Source: MIL-OSI Submissions
Source: CoreLogic
Once you adjust population growth for the average size of a household, the change in the dwelling stock in both Selwyn and Christchurch over the past five years has been pretty much in line with what has been required.
This balance of supply and demand helps to explain the only modest rises in property values in these areas since 2015.
By contrast, Queenstown’s supply has lagged behind demand, and so it’s no surprise that it’s seen bigger value rises since 2015.
At the same time, the COVID-induced falls in prices in Queenstown this year are now easing, probably also reflecting excess demand over supply.
Two weeks ago on the NZ Property Market Podcast* (27th Oct.), we highlighted the latest subnational population estimates from Stats NZ, discussing how areas such as Queenstown, Selwyn, Tauranga, and Central Otago had seen the strongest growth in the year to June 2020.
But how does population growth (and need for housing) compare to our figures on the actual change in the dwelling stock around different parts of the country?
