According to this article on the Stuff website:
After a long overdue pause in the most overheated parts of the market, house prices are again tipped to soar by an average of 18.3 per cent in the next four years.
That is how much Treasury is predicting house prices will rise between now and 2023 – a rise of about $125,000 on the average residential house values cited by Quotable Value for March 2019.
In Auckland that figure is even higher, adding about $190,00 to the average house value of $1.03 million.
If an 18.3% increase over 4 years is ‘soaring’ then the typical KCDC Rates increase of 14.5% over just the last 2 years for Waikanae people must be ‘skyrocketing.’ But we digress.
What is behind this? Basic Economics 101 tells you the supply of housing falls short of demand for it and the demand is coming from immigration — arrivals well exceed departures — which Winston and even Andrew Little said had to be reduced before the 2017 election.
It’s good news for property developers, but not good for first-time home buyers, and not good for councils who have to look for ways to fund increases in infrastructure to cope with lots more housing units — and as Waikanae people know, there’s plenty of them happening here.