Now that a ban on foreign buyers has been put in motion, those in the market to buy and sell property are waiting to see the effects.
Photo: RNZ / Cole Eastham-Farrelly
The government announced yesterday it would tighten the reins - stopping overseas buyers (excluding anyone from Australia) from purchasing existing homes.
However, foreign buyers are still welcome to build new property.
At Wednesday's auction at Barfoot and Thompson in downtown Auckland, there was mixed reaction to the news.
After a year of house hunting, Karen Coubray and Maurice Western have just bought their first home together.
She said they have heard anecdotally that the new changes have had an impact.
"The feedback we're getting from agents is that there has probably been a bit more interest, quite suddenly, in purchasing ... people are becoming aware of what the changes will be, and they're doing a mass buy at the moment."
Another buyer, Mark Jack, said he was waiting for a few months before he invests in a property.
"We've been looking for about a year-and-a-half to two years, but we've always felt the market is going to come down - and it has, significantly - but I think it's probably got a way to go now that Labour is putting in a new policy."
Barfoot and Thompson's auction manager Campbell Dunoon said there was no evidence to suggest the announcement has had an impact on sales.
And Mr Dunoon said it was too early to tell what effect the new legislation will have.
"All I know ... it's had hardly any effect at all in Australia, nationwide, so at this stage I'm not optimistic it will have a huge effect [here]."
