RBNZ, Building Homes Key to Affordability
Policy-makers need to become more responsive to the housing market and need to focus on housing supply as they try to make homes more affordable, according to the Reserve Bank of New Zealand (RBNZ) in its submission on Housing Affordability to the Productivity Commission.
It is the kiwi dream to own your own modest home with a backyard for the kids to play in – a home you can call your own.
With the current economic climate and demand for real estate high, many potential home owners are struggling to get their foot in the property market.
The RBNZ has released a submission on housing affordability in New Zealand, the submission covers many factors believed to affect housing affordability including demand for housing and the speed that new housing can be built to cater for the demand.
The RBNZ also outlined that overall “housing supply has not been very responsive when there have been big swings in housing demand”.
With high demand for properties come rising property prices making it difficult for struggling families to own their own home.
New Zealand house prices hit their zenith in late 2007, and house prices rose 180 per cent in real terms relative to 1990 levels through to 2007.
Buying your own home is possible in the current economic climate if you have the right savings plan for a strong deposit. You also need to make sure you are getting a competitive home loan deal that suits your lifestyle.
If you want to get into the property market, a mortgage broker is well placed to help you compare home loans to ensure you are getting a better deal. Loan Market brokers also have expert knowledge on your local property market and can help you through every stage of your home buying process.
If you would like to read more on the RBNZs Submission to the Productivity Commission Inquiry on Housing Affordability click here.
Tags: buying property, Home Finance, home loans, Mortgage broker, Productivity Commission Inquiry, Reserve Bank of New Zealand (RBNZ)