New Zealand's home affordability has improved for a third consecutive quarter, according to a report by the Massey University Real Estate Analysis Unit.
In the three months to August 31 eight out of 10 regions monitored by the unit showed improved home affordability. Affordability is determined by a formula that crunches wages, house prices and mortgage rates to work out how affordable houses are.
Nationally affordability improved by 4.1 per cent over the year to the end of August.
The nine regions showing improvements were Northland 10.5 per cent, Canterbury/Westland 4.8 per cent, Auckland 4.3 per cent, Taranaki 0.9 percent, Waikato 0.7 per cent, and Otago and Hawke's Bay on 0.6 per cent. Central Otago Lakes improved 0.4 per cent and Nelson/Marlborough 0.2 per cent.
The only regions showing an annual decline were Manawatu/Wanganui down 10.5 per cent and Southland down 7.4 per cent.
On a quarterly basis Northland recorded a 19 per cent lift in affordability, Southland 10.8 per cent, Taranaki 8.1 per cent, Auckland 4.8 per cent, Manawatu/Wanganui 2.6 per cent, Hawke's Bay 2.3 per cent, Canterbury/Westland 2.2 per cent and Nelson/Marlborough 0.6 per cent.
