See full article from Reuters below:
By Renju Jose
SYDNEY, July 13 (Reuters) – New Zealand house prices edged higher for the third consecutive month in June spurred by supply shortages and after the central bank eased mortgage loan-to-value (LVR) restrictions, the Real Estate Institute of New Zealand (REINZ) said on Thursday.
Seasonally adjusted median house values rose 0.3% in June compared with May, but were down 8.3% from year ago, REINZ data showed.
“Salespeople across the country are reporting increased first home buyer activity at open homes, with the easing of LVR restrictions that came into effect on 1 June bringing more people out looking,” REINZ CEO Jen Baird said in a statement.
The Reserve Bank of New Zealand in May decided to ease LVR rules, which set limits on how much a bank can lend to a homebuyer against the value of the house, saying risks to financial stability had diminished.
Seasonally adjusted national home sales volume rose about 7% from May in a tight market as new listings fell more than 15%.
