A Study of the Factors Influencing Residential House Prices in Auckland and New Zealand

Will Chancellor, Swinburne University of Technology
Malcolm Abbott, Swinburne University of Technology   
Chris Carson, Unitec Institute of Technology

Abstract: The aim of this study is to analyse the causes of changes in housing affordability and housing prices in the country of New Zealand and the city of Auckland over the longer term. It does so by testing for correlations between various factors thought to be related to house price changes. In doing so, it identifies a number of factors that have helped to push the level of housing prices higher and to worsen housing affordability. These factors include migration levels (both of non-New Zealanders and New Zealanders), interest rates, wage levels and building activity. of these, migration levels have had the greatest impact, although interest rates have also been important.