Chinese buyers notable by their absence

Property

China's clampdown on capital outflows is having a noticeable effect in Auckland's auction rooms

4th May 17, 4:50pm by Greg Ninness

It has been a funny old week around the main Auckland apartment auctions.

There was no auction at City Sales' rooms this week, although they have a full offering next week.

Down at Barfoot & Thompson's rooms, two properties were scheduled for their regular Thursday apartment auction, but one was withdrawn prior to the event and the other had its auction postponed just as bidding was due to get underway, so there was no action there.

Up at Ray White City Apartments five properties were up for auction this week and a good crowd turned out for the event.

One of the most notable features of the crowd was that there were very few ethnic Chinese faces among the potential bidders.

So Chinese buyers were notable by their absence, and word is that the increasing difficulty of getting money out of China is to blame.

But all of the properties on offer attracted bids and bidding was quite competitive on four of them, but by the end of the auction two had sold under the hammer and three were passed in for sale by negotiation.

The selling prices achieved on individual properties and details of those that didn't sell are available on our Auction Results page.

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88 Comments

by Houses Overpriced | 4th May 17, 4:52pm 1493873574

oh my, don't tell the National Party folks that.. they claim foreign buyers have absolutely no impact on the Auckland market...

by Fritz | 4th May 17, 5:18pm 1493875080

Ha ha

by r-mc | 5th May 17, 6:17am 1493921830

If money is hard to get out of China, that being the 'word', then why in Sydney, with capital gains tax and stamp duty, have property prices increased by 20% in the past 12 months?

by CJ099 | 5th May 17, 6:37am 1493923058

Depends on how you weigh up the figures, you need to look at what's happening since January this year not over looking back and weighing the over all price increases over the last 12 months, if you want to get a more realistic picture.

See it's not just us who have recognized that free capital tap from China has been switched off. Even those in Toronto are now scrambling to cash up and get out of the market before it crashes.

Toronto Homeowners Scramble To Cash Out In April, New Listings Soar 33%
https://betterdwelling.com/city/toronto/toronto-homeowners-scramble-cas…

by RichMuhlach | 5th May 17, 9:29am 1493933387

if a rich Chinese national would risk jail time / prosecution for breaking the rules, I'm sure they'd rather risk it for a Sydney property than an Auckland one

by NorthernLights | 5th May 17, 9:56pm 1493978192

Sydney is fabulous no doubt at all
Auckland is also great in a different way
Both are premier cities
In my opinion Auckland is probably a better investment as there's the double grammar zone and all the shellfish have now been removed

by RickStrauss | 5th May 17, 9:50am 1493934609

I've never known any of them to say things that weren't true.

This can't be right.

by NorthernLights | 5th May 17, 11:07pm 1493982422

http://www.cbc.ca/news/canada/toronto/china-canada-homebuyers-1.4012959

Chinese buy predominantly for Education in Canadian cities
Same would apply in NZ

Been happening for years here's a 2012 article
http://www.cbc.ca/news/canada/real-estate-rules-don-t-discriminate-agai…

by Penguin | 4th May 17, 5:05pm 1493874332

Since that start of the year people transferring money out of China have had to sign a declaration saying that the funds will not be used to buy property.

by Double-GZ | 4th May 17, 5:23pm 1493875389

I'm predicting the Auckland house prices to drop as much as 60% within the next year and back to GFC 2008 level within 5 years. Let's hope the FHB's who have been struggling to own their own homes are now able to turn the table and those who have fled the city will come back to their home city.

by sharetrader | 4th May 17, 6:08pm 1493878111

they will not return, life in other parts of NZ is a lot more relaxing

by Uninterested | 4th May 17, 6:25pm 1493879152

I don't know why first home buyers have bothered looking for property at all in Ak in recent times. In my view it would take price drops of about 50% before it would be worth buying in Ak given the extremely long term nature of the debt when we may be on the cusp of significant mortgage rate increases.

by r-mc | 5th May 17, 8:46am 1493930803

Possibly because it's where there friends and family live? Why do you live where you live?

by thenewguy | 4th May 17, 6:33pm 1493879596

I beg to differ. Auckland house prices will only go up, though this is a temporary blip. my predictions are as follows:
2018 - average price - $1.255 million
2019 - average price - $1.513 million
2020 - average price - $2.012 million
2025 - average price - $3.181 million
2050 - average price - $20.182 million

by Ocelot | 5th May 17, 9:16am 1493932587

Lol

by Zombie ponzi | 4th May 17, 6:39pm 1493879987

Double-GZ I think you need to look at your maths? A 60% drop from current prices is not that same as a 60% increase from lower prices, e.g;
- a 60% drop from $1m median takes you to $400k median which is below 2008 levels
- vs a 60% increase in median price from $400k takes you to a $640k (not the same $ change)

What do you think Auckland's median price will be in a year?

by Double-GZ | 4th May 17, 6:45pm 1493880348

I'm hoping it will be somewhere around $500k. All those multi million dollar DGZ houses should be selling for no more than $800k. We need a city where housing is affordable for all.

by Kevin | 5th May 17, 10:44am 1493937845

Change of tune there double GZ? Are you bipolar?

by J.C. | 4th May 17, 7:24pm 1493882663

I'd say you're not really predicting at all. You're just saying it to get a reaction, which is quite common in social media and online comments. Most forecasters with the chops to make forecasts don't usually make these kind of comments. I will "speculate" that if your scenario were to eventuate, house prices would just be one of your concerns. There is every likelihood that the economy would be decimated in such a scenario.

by John from Holland | 4th May 17, 10:10pm 1493892645

WOW that is a big turn around from some of your previous comments.

What has triggered your change in thinking?

by TainuiBabe | 4th May 17, 10:48pm 1493894880

I will return to Auckland when house prices collapse to pre-2010 levels and the travel times and road congestion returns to at least the 2012 levels. I have already made my bed in the rural town backwaters and living mortgage free with a lifestyle that only the new "working poor middle income earners" of Auckland could ever dream about. My daughter and her partner are working towards escaping Auckland within the next 18 months too and are heading for the regions to buy. Both are aged 20-21, and one is graduating from Auckland Uni this year and the other is graduating as a fully qualified builder. The regions need these young people, but it is sad that my Middle Class family have become a part of the "Auckland Housing Refugees" crisis. Oh and when I say "Rural Town Backwaters", on a comparison to Auckland, I live no more than a 10 minute drive through peak hour traffic to get to work, see a movie, visit a friend in hospital. Only a population of about 100k and every destination is only 15 minutes away by car.

by NorthernLights | 5th May 17, 11:02pm 1493982136

Tainui Babe
Isn't there some tribal allowance you can apply for from the $30Billion the Maori trusts control ?
I see any of the tribal leaders seem to have no problems affording pretty nice property

by NorthernLights | 5th May 17, 10:02pm 1493978531

Here ! Here! DubleD !

by Cowpat | 4th May 17, 5:34pm 1493876053

Of course its Chinese money or lack of to blame, of course ethnic Chinese do not live in New Zealand and do not buy houses, of course the Chinese are to blame . When I went to the auction I only saw plump, bespectacled bald men . I believe they were Russian. They looked like mafia carrying large suitcases. They talked another language, it may have been Russian or Scottish . I believe the money in the suitcases had been laundered, it looked clean. I tried to do a ethnic survey of the auction and started counting the number of bald bespectacled plump sinister types ,there were many but as I started counting the other ethnic groups, I believe there were many Argentinians , as they looked like Argentinians I was stopped by a male with the initials DGZ, I believe he was ethnic North Korean He said surveys were not allowed. So I stopped, but I now believe Russians and North Koreans will buy Auckland property because I stood on a rouble as I was led outside.

by Uninterested | 4th May 17, 6:27pm 1493879254

Oh thats funny.... Russian or Scottish.....

by paashaas | 5th May 17, 9:38am 1493933939

in fairness they are hard to tell apart - both groups being perpetually drunk.

by unaha-closp | 4th May 17, 5:47pm 1493876850

You are putting the cart before the horse. The Chinese have stopped investing in housing in Auckland, because the house prices no longer go up and the Chinese aren't stupid.

by russellj | 5th May 17, 3:50pm 1493956209

What nonsense, there are other reasons why Chinese buy here not just to be short term investors. The current Chinese govt restrictions and the state of the Chinese economy are having an effect.

by NorthernLights | 5th May 17, 10:08pm 1493978911

Unaha
Absolutely right the Auckland house prices are declining to a flat line
DubleD says they will become affordable for the youth market

by donbond | 4th May 17, 5:52pm 1493877130

I thought that Chinese buyers are hardly any in the market as per National Party.

How manipulated and lied. Overseas buyers 3% - what a joke and we the people voted national not once but three time - not any more.

by NorthernLights | 5th May 17, 10:14pm 1493979240

I know in China kiwis can buy any type of home they wish even farmland
I know of one kiwi who bought an entire group of Chinese dairy farms because the Chinese owner went broke
You can see the dilemma
One country appreciates keeping its land its own
With a 7 billion plus world pop you would think NZs govt would want to protect its lands from outsiders
Alas no
A simple bribe is all it takes

by Alter Ego | 4th May 17, 6:07pm 1493878074

That is too xenophobic for words...So I will use sign language.
That a National Treasure is unable to State Clearly what is in their minds eye, it is imperative we view for them.
When looking at Auctions, particularly in Awkland, it is hard to justify, the people that one observes, be it taking ones coffee black or white.

When ones bread comes into the picture, it can be taken for granted that anyone would snap off the hand that feeds, whether this be brown, white or toasted a darker shade of grain or even a mixture of cereals as is now the fashion.

We have imported many such choices into our Country and depending on where ones bread is buttered, is a matter of taste.

Some like it seasoned, homegrown and spread around, some like it with a National identity, something to chew over, if one needs glasses. as many do to see the blind spot, some people miss.

Having ones cake and eating it is off course another story, often accompanied by other ethnic choices, some like it marginally better than others, depends on the layers involved.

Some chicks lay better than others, some prefer the crest of mountains for their sheer naked beauty.

I cannot complain, I like my cake and have an appetite second to none. Though time is of the essence, when aging...disgracefully.

Myself I can see the future quite clearly, as can Stephen Hawking, he is sold on the idea we must move mountains to leave the earth as we are not really welcome here anymore...and that includes all of us..

We have hit the peak, so cover ones eyes and do not buy any houses, as there is a possibility, relatively, some will never inherit. We may have to view the moon even closer as a place to view the sunset.

Mars bars most people, as far nearsightedness is not always in the National Interest. Some people do not know the difference. Either chocolate or pale. They cannot tell the bleedin difference, just what will pan out.

No creed is safe...Even a bunny may have to hop it....Depends what the future markets dictate.

https://www.aol.com/article/news/2017/05/03/stephen-hawking-humans-need…

by Uninterested | 4th May 17, 6:32pm 1493879558

I'm thinking of going up Mt Taranaki to see what I can see.....

by Alter Ego | 4th May 17, 7:19pm 1493882340

Uninterested..I think you are...

I do not think the moon is assending anymore, may be too dark to see...anyway.

The simple fact is it got your attention,

We have a limited time on this earth, but all we talk about is houses and the smog ridden countries are the problem, not the solution. I have seen them, they are not pretty, the moon is seen better in NZ, as no real pollution, in the air, just the Groundswell ain't what it used to be...and the imported stupidity, does not help matters.
Even importing Saharan crap to get more crap from cows is ridiculous. Plus it is illegal...or damn well should be. I don't dig it, neither should they.

We need to immediately reverse mankind and ensure we can live in this universe, not the next.

2040 to NON-Pollute waters is folly, by golly.

It is a buy product of getting more crap from cows, no matter how they dissemble and lie. It is not in our National Interest, the Outfloes are murky as it is.

Pollution is growing, not aided by Houses, cars, and a whole lot more besides. And Governments.

Mamon is the problem.

Ruining the World for the sake of it, is an even greater problem.

A bit rich coming from me..as I ain't poor.

.A junk used to be a boat...a sail boat, now it is sale crap.

A lot could be done to improve this lot...Our lot...but the trend is more crap, more problems.

Nationally. And Globally. This lot in charge, hurry up and wait. It will not fix anything....

Urgency is what is required. All things could be done under Urgency. Then maybe our relatives of all creeds and kinds..could inherit our Fair Lands, not a shite hole they are now are or becoming.

By the way, 11th May...next Full Moon...get yer binoculars out...Pretty as a picture.

Hope that clears the air.

by NorthernLights | 5th May 17, 10:18pm 1493979539

I think the Ego is Altered

by Macadder | 6th May 17, 7:49pm 1494056991

I think uninterested is interested in naked aspiration

by rastus1 | 4th May 17, 6:21pm 1493878880

How do you know they were absent? Is this based on their sir names or what they look like? What a terribly racist and xenophobic conclusion. These people attending may have lived in China all their lives and have Chinese partners and children that you didn't see. This is the sort of anecdotal non scientific nonsense that we must do away with.

by swapacrate | 4th May 17, 7:45pm 1493883955

I must be racist and xenophobic, not sure how but by your definition then I am. But when I look up Xenophobic Im not, weird.

The reason I must be Xenophobic, is I look at people and guess where they come from, I do it all the time. Im a Maori so when I see NZers or even non NZers and they look a little brown and have features like a Maori, I have a guess if they are Maori, same with Pacific Islanders I try to see if they are Pacific Islanders or Maori. But the thing is I like people, Im a Maori and I have Pacific Island Uncles and Aunties so I cant see where Im Xenophobic for trying to guess their race. No where in the definition does it say I am Racist, how can I be superior to myself. I also do it with other nations, are they swedish, spainish or Italian. Not for any reason but to guess where they come from as I lived in the UK and travelled. My wife is Welsh, I try to guess if people are English, Scottish, Irish or Welsh. It happens all the time with Australians and NZers in the UK.

Your right it is anecdotal and unscientific, but most things in life are. You can create falseness even with scientific data, the author of scientific data may be bias, and manipulate the facts to suit their argument. Its up to the reader to discern whether they believe the argument.

Xenophobic - having or showing a dislike of or prejudice against people from other countries.
Racist - A person who shows or feels discrimination or prejudice against people of other races, or who believes that a particular race is superior to another.

by David George | 5th May 17, 6:21pm 1493965288

Xenophobia is the irrational fear of foreigners and the accusation is being used to silence criticism of immigration and is part of what I see as an orchestrated campaign. There is no research to indicate that the high levels of low quality immigration we have are of any benefit to us whatsoever yet we are being bombarded with propaganda that this is somehow a good thing. The NZ initiative and various so called think tanks and thick tanks (NZ Herald) are all peddling this line and if you don't like it you're a nasty racist or Xenophobic nut-job. Am I the only one that finds this level and direction of blatant propaganda very creepy?
BTW if you want to read a majestic dismissal of this insulting campaign here's a beauty from Michael Riddell :
https://croakingcassandra.com/2017/05/03/a-world-leading-debate-on-immi…

by nymad | 4th May 17, 8:38pm 1493887118

What a stupid comment.

by Kakapo | 4th May 17, 9:02pm 1493888549

You guys need to get checked out for catastrophic satire-blindness.

by Zachary Smith | 5th May 17, 3:33am 1493911980

Poe's Law again.

Without a clear indicator of the author's intent, it is impossible to create a parody of extreme views.

by r-mc | 5th May 17, 6:33am 1493922830

The authors intent is to drive users to interest.co.nz's auction result page. Here's a link to pictures of sheep instead https://www.google.co.nz/search?q=sheep&rlz=1C9BKJA_enNZ686NZ687&hl=en-…

by NorthernLights | 5th May 17, 10:19pm 1493979595

Zach
Now a man of few words !

by Simo | 5th May 17, 1:54pm 1493949243

Nonsense is trying to censor others by calling them names.

by linklater01 | 4th May 17, 6:48pm 1493880484

Alter Ego,

I have read your post several times and it still makes very little sense.Whatever it is you are inhaling,my advice would be to stop now.

by Uninterested | 4th May 17, 6:56pm 1493881004

What law says that posts have to make sense?

by swapacrate | 4th May 17, 7:14pm 1493882057

Or sell it.

by Alter Ego | 4th May 17, 7:21pm 1493882496

Fumes mate...fumes....just hot air, so do not bother to read anything into it...Sense is in the past..long gone.

by scarfie | 5th May 17, 8:35pm 1493973310

Lay off our Alter Ego, he(or she) is an icon around here. And in the absence of Cowboy and GBH is about the only one keeping it interesting. Although I am still chuckling about the Russian or Scottish thing. About the only one that makes consistence sense around here as well.

by NorthernLights | 5th May 17, 10:21pm 1493979696

Scarfies should stay in ChCh
They never make sense

by Alter Ego | 6th May 17, 9:18am 1494019134

Thanks Scarfie, It is nice to have someone in our neck of the ...woulds.

Yeah, lay off me you Other Guys, or I shall ............Cry.

The Ladies are welcome to read anything into what I say.....It is in their best interests, I even bovver.

I like a good bitch now and again, I married a rather nice one...But I only work in her best Interests...Sorry.

Sorry Ladies...Weep...you should, as you cannot match an average man like me...in wages, normally, so I feel for you all. (Except if you become a Government Lackey or use yer brain..or yer body).

Interestingly enough, if we did not have any interest, inflation would be Nowt.

Interestingly if we did not import more growth, babies and the like, we would not have anything to gripe over.

If you do not have Free Borrowings and Free Money, and a Little interest, which soon becomes a lot, Growth would never happen.

I did not invent this fraud, I only grew up with it....I only record my dis-pleasure at those who screw the system.

Some even make a lot of money, screwing others ...as Skimming a little, soon becomes a lot.

Plus advertising it pays. Biggest growth market....Interestingly enuff...Big Business.

Ho Hum...

Compounding Interest, compounding problems, Importing stupidity, compounds our mess. Governments excel at it.

So do bleedin Banks...

Over and out.

by Zombie ponzi | 4th May 17, 7:40pm 1493883609

A wee anecdote: someone I know recently withdrew their central Auckland house from the market after several months of very little interest. Perfectly good weatherboard house on a freehold section. This person planned to use the proceeds to move out of Auckland but those plans have now been delayed. Begs the question how many others are doing the same and what exactly are they waiting for to change?

The problem is having seen a house down the street go for insane money in mid 2016 they now expect insane money for their place, even if they could currently sell it for double what they paid for it they are holding off. Could be a very regrettable decision in a year or two.

by Uninterested | 4th May 17, 6:55pm 1493880929

Cold feet.
In so many areas, you have to make your own decisions based upon your own intelligence and knowledge, not what the guy down the road is doing.
The Herald now publishes stories of people in Ak selling up and moving elsewhere. When that happens, you know the horse has bolted.

by NorthernLights | 5th May 17, 10:37pm 1493980641

Zombie Ponzi
Interesting story you quote
I know it will not be isolated to just the vendors you speak of either
It's hard to accept less now when you've seen more only months earlier
There you have the fickleness of the market driven by emotion not logic
When shacks are selling for CA$2,000,000 in Vancouver you see that humans are like sheep following the trend line. Few of the sheep ponder to consider the trend will change and then the time has passed to offload at extreme profit.
Some of course will bleat on that Auckland prices just keep doubling every 10 years but in my opinion history may record this extreme price expansion in housing as a major aberration

by CJ099 | 4th May 17, 7:22pm 1493882571

Good article Greg, thanks for pointing out the elephant in room or rather the absents of it. It's outrageous that Foreign Buyers were allowed to plunder our housing market so much and drive up house prices beyond any logical reason other than capital gain.
Completely tax free! Just goes to show that we really need the Foreign Buyers tax to mop up the money launders.

by Gummy Bear Hero | 5th May 17, 4:04am 1493913851

... I wouldn't mind so much if foreign capital was directed to new builds , into increasing the housing stock of our fine country ...

But it beggars belief that our government continues to allow non-residents to buy up unlimited quantities of our existing houses and apartments , pricing us citizens out of our own market ...

... and they get a tax-free ride to boot ... simply staggeringly bizarre ....

by Alter Ego | 6th May 17, 8:47am 1494017249

Our Government Officially like house prices to rise, it gives them a double dip into Tax Payer funded borrowing systems that pays their way and their way is to keep raising the roof of houses, they own as it also increases their pensions, Non_Taxably. They can keep this up....Forever.

A double whammy, a double dip, never have to actually work....in their life.

Free travel, Free ride, Free flights of fancy, Free Lodgings, Free Loading....bludgers.

Each and every one of em.

Any fool who does not recognise this is called a Voter. They usually have an ulterior motive too. They vote for a free Society, too....Inflationary, though it may be. It gives them a lift and an illusion of wealth...too.

Anyone else who does not recognise this needs glasses.

I prefer a Whiskey Mac in mine.

by NorthernLights | 5th May 17, 10:40pm 1493980845

CJ
Worse than even the govt allowing foreigners a completely tax free hand to speculate in NZs housing was the fact NZ was/is? A tax haven !

by Roy1 | 4th May 17, 7:22pm 1493882560

Everyone knows what the truth is except our national government.

by miles | 4th May 17, 8:11pm 1493885495

Hi Double-GZ, your previous comments over the last few months may have indicated that you were pro prices increasing in the DG Zone for various reasons. Your more recent comments would indicate that you have changed your view. I'm interested to understand the changes on your view?

by THE MAN 2 | 4th May 17, 9:53pm 1493891600

Someone has clearly hacked Double-GZ computer or he has fallen on his head from a great height.
Bring back the original Double-GZ as he speaks more sense than the one in the last couple of days!

by Nimbo | 4th May 17, 10:28pm 1493893703

Either trying to influence a market (sold up) or a political plant. Needs to be booted

by Zachary Smith | 5th May 17, 3:46am 1493912799

I don't think DGZ can be taken seriously at all however his recent comments illustrate to me how important it is to keep to character and stay on message if you want to retain some respect.
There is nothing stopping DGZ from selling his properties at 60% of current value.
A 60% drop in prices would be great for some rich folk. Hoover up some rentals returning +10% yield and enjoy +100% capital gains in a few years too.
My advice, don't feed the troll.
Apologies DGZ if you have been hacked or are suffering from a medical condition and if it is satire it needs work.

by NorthernLights | 5th May 17, 10:22pm 1493979767

There you go Zach !
I knew you had a few more words in you

by CJ099 | 5th May 17, 6:28am 1493922514

Perhaps DGZ has just woken up and realized what's actually been happening and just how at risk Auckland is with our property market. I do think a -60% is a bit harsh and certainly hope it won't come to that otherwise there's going to be a lot of negative equity around.

A -20% is more realistic, though it's looking as though we're not going to see the Chinese capital tap turned on any time soon according to these recent articles:-

Forbes article: China's Crackdown On Capital Flight Is Claiming Some Of Its First (And Biggest) Victims
https://www.forbes.com/sites/ywang/2017/03/16/chinas-crackdown-on-capit…

Reuters article: China's capital controls to hamper yuan internationalization: Fitch
http://www.reuters.com/article/us-china-economy-yuan-fitch-idUSKBN17Y0F7

Quote from article:-
The Chinese authorities are unlikely to pursue significant capital account liberalization if it poses risks to domestic financial stability, Fitch said.

"We therefore expect capital controls to be lifted in an asymmetric way over the next couple of years, with restrictions on inflows relaxed steadily and those on outflows mostly kept in place," it said.

by Brock Landers | 4th May 17, 8:57pm 1493888225

We should be thanking Labour for being the only party with the courage to call out what has been going on in our property market.

Turns out the "Chinese sounding surnames" thing was right on the mark.

by abnz1 | 4th May 17, 10:55pm 1493895318

Yeah but even their voice was supppresed of fear of being termed as racist.
Article on Chinese buyer role in housing market itself proves that it was one of the MAJOR reason and the only reason for the pace by which it went up rapidly.

by CJ099 | 5th May 17, 6:11am 1493921473

Yes and it has taken a lot of courage for people to speak out, in the gateway cities that have been most affected watching their property markets vastly over inflate causing serious damage to their economies. The cities most affected are: Auckland, London, Vancouver, Toronto, Sydney, Melbourne.

We're the only one out of that group that hasn't done anything to tried to protect our economy and now were starting to see the results of what happens when that capital tap is turned off.

Thankfully there are some vocal people out there who have to the guts to say something and shame their Governments in to action.

Ex-Wall Street trader predicts Vancouver housing market implosion: http://www.cbc.ca/player/play/899968067635

by Brock Landers | 5th May 17, 6:37am 1493923022

It's disgraceful isn't it. So much easier to throw around terms like "racist", "xenophobe" and "Trump" than acknowledge the real issues. Saw plenty of it even on this website.

by PocketAces | 5th May 17, 6:42am 1493923365

They were among those taking full advantage of whole horrible situation

by donbond | 5th May 17, 7:05am 1493924716

CJ099 - you are correct and this are the countries that allowed Chinese to invest / speculate.

Some realised and are trying to put restriction unlike our government as their myth of prosperity is based on it.

by Roelof | 5th May 17, 9:56am 1493934987

I have learnt to be wary of anything a hedgefund trader has to say... especially a short seller... even if he calls himself .."ex'.
Maybe u know this guy... ???

My guess is he has a heavy short position and is trying to talk the mkt down... Thats what they do.
Often they "preach the gospel"... just as they are about to liquidate their positions..

by Basel Brush III | 5th May 17, 1:17pm 1493947023

BUT some of you believed in an "ex" currency trader and look where that has sent us in a similar direction.

Maybe some like head banging but not me for one.

by NorthernLights | 5th May 17, 10:45pm 1493981120

CJ
Also add USA cities have seen enormous amounts of Chinese $$$ poured into housing
Chinese nationals now eclipse Canadian nationals as the biggest foreign buyers of US properties
Canadians own 500,000 homes in Florida alone

by CJ099 | 6th May 17, 4:58pm 1494046701

@ NothernLights; Yes I would agree with you, though the US is a much richer economy having wealth investment pour in from all over the world, allowing it to build strong infrastructures. It becomes very damaging for economies when property investment is poured in far too rapidly, then it just turns in to asset stripping from the local population.

We just need to see how long this will take for our property market to bottom out. Logic dictates that the properties that have inflated very rapidly over the last 5 to 7 years will be hit the most and that's likely to be Auckland's supposedly wealthy areas. Question is who is going to be able to afford those multi million dollar homes now?

by NorthernLights | 8th May 17, 11:59am 1494201591

CJ
Yes the US can absorb the Chinese speculation/property banking easier BUT remember that the Japanese
previously bought many NYC landmark properties and then with the collapse of Japanese e con were forced out of many
The point being Americans were concerned by the giant property purchases of the a Japanese
It is not going unnoticed that Chinese nationals are spending up large on US property today either
It just remains to be seen how tolerant the US will remain
We certainly know the NZ govt approves of profligate foreign buyers

by PocketAces | 5th May 17, 6:32am 1493922721

Of course it was, and it was just about the only means left to try to demonstrate what was happening, remember Chinese names are still very pure and in truth there is not a lot of them. Chinese nationals have not really married outside their own culture until very recently so the purity of the old names remain. If you see the name Lee it could be Korean or English, if you see the name Li there is a strong chance it is Chinese.

by 2 Tooth Bora | 5th May 17, 9:43am 1493934210

Objectionable comment deleted. - Editor.

by gordon | 5th May 17, 8:47am 1493930834

Zach/DGZ are one and the same person. Currently batting both sides of the wicket to wind us up and have some fun. Hoping we think they are different commentators as up until now they were indistinguishable.

by Double-GZ | 5th May 17, 2:45pm 1493952330

LOL ROTFL OMG I can't stop laughing.

by gordon | 5th May 17, 2:54pm 1493952874

Either can we Zach

by NorthernLights | 9th May 17, 1:19am 1494249542

Zach & DubleD are Funny
I enjoy their rants !
I enjoy the attacks back against them
This makes for a fun intelligent blog
Many blogs are terribly dreary but not here
This is a success story

by Wiseguy | 5th May 17, 5:00pm 1493960417

Lots of articles regarding Auckland prices falling, but yet no noticeable reduction??
Maybe its the beginning?

by Gummy Bear Hero | 5th May 17, 5:31pm 1493962269

... yesterday's worldwide media was abuzz with the speculation that the Queen's old man Prince Phyllis had died ...

Until he announced that he just looks that way ... and he'd like a little sit down please ... 'cos being 95 going 96 is a tadge tiring on the old ticker ...

... never trust the wiseguys in the mainstream media for the facts .... never ever Trevor !

by Basel Brush III | 5th May 17, 6:57pm 1493967420

Thanks for the advice, Donald.
;-)

by Brock Landers | 9th May 17, 8:35am 1494275708

I've seen some significant reductions on new builds in a couple of places in Auckland over the last few months.

[ Casual racism removed. Generic smears based on race are un-NZ. No more. Ed. ]

by NorthernLights | 5th May 17, 10:27pm 1493980055

50K decline in median Auckland price
I guess if you are B&T you would advise buyers to buy now before prices decline further