Auckland Housing market could be in for a cool summer with prices and sales volumes flat and new listings well down at Barfoot & Thompson

About time it "cooled " .

The harsh reality is that there is much evidence to suggest house prices have become so disjointed with the underlying or intrinsic value of the land and leaky structures on them , that there has to be an endgame where the market recognises a price ceiling .

"Secondhand" house prices have been tracking the costs of newly built houses , but the new stuff is way out of control with twenty-something year old chippies earning more than Doctors , and the 3 legged building material supply cartel having pushed the envelope too far .

Prices for new builds per square metre have now reached as much as " from" $11,000 per square metre for an apartment to be built . This is more than Hong Kong , Singapore or even Sydney

The net result is that new builds are starting to see some resistance, and this will feed through to the "used" house prices in due course .

The other issue is the Banks , who by now must have realised they are lending in dangerous territory , and are likely to enter a cycle of caution in lending practices

rubbish! Auckland can go onwards and upwards.

With 100K+ immigrants, record low and going lower interest rate, half of china and India wants to live in nz, and a chronic shortage of land, auckland can only go up. This is just incorrect data coming from B&T. The auction rooms are full of Chinese bidding over each other for 1M+ properties.

This is just misleading information as to what's really happening in the real world to try to trick property owners to sell.

If it is the beginning of the end the construction boom will follow close behind.

Agree the fundamentals are crazy.

Reports show the debt ponzi has been temporarily shut out of Auckland, but are discovering everywhere else. Kiri Barfoot recently stated at her investor function that investment returns were "3% if you were lucky, so thank god for capital gains". Tony Alexander reported at Kiri's party that PIs always overestimate regional growth each property cycle, and that now would be no different. He also stated that the biggest constraint moving forward would be further finance restrictions, with no 2nd tier finance company's covering the gap because most of them are toast. The new ones are heavily constrained by new tougher regulations, and rightly so.

Consider then for a moment, no more or heavily reduced speculative capital gains, add in a pinch of proposed debt to income lending rules and a dose of Phil Goff’s proposed Vancouver tax, all served with a side of Winston and Trump. Yet the ponzi continues to act like self-medicating junkies on leveraged debt....wow.

Good news but housing inventory is low. Auckland is 12 weeks and nationally 13 weeks. Down 23% year on year.

Remember most people don't have to sell or have to buy.
They might like to very much but it's not a crisis.
The only minority that has to sell are those affected by Debt, Divorce or Death which would hardly be 5% of the lot.

OK so inventory is low, interest rates at record lows, net migration high, not enough new house supply, so why has the market stalled? Where have all the Chinese buyers gone - the North Shore was their main feeding ground. Might have to drop into Barfoots auctions at Bruce Mason Centre tomorrow and see if the room is empty.
Last week Barfoots only sold 50 of the 150 auctions offered across the Auckland region so surely inventory
must build up rapidly unless homes are simply removed from the market if unsold.
Banks might have to have a spring mortgage war to create some more activity.

Only 15 sold at Barfoots auctions in last 48 hrs with 35 passed in, postponed or withdrawn. Sell rate down to 30% according to auction sales report on interest.co