John Key and co - could not give a rats arse because the super city's tax and conveyance charges have left a good windfall in their coffers, and they have the arrogance to think that it's their economic policies that have lead to people for paying millions to live in an un-insulated crap shack in Auckland.
When governments dither - the market decides. So some people are cashing in their chips now. Good. I suspect this is the top of the boom. Because in 2 years tops- the market will be in free fall because of the more stringent lending criteria, China's softening export market for milk, and Australia's AA rated banks which are exposed to about 20% of NZ's agri business are going to go tits up. Which will mean that house owners will be struggling to give their homes away.
Things I'm going to see.
A stuff article on a realty agent that will be shot or killed over a property deal gone sour. 15-17 for sale signs by 5 different realty companies trying to sell this property, that was once flipped for 500K for 280K - but not being able to get a buyer. I'm going to see a rise in property sprukers and investor portfolio seminars of oily people trying to on sell faded housing portfolios.
(Trying to off load housing stock that is going down in values - Radio live and oldie stations will have these as radio adds)
I'm going to see mortgage stress for most of South Auckland, West Auckland and the more affluent suburbs as their 500K mortgage sweetener deals rates that were locked in for 4 years expire and home mortgages tick up in interest rate repayments that can't possibly be serviced by mid 2017. The banks are not going to be able to keep lending that much cheap credit for that long anymore.
I'm going to see plenty of "Farmers doing it tough" articles in Stuff as dairy farmers can't service the huge debt levels that an average dairy farm is carrying....
If you think I'm wrong - have a look at the Vancouver, and Melbourne, and luxury apartment housing in New York. China lost 21 trillion dollars in capital outflows last year - those markets haven't moved. Auckland is not immune to that.
But hey - in the immortal words of Tyler Durden - It's only after you have lost everything that you are truly free to be anything...