Interest rates are dropping – Good news for borrowers! The Reserve Bank of New Zealand has started easing the Official Cash Rate (OCR), which means mortgage interest rates are following suit. Lower rates make home loans more affordable, and that means smaller monthly repayments. For both first-home buyers and investors, this shift creates a rare opportunity to secure property with better financial flexibility.
The market has calmed down – Remember the chaos of the last couple of years? Skyrocketing prices, intense competition, and properties selling before they even hit the listings? That frenzy has settled. The market in 2025 is far more balanced, making it easier to find a property without feeling rushed or overpaying. Buyers now have more room to negotiate, and sellers are open to fair offers, which is a win-win all around.
House prices set to rise – Here’s the kicker, experts are predicting a rebound in house prices. Westpac, for example, expects an 8% rise through the year, while ANZ is forecasting a 6% bump. Why? It’s a combination of lower interest rates and renewed consumer confidence. For buyers, taking prompt action and acting sooner rather than later could help you lock in a property before prices climb higher.
The economy is on the up – As the broader economy gradually stabilises, we’re seeing positive signs across the board. Employment rates are projected to strengthen, and household incomes are expected to follow. This creates a healthier property market where people feel more confident about making long-term investments.
