Share this article!

Here’s a word to add to your investing vocabulary: Dungers. The term for dilapidated, crumbling houses comes from New Zealand, which is in the grip of a striking property boom. The country topped Bloomberg Economics’ risk radar in June for being the most unaffordable housing market in the world. Judging by the dunger that sold for NZ$1.8 million ($1.3 million) in January, quality is no obstacle — and neither is price.  

It’s something that policymakers everywhere should watch closely. Not because New Zealand is a systemic risk, but because property markets are running hot around the world in similar ways. What began as a stimulus-fueled search for a better quality of life has morphed into a frenzy driven by a Fear of Missing Out (FOMO) that can boomerang on buyers when excitement cools, all while making housing less affordable.

Booking.com

 

Reset password

Enter your email address and we will send you a link to change your password.

Get started with your account

to save your favorite homes and more

Sign up with email

Get started with your account

to save your favorite homes and more

By clicking the «SIGN UP» button you agree to the Terms of Use and Privacy Policy

Create an agent account

Manage your listings, profile and more

By clicking the «SIGN UP» button you agree to the Terms of Use and Privacy Policy

Create an agent account

Manage your listings, profile and more

Sign up with email