The second COVID-19 lockdown had impacted various markets once again, hitting consumer confidence.
The ANZ-Roy Morgan Consumer Confidence Index analysed data in the percentage of respondents who give favourable or unfavourable answers to five key questions revolving around the property market. The survey was conducted throughout the month, resulting in data showing a 50-50 split before and after the news about the second COVID-19 lockdown.
According to the consumer confidence index, consumer confidence fell four points to 100.2 in August – well under its historical average of around 120. It sits around 2009 levels when consumers and retailers were having an unfavourable year.
Read more: COVID-19 continue to hit property values
The survey also found that a net 3% of the respondents thought that now is a bad time to buy a major household item, which is down three points and consistent with the report's view that the vigorous post-lockdown bounce in retail spending has most likely done its dash.
House Flipping NZ, a property investment and education business, advised Kiwis to avoid buying things that would not be used during the pandemic.
“Since we can't travel, don't be tempted to buy that luxury item, watch, car, or motorbike that you may not actually use. Do, however, increase your knowledge and investigate where you can put your money as a hedge to inflation,” said Tom Faye, the founder of House Flipping NZ.