ANZ Says NZ Housing Bubble Mostly Deflated, Small Dip Possible

ANZ economists have declared that the bulk of New Zealand’s housing bubble has been deflated. Their analysis suggests the market has shed the majority of its over‑inflated pressure, leaving the risk of a full‑scale crash largely behind.

The bank does caution that house prices may still experience a modest further dip, but the main puff of the bubble appears to have been pinched.

In the wake of the announcement, market watchers note that the Reserve Bank’s cash rate remains steady, indicating that monetary policy is not being used to reignite price growth.

For now, the housing market looks calmer, with only occasional ripples expected as the remaining price adjustments play out.