There is only one way to go now with New Plymouth property – but it’s going to be a slow old road for a while.

There is only one way to go now with New Plymouth property – but it’s going to be a slow old road for a while. Indicators we use to gauge market activity are flat lining in the main, but one or two are on the creep up. New Plymouth sales volumes have been higher in the last 3 months than over the last full year. Total sold value has also been higher over the last quarter. NP Median price April @ $290,250 is almost exactly the average of median prices this last year. All this suggests a flat line market, but with an inclination to more activity and volume. All positive indicators.

The OCR dropped 50 points two weeks ago, but the banks have resolutely refused to lower floating rates. They say the cost of their funds is not geared to OCR rates – but they only pay 4% on deposit. It’s all a bit one sided, but it would seem to indicate the bottom of the interest rate trend. Seems by what the reserve bank is saying that these current levels will be around until late 2010.

The future looks steady with slow growth in New Plymouth. Investors and first home owners should be actively looking. Get into the property you want now. Between the cost of the property, and the cost of the money, it will never be cheaper.