Where has the missing Month Gone – Gone to the LVR far far away!!!!!!!!
What is LVR – the 20% deposit imposed by the reserve bank before a loan can be gained.
Take time to look at this first sales graph below – it tracks sale number back to June 1992, you will see that in the 4 years 1992 through 1995, 984 houses sold and in the last 4 years 920 sales – this across all agencies. That is 240 less sales over that period which equals a missing month of sales.
Now you tell me how many more homes exist in Hamilton today? Well a quick survey here puts it around 35 – 40 % more residential properties in Hamilton today – is a picture forming in your mind right about now? I would think so.
All this talk of a real estate boom is just that, talk – certainly in the regions but even in Auckland and Christchurch the talk does not match numbers.
So who would be interested in talking up the NZ economy and blaming house sales for rising interest rates. Well who needs positive affirmation about the economy right now – would it be a Government about to go to the voters – interesting question!!
What of the future – more of the same for the balance of 2014 with gradual improvement forecast for 2015