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Speaker 1: Speaking of a sleep. That's what the property market's been lately.

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Speaker 1: But jeep, we're celebrating this morning because, wait for it,

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Speaker 1: September property prices, according to Cotality, showed some increase zero

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Speaker 1: point one percent. This brings an end to five straight

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Speaker 1: months of waning property values. Joining me this morning, Nick Tuff,

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Speaker 1: the ASB chief econdoms Nick, good morning, good morning, Good

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Speaker 1: to have you on.

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Speaker 2: Is this?

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Speaker 1: I mean, look, it's monthly data. It's zero point one percent.

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Speaker 1: Will the real estate agents be cracking out the champagne?

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Speaker 1: Do we think?

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Speaker 2: Oh? Well, I think at the moment we've been looking

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Speaker 2: for really excuse we could. When it comes to the

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Speaker 2: housing market, it is one tenth percent. But when you

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Speaker 2: look at various housing measures, we did have a bit

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Speaker 2: of a burst of activity where prices were lifting slightly

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Speaker 2: late last year early this year, and things didn't look

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Speaker 2: like they peetered out. So if we do start to

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Speaker 2: see the property market picking up, it's one of those

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Speaker 2: economic signs that people are starting to get out of

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Speaker 2: the infrastrate hibernation that they've been in for a while.

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Speaker 1: The regions doing well, a bay of plenty. What do

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Speaker 1: you put that down to?

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Speaker 2: Well, when read our ASP Regional School Board. We actually

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Speaker 2: had the Bay of Plenty at the top. And one

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Speaker 2: thing that when you're looking around the country at the moment,

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Speaker 2: you tend to see areas that have had good, good

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Speaker 2: export incomes or tourism have done well. And that's the

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Speaker 2: pending example was two bumper seasons of Kerry Freed exports.

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Speaker 1: For example, are people buying you mentioned tourism, are people

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Speaker 1: buying homes there to rent for tourism like Airbnb?

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Speaker 2: Well, with Torong, it's probably more around the income that's

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Speaker 2: come through. We've seen jobs lifting up, retail spending lifting

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Speaker 2: up there. For example, the bottom of the South Island

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Speaker 2: had a really great run. And one thing I've put

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Speaker 2: that down to is around the central Lakes and the

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Speaker 2: spillover effects around the region would be that tourism. It's

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Speaker 2: not just the people coming and wanted to buy properties,

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Speaker 2: but also the need for workers as well. So that's

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Speaker 2: something in recent years where the lakes, even though it's

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Speaker 2: come off the boil this time, now it's hit that

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Speaker 2: population pressure and that needs for housing.

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Speaker 1: Nick, what's the lag everyone in the big cities this

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Speaker 1: morning I'll be thinking, well, that's great for Toling and

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Speaker 1: great for Southend. But what's the lag between because normally

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Speaker 1: it's the other way around. Auckland would lead a property

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Speaker 1: price resurgence and then the regions would follow. This time,

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Speaker 1: it seems like it's in verse. When will the city

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Speaker 1: start to see something.

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Speaker 2: We will start to see something, I think over time.

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Speaker 2: One challenge with Auckland and particularly Wellington, as they've gone through,

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Speaker 2: they went through big booms, they went through big, big busts.

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Speaker 2: One challenge that we do have a number of markets.

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Speaker 2: There's actually a lot of stock sitting on the market,

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Speaker 2: so we actually need more activity. We need the sales

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Speaker 2: activity to pick up start eating into that stock on

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Speaker 2: the market doesn't really get some sort of more noticeable

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Speaker 2: lists and prices, so supply versus demand, there's a lot

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Speaker 2: of supply. People are still being a little bit cautious

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Speaker 2: and we've seen that in house sales recently that they've

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Speaker 2: actually edged back down, so people haven't sort of quite

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Speaker 2: got out and embraced a sort of buying crem at

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Speaker 2: the moment.

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Speaker 1: Be fair to say, Nick, appreciate your time this morning.

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Speaker 1: Nick Touughy, ASP Chief Economist. For more from early edition

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Speaker 1: with Ryan Bridge, Listen live to News Talks. It'd be

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Speaker 1: from five am weekdays, or follow the podcast on iHeartRadio