We've been hearing the 'under-supply' argument for over a decade in NZ. StatsNZ shows that in the last 30 years the number of private residences relative to hou

We've been hearing the 'under-supply' argument for over a decade in NZ. StatsNZ shows that in the last 30 years the number of private residences relative to households has increased considerably (roughly 3.5% difference to about 6.5% from memory). Our housing market is in deep trouble right now. Big falls in the major cities over the past few months (-20% in Auckland city). Listings where I am are up from 1000 this time last year to 3000. Prices are falling. Rentals up significantly too with prices falling. A speculative boom creates excess demand. Just like Ireland did, we are seeing that the problem was not on the supply side, but the demand side. Speculative vacancies are now being revealed.