Real estate agents say it's a sellers' market: BNZ survey

Seven of the eight measures BNZ's monthly survey tracks were stronger while the eighth, a net 13% of agents who say they are receiving fewer requests for appraisals, points to the shortage of houses available for sale. This backs up the www.realestate.co.nz data which measure more than 95% of New Zealand house listings.

“With interest rates set to stay low for this year and perhaps all of next while economic growth continues at a reasonable if unexciting pace, New Zealand's residential property market is likely to remain in its sellers' market phase at least well into 2014,” says BNZ chief economist Tony Alexander.

The risk is economic growth will be lower than the central bank expects and so there's a chance it won't raise its official cash rate (OCR) in 2013 or not until late that year, he says.

“Beyond that depends very much upon what at this stage are unpredictable interest rate rises further out and by how much dwelling supply can grow in an environment where builder shortages seem certain to appear,” Alexander says.