified professional before making any financial decisions.
The NZ Property Market Podcast
Affordability is back: Are the housing market drops over? 📊
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After years of national hand-wringing, housing affordability in New Zealand has officially returned to long-term averages. Falling house prices, lower interest rates, and rising wages have combined to bring the value-to-income ratio back down to 6.7 - exactly where the historical average has sat since 2004.
This week on the New Zealand Property Market Podcast, Head of Research Nick Goodall and Chief Economist Kelvin Davidson unpack the highly anticipated 6-monthly Housing Affordability Report. They discuss why mortgage servicing now takes up 40% of median household income, why years to save a deposit has dropped to 8.9 years, and why regional data paints vastly different pictures for centres like Wellington versus Tauranga.
The guys also dive into the latest macroeconomic data - including softer inflation and a slight lift in card spending - and explain why "good news is bad" when it comes to the Reserve Bank’s upcoming OCR decision. Plus, Nick delivers a passionate wrap-up of an unforgettable weekend of rugby, from the Taniwha claiming the Ranfurly Shield to the All Blacks' epic win at Ellis Park.
This week we discuss:
- Affordability Returns: Why all four major housing affordability measures are finally back to (or below) long-term historical averages.
- The Mortgage Burden: How servicing a new mortgage at an 80% LVR now requires 40% of gross household income.
- Regional Nuance: Why Wellington is now the most affordable main centre, and why Tauranga’s numbers are skewed by wealth over income.
- Macro Data Mix-Up: How softer price indices and slightly stronger card spending impact the upcoming OCR call.
- The 'Good News is Bad' OCR Dilemma: Why an improving economy might just give the RBNZ the confidence to hold or hike rates again.
- Rugby Wrap: The Taniwha's historic Ranfurly Shield win, the All Blacks at Ellis Park, and the Warriors topping the NRL table.
🔗 Read the full Housing Affordability Report: https://www.cotality.com/nz/insights/articles/nz-housing-affordability-returns-to-long-term-norms-as-buyers-reap-the-benefits
Sign up for news and insights or contact on LinkedIn, X @NickGoodall_CL or @KDavidson_CL and email ngoodall@cotality.com or kdavidson@cotality.com
This podcast is for educational and entertainment purposes only and does not constitute financial, legal, or tax advice. The hosts are not licensed Financial Advice Providers in New Zealand. All information is of a general nature and does not take into account your personal situation or goals. Please consult a qualified professional before making any financial decisions.
