Population Growth helps Housing Market

By | September 23, 2009

21 September 2009

New Zealand is experiencing an influx in migration numbers according to figures published today by Statistics New Zealand.  New Zealand has had its highest annual net migration gain in nearly five years during the 12 months to August 2009

Many view this gain in population as helping the recovery of New Zealand’s housing market.  New Zealand’s growing population means an increasing demand for housing and this has resulted in a boost for its property market over recent months.

Global financial turmoil was thought to have lifted the number of New Zealanders returning after living overseas, as well as reducing the numbers seeking to live elsewhere.

New Zealand’s net migration gain was 15,600 in the year to August, up from 4,900 in the August 2008 year.  This is the highest annual net gain since the November 2004 year, Statistics New Zealand said.

The 87,500 people arriving on a permanent and long term (PLT) basis was up 800 or 1 percent on a year earlier.  At the same time, the 71,900 PLT departures were down 9900 or 12 percent on a year earlier.

For just the month of August, PLT arrivals exceed departures by 1600,compared to 500 a year earlier.

The trend seen in recent years of many New Zealanders leaving to live in Australia has decreased markedly and can be noted in the 1800 fewer departures to Australia in August 2009 compared to August 2008.  Departures to Britain in August were 200 less than the same month last year with an overall decrease in PLT departures of 29 percent.

PLT arrivals in the month of August were down from August 2008, said Statistics New Zealand.  There were 1000 fewer arrivals of non-New Zealand citizens but this was partly offset by 200 more arrivals of New Zealand citizens.  PLT arrivals of non-New Zealand citizens had been declining since April.

Seasonally adjusted, PLT arrivals exceeded departures by 1600 in August, down from 2400 in July, but similar to the level in June.

Ref: 3news.co.nz