Looking out at night across the Manukau Harbour, I was thinking, man there are a lot of lights out there. Actually probably more than 20,000 additional lights in the past 20 years.
How closely linked is migration and house prices. We all know we seem to be very quick to open doors and very slow to build homes. And then there is also the fact that we seem to need migration to provide the labour force to build. Kindly Kieran Trass provided us with some interesting data around past cycles. It seems the last year has been fairly interesting in that we have a record number of migrants coming in and crashing house prices.
Usually high net migration into Auckland is followed closely by house price increases. Interest rates are considerably higher and forms a much bigger expense now than pre covid. Looking at past trends, once net migration builds some steam, it seems to stick around at strong positive levels for some time.
