Market Snapshot - September 2015 Arkles Bay Construction and low interest rates support growth
Cash Rate Movement
As the Reserve Bank announced a third consecutive rate cut in September to 2.75 per cent, it noted that the decision to lower the official cash rate was due to the softening in the economy and the need to keep future average CPI inflation near the 2 per cent target. It went on to say in its September statement that further easing in the cash rate was likely, but dependent on the emerging flow of economic data. The central bank recognised that house prices in Auckland continue to increase at a rapid pace, however, residential construction in Auckland is also on the rise in a bid to assist in correcting the imbalance in the housing market. Factors that continue to support growth, as stated by the Reserve Bank, include the lower interest rates and the large level of construction activity that's happening (or scheduled) in Auckland as well as other regions. Although, it will likely be some time before we see the impact of the Auckland construction activity on house price growth. (Extract from "The Impulse" - Loan Market)
sales last month
Arkles Bay
Ray�White�Millwater Platinum�Realty�Limited�Licensed�REAA�2008 Unit�3,�16�Wainui�Road Silverdale �NZ �0932 p:�+64�(9)�424�9172 e:�
[email protected] rwmillwater.co.nz
