Following our look at Canterbury's borrower confidence and development activity last month, we wanted to bring the same lens to Auckland. This month, we caught up with Jenny Liu, Financial Advisor (Mortgages) at EverBright Finance Group, who specialises in residential and small-scale development lending across Auckland.
Can you tell us a little about your role and the types of clients you're working with at the moment?
I work as a property finance and mortgage broker focusing on residential and small-scale development lending across Auckland. My current client base includes owner-occupiers, first-home buyers, property investors, renovators, and small-to-medium local developers. I specialise in structuring complex, non-standard deals that require flexible lending solutions, especially for clients who face tight bank policy constraints, tight serviceability assessments, or shorter-term development funding requirements.
What are you seeing in terms of borrower activity in Auckland at the moment?
Borrower activity has steadily increased over the past six months. We are seeing more active purchasers re-entering the market, alongside existing homeowners refinancing to manage higher mortgage repayments, restructure debt, or free up equity for renovations and further investments. First-home buyer activity is rising due to improved market certainty, while investors are selectively purchasing in high-yield, low-vacancy suburbs. Overall, the market is transitioning from cautious waiting mode back to strategic buying and refinancing activity.
What particular areas are you seeing the most development activity?
Most development activity is concentrated in north and northwest Auckland, including Takapuna, Albany, Silverdale, and Hobsonville. These areas continue to attract strong residential subdivision, townhouse construction, and medium-density apartment development due to population growth, infrastructure expansion, and consistent rental demand. We also see steady renovation and minor development work across established central suburbs, where developers are focused on adding value through refurbishments and unit subdivision projects.
Are any areas softer than expected?
Yes, some inner-city, high-density apartment precincts remain softer than anticipated. Areas with a large supply of post-pandemic new builds continue to face slower capital growth, higher stock levels, and weaker resale activity. These segments are still recovering from previous price corrections and are showing slower momentum than standalone housing and townhouse areas.
What's happening in the construction and development market right now?
The construction sector has stabilised following previous peaks in cost inflation. Build costs have eased slightly, labour availability has improved, and developers are returning to mid-scale residential projects. Current development trends are focused heavily on small townhouse clusters, subdivision projects, and renovations, rather than large high-rise apartment developments. Developers are more risk-conscious, preferring faster-turnaround, lower-risk projects with clear end-user demand.
How would you describe buyer and borrower confidence in Auckland right now compared to 12 months ago?
Confidence has noticeably improved compared with 12 months ago. Buyers and borrowers are no longer delaying decisions indefinitely. There is greater clarity around the direction of interest rates, market pricing, and lending rules. While confidence remains measured rather than speculative, buyers are acting decisively on good-value opportunities, and investors are selectively rebuilding their portfolios. Overall, market sentiment is far more stable and forward-looking.
In what situations are borrowers looking beyond the banks, and where do non-bank lenders like Southern Cross Partners tend to fit into those deals?
Clients move beyond mainstream banks primarily for policy flexibility, faster approvals, and non-standard servicing scenarios. Common bank barriers include strict servicing test rates, tight LVR restrictions, incomplete financial documentation, recent credit changes, construction finance gaps, and short-term bridging requirements.
This is exactly where non-bank lenders like Southern Cross Partners deliver the most value. SCP bridges that critical gap for time-sensitive development deals, bridging finance, renovation funding, and clients who are bank-eligible but need flexible, pragmatic lending structures that mainstream banks cannot accommodate quickly.
For SCP investors reading this, what should they understand about what's happening on the ground in Auckland?
On the ground, the Auckland market is in a stable recovery phase with genuine, sustainable transaction activity. Demand is real, development pipelines are rebuilding, and borrowers require increasing levels of flexible short-term and construction finance. Bank credit tightening continues to create consistent demand for responsible non-bank lending. For investors, this means strong deal flow, well-secured property-backed lending opportunities, and a resilient underlying Auckland residential market with solid end-user demand.
What's your outlook for the Auckland market over the next 6–12 months?
Over the next 6–12 months, I expect the Auckland market to continue its gradual, steady recovery. Property sales volumes will continue to rise, confidence will strengthen further, and targeted development activity will increase across suburban residential areas. Price growth will remain moderate rather than explosive. Lending demand for bridging, construction, and refinancing products will remain consistent, creating sustained, high-quality deal flow for non-bank lenders. Overall, the market is heading into a more balanced, stable, and active phase.
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