The pressure is coming on home owners.
A new forecast from the country's largest bank, ANZ, suggests house prices will fall to 18-percent of the peaks reached last year.
When recent wage inflation is taken into account, the fall will be about 27-percent.
ANZ Chief Economist Sharon Zollner told Mike Hosking that at the same time, interest rates are likely to keep rising -- with the Official Cash Rate likely to be raised to five-percent by February.
She says the OCR has been hiked spectacularly quickly, and the hikes may continue through next year.
Zollner says the OCR is likely to fall once there's a global sideswipe.
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