New Zealand house prices continue to fall as interest rates hurt

A man smokes a cigarette on the balcony of a recently constructed residential apartment building in central Wellington, New Zealand

WELLINGTON (Reuters) – New Zealand house prices fell in December on the prior month as interest rates rose and more difficulty accessing bank finance contributed to continued hesitancy in the market, the Real Estate Institute of New Zealand (REINZ) said on Tuesday.

Seasonally adjusted median house values fell 0.6% in December compared with the previous month, and were down 12.1% on December 2021, according to REINZ.

Prices continue to ease, but the pace of the decline is slower and the market has settled at its new pace, said Jen Baird, chief executive at REINZ.

(Reporting by Lucy Craymer; Editing by Leslie Adler)