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Satish Ranchhod, Senior Economist at Westpac, suggests that NZ’s recent dwelling consent figures point to a significant increase in medium density home building over the coming year, centred on Auckland.

Key Quotes

“As a result, we’ve revised up our forecast for residential construction.”

“Auckland is now entering a new phase of its construction cycle. The acceleration in home building is occurring at the same time as net migration is cooling.”

“Looking ahead, we expect that Auckland will soon be building enough homes to start gradually eating into its housing  shortage.”

“Auckland is still looking at a protracted home building cycle, with around a decade of strong construction needed.”