Barfoot and Thompson's September sales already ahead of last summer's peak

Barfoot and Thompson's September sales already ahead of last summer's peak

Barfoot & Thompson has reported its best September sales in five years.

The real estate agency, which is the largest in the Auckland market, sold 1099 residential properties in September. That's 43% up on September last year and the highest volume of sales in the month of September since 2015, which was the height of the last property boom.

Last month's sales also just topped the 1096 sales the agency achieved in March this year, which is traditionally the busiest month of the year.

September's sales were also the highest they have been in any month of the year since March 2017.

The high level of sales have undoubtedly been helped by the downward movement in mortgage interest rates, but even so, the strength of the market is surprising given the high levels of economic uncertainty and the fact that there is a general election in two weeks, which usually has a chilling effect on the market.

The agency also had a surge of new listings In September, taking on 1947 additional properties for sale during the month. That was up 62% compared to September last year and the was the highest number of new listings received in the month of September since 2015. It was also the highest number of new listings in any month since November 2017.

That pushed the total number of properties the agency had available for sale at the end of September to 3780, up 2% compared to August and up 2.3% compared to September last year.

Barfoot & Thompson's average and median residential selling prices both hit new record highs in September, with the average price falling just short of $1 million at $996,945 and the median price coming in at $930,000.

The figures suggest that both buyers and sellers believe now is a good time to be in the market and making their move, and if current trends continue, it appears the Auckland property market could be headed for a very busy summer.

Barfoot & Thompson managing director Peter Thompson said the big increase in new listings received last month had released some of the competition for properties that had built up among buyers and they were quick to respond to the greater choice this gave them.

That had helped to limit the rise in prices.

"While these are record prices in their own right, the reality is September's average price is 2% higher than the average achieved across the previous three months," he said.

"The current prices being paid by buyers shows confidence that prices are likely to hold firm over the medium term."

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If it all goes well in the next 12 to 24 months happy days for the debt fueled. If it doesn't the debt fueled need to take their medicine and let their friendly banker sell there houses. As I don't want the Government to be using taxpayer money and savers money to continually bail out the debt fueled.


UREB - universal real estate benefit

A further lowering of interest rates would happen before too many forced sell offs happened. Lower interest rates are what kicked this new round of house price growth off again anyway, it’s their favourite blunt instrument!

When you cant pay the principal the interest rate becomes irrelevant!

Extend and pretend.. 40, 50 60yr mortgages.

Labour have worked VERY hard over the last 3 years to keep property prices high.

Boomers may reward them with a second term. Jacinda will resign before allowing a capital gains tax. Compare this to Judith who said, '.. house prices need to come down in certain areas ..'

The State-Housing-Waiting-List is what .. 20,000 ?? Think Labour's new KiwiBuild target is 18,000 - it's a lark. Boomers definitely are seeing the advantages of another Labour government.

Talk hope to the poor and FHBs and deliver the goods for Boomers. Very, very smart. Plus it's keeps the civil unrest at bay.

I think you comments re boomers are stupid. Who the F are these boomers you are talking about?
Do they all vote in unison for the same party as you suggest?
Do they all own property that have made huge gains?
In your mind have the taken something that was owed to you?
Are they older people who have worked hard and you are envious of as you are part of the I want it now group of people?

look, you're welcome to vote Labour. I don't have to. Everyone get's their vote.

I am 44. I have never voted labour in my life....
I just don't agree with the sentiment that older people have taken something away from me.
Do you hate say Graeme Hart because he is the richest man in the country?
Best view is to learn what qualities successful people have and try an emulate some of what they have done than think they have got ahead at your expense. Its just completely foreign and nuts?

You said 4 twice, makes it look like you’re 44
You can vote when you’re 18 :)

Is that as good as you can come up? At least try for something funny or witty at least.
Are you one of the I want it nows and have hard feelings older people have taken something from you?

Oreo, I cant 'emulate' being born 30 years earlier.
Joking aside, you don't seem to understand some crucial facts: how well off people are is not purely a result of their own hard work. Circumstances and policies have an awful lot to do with it. Just take one as an example: low interest rates. These pump up asset prices, as we have seen. Who does this benefit? Asset owners. Similarly, high immigration, as we have had in the last 30 years until very recently. This also benefits asset owners. Who was likely to have been an asset owner in 1990, a boomer, a gen x, or a millenial? And can you honestly say that low interest rates and high immigration is something those asset owners 'earned'?
Also, just to be clear, pointing out that a person or group of people has benefited from a certain set of circumstances and another group of people has not is not envy, nor is it blame. Its simply pointing out a fact.

I retired in Dec 17 age 42. None of my money came from inheritance nor capital gain from houses or property. It was all taxed.
If you want more worker harder and stop blaming others.
Study hard when your younger and then work hard 70 to 100 hours a week for as long as you can sustain it. I couldn't after age 42 but I had enough to not work.
Anyone can go to University in this country if they want to.
So I am not a believer in the BS you are spouting above.

If you think what I am spouting is BS, then it would help to point out why I am wrong. The age you retired at, whether or not you received an inheritance, whether or not people can go to university- none of these have anything to do with either of the policies I mentioned. And as I said, pointing out a fact (like the fact that RBNZ policies to lower interest rates pump up asset prices, which benefit asset holders) is not blaming anyone. It's merely pointing out a fact.

So what, exactly, am I wrong about?

"You don't seem to understand some crucial facts: how well off people are is not purely a result of their own hard work"
I am calling this BS. Its hard work and willingness to take risks and save an invest.
The low interest rate environment that you think is so beneficial to the wealthy is costing me about $12k a month in unearned interest from what was received until 31 March. Not all wealthy are benefiting. I am not....
I actually have no idea what generation I am. This segmentation is for those who cant take Personal Responsibility for their own situation. The I want it now crowd and I want it easy. i deserve it.

I didn't say 'all wealthy benefit from low interest rates'. I said 'asset owners benefit from low interest rates, because it pumps up asset prices'.
And if you think that how well off you are is purely a result of hard work, then I'm afraid there's not much to say except that you are either very stupid or very naive. There are plenty of people who work very hard and are not very well off, and plenty of people who don't work hard at all and are very rich. The circumstances people find themselves in, government policies at the time, and sheer luck (for example, not suffering from a serious illness) have a huge impact on how wealthy people become. This is not to say work doesn't matter - it does - but so do a lot of other things that arent down to hard work at all.

Your mindset of thinking why others have something and I don't is best described as a waste of oxygen.
I see the money I have made from doing millions of dollars of deals around the world are not from my hard work and smarts. Thanks for enlightening me. Business intelligence is important but can be learned. You can always throw in luck but the rest of what you spout is BS.
If you want to be rich you can be. Nobody is stopping you and anyone else only you.
If you go to work and work 70 hours a week and and they are paying you for 40 hours a week soon enough they start paying more and more. If you start making your employer hundreds of thousands of dollars they start paying you the same and if you start making them millions they start paying the same again or want you to have equity in it.
In the past if I come across someone very wealthy I didn't ever think to myself the rubbish you spout but rather look and think what have they done that I maybe able to emulate in business or learn from.
Perhaps you believe in Equality of outcome? But I only believe in equality of opportunity

Dude, I don't care how much money you have made. But part of taking personal responsibility is acknowledging the role that the actions of others - and luck - have played in your success.
And you seem to have continual problems understanding this, so I'll repeat it: I'm not saying that hard work doesn't matter, nor did I say that your hard work was not a factor in your success. What I said was that it is not the only factor. Good to see you acknowledge that luck plays a role - perhaps you are starting to understand. Also good to see that you believe in equality of opportunity. I believe in it too - and i wish that everyone did have equal opportunities. Unfortunately they don't.

We simply have different philosophies. Everyone does have equal opportunities in NZ. You have won the lottery being born in NZ and not Bangladesh or China or Africa. The rest is up to you....
Also do you believe in this white privilege theory being spouted for the why certain people are where they are in life?

I think you are starting to get it - you didn't earn 'being born in NZ'. That was luck. Had you been born in one of those places you named, it would have been a hell of a lot harder for you to do well, even if you had worked just as hard.
Now, not everyone in NZ is born into the same circumstances. Some are born to well off parents who can provide them with good food, give them every opportunity, send them to good schools, etc. Some people are born to parents who are not well off, and who are (in some cases) useless parents - they don't get fed a good diet, they go to under resourced and crowded schools, they live in damp overcrowded homes, they get sick as a result. For those kids it's a hell of a lot harder to do well, no matter how hard they work - just like it would be a hell of a lot harder to do well for either of us, had we been born in Bangladesh rather than NZ.

Now, we can extend this to generations as well - some people were born at a time when it was pretty easy to get a good job right out of school, and relatively easier to build the kind of wealth needed to buy a home. For other people it's harder - people who graduate into a recession, for example. It's not their fault - they didn't cause the recession. If asset prices are high, and immigration is causing a lack of supply, it will be harder for them to buy a home - even if they work just as hard as their parents did. Do you see now how it's not all just about hard work? Factors to do with luck - such as where you are born who your parents are, what the economic climate is like, what government polices are - all of these can have an effect on how easy it hard it is to build wealth, including for those who work very hard.

Well put Al

No no no. I am not understanding your garbage. You need to stop looking at every other factor and start to realize you are in control of your destiny.
Its never easy making millions where ever you are. If you want to make them nobody is stopping you. You are an ideological dreamer.
You are responsible for your situation and only you.
Your mindset of thinking why others have something and I don't is best described as a waste of oxygen.
I am sure you believe in redistribution of wealthy due to these perceived injustices. But fortunately the masses don't believe in this.

Firstly, I don't particularly want to make millions. I am well qualified in a niche area and I earn a good salary in a job I enjoy, but there are things that arent money that are more valuable to me. I could have earned a lot more money had I stayed overseas but I chose to come home to be close to family.
Secondly, this isn't about me. It's about whether people's financial circumstances are just down to hard work, or whether other factors matter too. You seem to keep contradicting yourself about this - you acknowledge that luck plays a role in one post 'being born in NZ is like winning the lottery' and then in the very next say things like 'only you are responsible for your situation'. Both of these cant be true, unless you think you are responsible for where and when and you happen to be born, and who to. It's no good getting angry and calling what I say 'garbage' just because it highlights the contradictions in your own thinking. You need to take some responsibility for your beliefs- and if you realize that you have contradictory beliefs, you need to reconsider your views.

You are responsible for your situation and only you.
Your mindset of thinking why others have something and I don't is best described as a waste of oxygen.
I am sure you believe in redistribution of wealthy due to these perceived injustices. But fortunately the masses don't believe in this.
Post birth the rest is up to you.
Stop making excuses for your own circumstances. I don't particularly want make millions. Well don't worry as having a mindset like you have you don't have a sh#t show of doing so. Its not getting angry its pointing out facts as you put it. You should have a read of what I have said you might be able to change your mindset and achieve better outcomes and not blame others for your predicament.
As deep down I think the green eyed monster is lurking inside you.

For someone who has "retired", you come across confrontational and abrasive. You've either got something left to prove or lack some self awareness (which could be rich coming from me hahaha)

Thanks Dad. You sound a bit soft. I like confrontation, abrasiveness and rigorous debate. If you want to spout ideas like our friend above be prepared to be challenged.

As I said, it's not about me, and I'm not blaming anyone. In any case, I obviously have different priorities than you. I'll leave it there as I don't think there's much to be gained from continuing this.

You gave every excuse under the sun for why one has not succeeded and why someone else is wealthy but those who think that need to look in the mirror. Change that mindset and you might be able to improve your situation and teach others you know who think the same as you.
Incomes taxes are fine with me. I never said I don't agree with them.
If you have seen my other posts on here i want CGT on everything houses, shares, businesses and farms.
My comment is wealth taxes to redistribute which you are conveniently ignoring. If this is the case the masses don't agree with it just the 5% or less who vote green.

The DGM's are straight up not having a good time bro


After lockdown, have seen house price jumping between 15% to 35% and still government feels more to be done to support and doing as only real economy.

New Mantra is borrow instead of saving.

If economy revive fast from panademic is fine or all debts and printing of money will prove to be vert costly.

15% to 35% from what base? This is an exaggeration. Do you have any examples being sold say in Dec 19 or Jan 20 or May 20 (which is after lockdown) resold for 35% more now? There maybe one or two but that's not the market.

Just check any house that is been sold in Auckland, most are going at premium.

Had commented in orther article that a FHB bought a house in goodwood hieght in March with pocession in May for 820000, did renovation of 30000 and situation changed so had to sell and feteched 1060000 AND this is not cherry picking.

Another colleague of mine loking for house in and near Pakuranga area and house that were earlier going in high 800s to mid 900s are going for million to 1.2million and is a fact. Check any house and ask RE agent and will be high (earlier was abour 10% below tonear around RV and now is 10% to 30% above RV mostly).

Also noticed another trend that many existing mum and dad house owners are using the equity to buy another house in area like manurewa and mangere where rent is good and covers mortage in such low interest environment as a result even houses in those area are also up by 20% to 30% in those area as RE agents are showing potential of future development.

Not to forget FOMO which is at peak and rightly so as people who bought as late as january/march have doubled their deposit and are richer-though on paper but richer.

Will it continue, have doubts but are having doubts since few years so have to admit that come what may now government has no choice but to support the ponzi for any correction, specially now will be disaster forr many have borrowed to maximjm that a sneexe and will drown.

Now housing market is really like any ponzi scheme that it has to continue or will fall tottaly.

"Just check any house that is been sold in Auckland" - Are you sure about that? Then why is the median only up 0.5% compared to March this year?

Spruiking FOMO exaggerations. Fake nieeewwws !

Where did you see these 15-35% house price jumps? The current peak is just 0.5% over the pre-lockdown March peak, and 3.3% over the previous record in March 2017.

A RE Agent may have told him?

Must be true

Keep an eye on this one

It sold for $935k in April after passing in. I have no knowledge of the property and if there is any issues with it

That's like saying the stock market went up 921% this year because TSLA did.

This house was sold last year for $800000 and was now resold. Does anyone know the price?

Where are you getting this data from, a magic hat? Please stop spreading fake data and read this.


FHB voted for Labour last election on housing crisis and now Labour has made it worse and not even talking about it.

For FHB, it is all over in Auckland unless pay a bomb to buy pigeon hole with life time of debt.

Now whom will FHB vote... May be Green though.....but....may be....


Only people with a real plan to fix it (which is a wholesale plan) is TOP. Their policies address structural issues (tax system, non competitive building environment, land use, resource management), not just more of the same dressed up as different (which is what Labour/National do).

As for Tax Policy, TOP does not have any real ideas. They are proposing a UBI that will cost about $52b. They propose to raise everyone's tax to a flat 33% which will increase government income from personal income tax to $52 from the current $38b (so increasing total tax by $14b).Well, that figure is incorrect because TOPs says that their UBI will either replace or reduce other social welfare payments that are actually subject to tax, while UBI is not. So if UBI reduces total social welfare by $20b, then the corresponding tax will reduce by 20b* 33%= $7b. So they will actually have $7b ($14-$7) more in taxation from this source.

They also propose to tax all NZ assets at 3% deemed rate. NZ total net wealth was $1,367b (Source: NZ Stats), at a 3% deemed income rate, there will be an imaginary income of $41b which at 33% will produce $13b for them as an absolute maximum. I will say why they are very unlikely to raise even a remotely close to this figure in my next comment. but for the sake of argument, lets say they will raise a total additional income (a very generous and optimistic estimate) of $20b ($7b from income tax, $13b from wealth tax) to cover the $52b UBI.

They say that UBI will replace some of the existing welfare, but do not give details of what is replaced with what. For example, will UBI replace super? will it reduce super? will it replace other social benefits? So without them giving details, it is not possible to know the reduction in actual expenditure if UBI is introduced. But lets be generous and say that UBI will reduce the social welfare from the current $34b by 60% to $14b ( a big assumption off course). That mean they are short by $12b under a very optimistic scenario.

I think that TOP leaders do not believe in their proposals, as they do not even bother to cost them in details to show how they will work.

Your comments show you really don't understand what a UBI is and how it works, every cent is an investment which goes back to economy, not a cost.

Now, I clearly remember TOP attacking Greens wealth tax (1% of wealth over $1m i suppose), where they are proposing to do exactly that without the $1m cap! they say they will assume all assets will have a deemed return of 3% which they will tax at 33%: that is 1% of the net wealth: exactaly what Greens propose, but harsher as they have 0 threshold where Greens have a $1m threshold.
Also, it is simply ridiculous to tax asset that are being used to generate income at deemed rate. A rental house real income is the rent it gets. If you are going to tax a rental property at 3% of its estimated value, then you should surely not tax its rental income. If you are going to tax value of shares in a company based on their valuation (god knows how they are going to value companies, and almost 50% of NZ total net wealth is shares in companies), how can you justify taxing the company's income? if your argument is that a company's economic income is its realized income plus unrealized capital gains (as TOPS argues) then surely you cannot justify taxing it twice.
Their policy is both unfair (double taxing everything) and impractical (how they are going to value privately held equity for taxation?)

just remember one thing that newly printed money needs a safe place to park.

You mean a store of wealth - like gold.

You mean running the cash in case the authority confiscated them?


Current peak is just a 3.3% increase over the pre-2020 peak. Which was 3 and a half years ago. Despite RBNZ throwing literally everything at the 'problem'.
Compare that to the no-leverage(!) S&P500 gains of 43% in the same period. But property is the only game in town, right?

Yep, this country has an odd fascination with property.

Just a 3.3% increase, in a recession, with unemployment going up and still fighting a pandemic? I guess the saying is right, it is "safe as houses". It's clear that the NZ housing bubble will never be allowed to pop.

Alright, if you want to talk about recession.... S&P 500 is up 33.8% in the past 6 months "in a recession, with unemployment going up and still fighting a pandemic".
By the way, unemployment is up at record levels in the US (where S&P500 companies are based), whereas in NZ unemployment actually went down during the lockdown.

What does a stock market have to do with a recession?

We're comparing investments, aren't we? At least my original comment that you replied to was.

What does a stock market have to do with Barfoot and Thompson's September sales?

I think you dont know what you are talking about. Of the S&P 500 21.5% is made up is Apple, Facebook, Amazon, Netflix and Microsoft. If you strip these out the market is terrible. Yes in Covid these companies are flying but more than 50% of the market is way down.
S&P500 was at 3300 on 18 Feb. Today its at 3300. So up 33.8% is only IF you bought on 12 March. If 23 March you gain is higher. But you had to pick the bottom and buy that day.
If you bought at the start of March you have made nothing. If you have been holding all along you have made nothing.
More than half of it including banks, airlines oil companies. REITS etc are way down.

I guess my intention wasn't very clear. I just wanted to point out that the almighty "best investment ever" real estate hasn't been as lucrative as many people here have been telling us. So I compared it to another common type of investment, S&P500.
Yes, I do know damn well that both are bizarre and distorted by certain factors. I chose the end of March date because that was the previous 2020 peak in the Auckland RE market.

Shiller has some great charts in 'Irrational Exuberance' comparing asset returns over the long term (100+ years).

Investors are confused as they think the trend lines of the last 30 years is the new normal - but that is just a result of driving interest rates to zero, allowing the present value of cash flows to be discounted using a lower cost of capital, meaning higher asset values. If you look long term, most things are in a bubble right now and it could be a really bloody big one.

But we've had two industrial revolutions within the last 100 years so it's a big ask to suggest that asset returns should revert to a 100 year trend.

I think I'm missing your point. We also had a thousand years of tribal wars (dark ages) following the collapse of the Roman Empire - that included many great technology and economic and political advancements. We might be approaching peak narcissism - those with the wealth/assets abuse their positions so much that the average person (Roman) begs to be saved by a return to barbarianism.

What we think we know and what we think will be, could be very different to what is real and what will happen - usually we become deluded by our own grandiose and self interest. Take a look around this site an you'll see it. It makes one ignorant to risks of bad outcomes.

:) Are you a Roman wishing for the return of barbarians IO? you know that barbarians are not going to be very kind to the rich, as you have to be with your expansive portfolio of investments. So be careful what you wish for.

Just pointing out that what we know now is not necessarily going to be true in the future. Is it my wish for humanity to experience another period of darks ages? No...

But unless we come up with a new system it’s a possibility that those getting screwed not longer want it.

Look at America..having China being the world power might not only be a reality, but may actually be a better outcome than having Trump and his ilk in power.

Previously you have posted that you could currently afford a house for $1.5m, not interested in buying as you are doing far better with equities and the housing market is going to tank.
Wow, all really impressive, go with it, you are doing well. so no problem, don't buy that $1.5m house, stick with your equities. You are really confident and self-assured. Cheers.
However, what I am finding really very difficult is to comprehend is why you are so het up about and attacking housing - something seems wrong, quite inconsistent view as to where you are at.

Attacking housing? I'm attacking the spruiking and the decisions that led to further inflation of the bubble. It affects everyone negatively who hasn't bought a house yet. Whether you have $100k or $10 million in the bank. If the bubble get inflated even further, you get worse options for your money. It's really not that difficult to understand.
Edit: also, being able to afford a house for $1.5 million doesn't mean I want to buy for that much. I'm the kind of person who considers the downside risk too, and borrowing more than 5x our household income would be insane.

The bubble also inflates risk to deposit holders. Orr and Robertson can rush to print $100 billion and give mortgage holidays for 12 months to the debt fueled but a pathetic deposit holder guarantee of 50k requires more work. Both are complete A'holes

Then all not a problem then.
You should happy and leave the foolish housing Wallys to tank.
You are doing great, so nothing to be upset about.

Uh, maybe he's upset because he doesn't just care about himself?

Just doesn’t care about himself alright

No bull?

> It's clear that the NZ housing bubble will never be allowed to pop.

Indeed, this became apparent to us last year, which is why we bought. As they say, don't fight the Fed (or the RBNZ in our case).
Still think that the market is well departed from its real fundamentals, and certainly have some apprehension about the reality of all the Covid effects emerging in the next 6 months, but so far so good, 2 fairly secure incomes, and a good wodge of emergency cash in the bank should see us right.

what are fundamentals in current time? Can the Western developed world expects the quality of life (and it corresponding measures) from when they were the economic powerhouses of the world to now that East Asia has significantly caught up?


Great thanks labour!

higher house prices means needing a bigger deposit and taking on a bigger mortgage. woohoo!

Incoming all the doomsday predictions - put simply Dominick Stephens said it himself previous correlations of unemployment and house prices aren't as strong as they used to be (just like all other economic models). On top of that most of the unemployment is driven by the retail, hospitality, tourism sectors that tend to be low paid and less likely to own/buy a home (these aren't GFC unemployment measures that affected every industry). What is much stronger now is the correlation of lower interest rates driving higher house prices and that will only continue as the RBNZ drives down interest rates further.

Take a look at what has happened circa 1990. We've had 30 years of house price increases beyond the 100+ year trend line as a result of driving interest rates towards zero. We're now more or less at zero. Now what? That key input will be do we then support higher debt levels? That will require wage increases higher than core inflation - if that doesn't happen then the debt burden becomes to much, consumption will have to reduce and the recession starts a doom loop where the interest required to service our high debt becomes a burden that can't be sustained.

This is just dumb, dumb, dumb.

Head in sand, she'll be right, incedibly mOrronic. Who put the fat kid in charge of the tuck shop?

That's supposed to be a secret. Should not be written or spoken to anyone about.

I'm picking 50 year mortgages to 'promote home ownership' and 'make it easier for FHBs to get on the ladder'. Then 100 year.

Sounds like Japan...and that didn't stop a significant period of falling house prices.

Has this narrative of people on lower wages being less likely to own a home actually been proven?. You do realise that most people enter a mortgage as a couple right? What if the other earner in the couple earns an above-average wage and that the lower earner (who is now unemployed) is still required to be earning to service the mortgage?

Bread and water diet lol

mortgage holiday and wage subsidy scheme have a few things to answer for!

Government has not been so generous except ti support the ponzi as have extended the mortage holiday till next year instead of end of the year.

They followed Australia as it suited them in mortage holiday but not for wage subsidy., which ended in first instance (ending wage subsidy is fine but why such a long extension to already hot market and why not same logic be applied to moratge holiday as applied to wage subsidy that cannit save all jobs)

We've gone mad - we will need to see wages rise faster than CPI in the coming years now that interest rates are near zero. Or how else do we service the ever increasing debt to service ever increasing house prices?

Wage growth only has to match the cost of servicing debt growth. Which means there is no wage growth. Unless it's negative.

if you want credit growth (even more debt than now), then you have to have wage growth more than CPI.

Where does that leave us JC in your view?

I don't really know. But if I were embedded in the ruling elite, the msg to the public would be 'not too hot, not too cold'. I know how that part of the game is played.

News is trending high on Granny Herald too. Get out there and spend now and do your bit for the country. But it seems like you already are according to Retail NZ. It's not normal but it's 'back to normal'. Pandemic shamdemic. There is no recession among the team of 5 million. Kia kaha. Bring on the rugby and $14 beers at the Viaduct.

$14 pre load before you go out...Cant wait until the next rates increase, hope those retired have a bit tucked away for that.

Covid-19 has just been used as a money grabbing opportunity by the rich elite. They have used it as an excuse to widen the gap. Many business owners had their employees wages paid by the taxpayer for four months whilst still operating and doing great business. They pocketed all the wages they would have normally had to pay. Many many hundreds of thousands if they have just a few staff. They also benefitted by house value growth, many owning several homes. They are now buying more. FHB's be damned. An investigation is needed and Jacinda and Orr must be questioned. This is so immoral its hard to comprehend that it can happen in NZ.

If you have to damned anyone should be Labour government and cannot trust national so why not experiment and vote for green.

Good luck with that. haha

20% of Australians cant raise $2000

Am sure Kiwis can easily raise $$$$

Amazing is it not ? The USA is about to totally tank and we are still on a spending spree. Still I'm all in this time boots and all. The next RV valuations are going to be interesting expect big jumps.

A youtuber reading latest news/data and wondering what V shape recovery is US politicians and experts talking about :

Not to worry more stimulus as needed or economy may shut

House Democrats Pass $2.2 Trillion Stimulus Republicans Reject [""]

Please read in Attenborough voice "What we are witnessing here is the Carlos67 butterfly. It starts its life as a 'have not caterpillar' and lives its life on the ground living in undergrowth and in damp and dingy places. After several years living like this one day a miraculous thing happens were the caterpillar has some golden fairy dust sprinkled on its back by the giant ANZ spider. Miraculously over night this humble caterpillar turns into a beautiful butterfly which now only flies at great heights amongst other beautiful butterflies who are all living in an enchantered land full of fairies and pixies. All memories of how the poor caterpillar lived are somehow wiped from the butterflies memories during the criscillis period. The butterfly has now become a 'have butterfly' and it lives happily ever after (albeit under the close watch of the evil spider)"

Does anyone know why they have dropped interest rates so much? Was it needed for something other than housing issues? Because it seems to be having a bad affect on the housing market and further falls would seem unwise and further inflame the market.

It would be great if everyone was sensible and used the savings to pay down debt but very few are sensible. Instead they are just borrowing more and pushing house prices up at a rather unnecessary rate at the same time hurting retired folk who kept cash in term deposits for some income.

I was planning on getting income from deposits, a rental or two and superannuation, all fairly modest amounts but that plan has to be changed now.

Well, here is the official YouTube video from the RBNZ no less:

I guess it doesn't make a lot of difference to me. Deposit interest rates go down but then rental profit goes up as I have mortgages. I just think they are overdoing it a bit unless there is something I don't understand. Maybe it helps businesses more than we think and our housing issues are just a sideshow in the overall big picture.

If I had several houses and I controlled the low interest button I would press it too if the best excuse ever came along. You cant blame him.

The writing was on the wall before he took the reigns. This has been decades in the making and central banks are backed so far into the corner now that their only option is to start chewing at the walls.

True, but he could try and change course slightly if he really wanted to. He's going harder in the same direction.

They have no choice as now even if housing market has small correction (not crash) will see bloodbath on the street.

So the only choice RBNZ and govetnment has is to continue printing money and stimulus till eternity or hopefully virus get under control and economy recovers as soon as.

But even then we’re looking at stagnation - the weight of debt is going to be very high.

Yep, there's an assumption we can grow out of the debt as has happened in the past. Except the sums don't add up anymore, and interest rates suggest there won't be any growth for a long time.

The COVID-19 era will be remembered as the time when the youth sacrificed their freedoms, jobs and futures so that the older generation could enrich themselves even more... and at the youths expense. How twistedly unfair this is.

Many I talk to don’t seem to be aware they are even getting a good deal out of it, nor the resentment building up from generations below them. They appear to think younger generations will continue to peacefully observe their broken, self rewarding system.

Screw you savers and wage earners

Markets are pumping .... dope to be legalized .... flights to oz with no quarantine
Rich are richer and poor are happier

To all who feel price rises are to detriment of common weal, be patient as the ammunition’s nearly gone and economy anaesthetic and mortgage deferral pretence ceases in max 6 months

It feels like they will just find some other way. Also - how many people are actually on mortgage deferral?

MK asking everyone to wait a little bit longer for the crash he has heralded for close to two years now.

Mike I think they can keep it going forever. If interest rates go from 2.5% to 1.25% then people can borrow twice as much can't they.

Only on Interest Only.

No, not on P&I. Your payments are 70% higher on $1m @ 1.25% than on $500k @ 2.5%.

So BT likes to compare to 2015?
Auckland 2015 full calendar year sales were 31,505
So far in 2020? 15,144
4m to go so might hit 24000?
Of course it depends on what you choose to present
Notice central suburb and city centre sales weakest ?
2015 I suspect opposite
Both due to Chinese — surge 2015 and absence now

Govt. immediate hand out can be seen during the earthquakes, which is makes sense. So will be for the next future natural disasters: Volcanoes eruption, Tsunami etc. will be a hand out. The odd things about this particular naturally occur disasters/Covid19 - the RBNZ is opt to be less creatives, gone their previous hawkish tone, they're predictable bunch. So be it they oddly favouring the removal of LVR, but? why try not stern to market speculators? .. be 'unpredictable' say put the OCR unexpectedly to 3%, say just for 2-3months before put down again - after all? those inflationary mandate still within the band scope. Even pharmaceutical has a way of 'placebo' trial - that's what make good decision, linear, predictable but at any moment it can be unexpected - this is how resilience to make up of confidence, a good referee. Tell how confidence those sports fan to some of referee at any sport that favouring one sided team, .. no confidence!