Quote:
The median price as measured by REINZ in February was just 2.2 per cent lower than for the same month a year earlier. However, economists have placed greater weight on the figures by QV - which measures sales after full completion as opposed to REINZ's measurement of a sale as it is reported by an agent.
"Median house prices are not the best measure of house prices over time, as it is not adjusted for changes in the composition of sales," ASB's Turner said.
"However, QV housing data is adjusted and shows that house prices are down 8.9 per cent for the three months to February compared to year-ago levels."
The latest housing figures are not expected to make much difference to Reserve Bank Governor Alan Bollard's decision on interest rates, with his next announcement out tomorrow.
Official rates are currently 3.5 per cent, down from 8.25 per cent last July. Economists are split on their views of what Bollard will decide. Most expect a reduction of somewhere between half and one percentage point.
I did read on another article however, that the best opportunities are likely to come up mid this year...will be interesting to see how the prices react to the balancing act of unemployment/low interest rates...