New Zealand house prices and volumes rise in March

[WELLINGTON] New Zealand house prices rose to a record level in March, while sales volumes also rose strongly, the Real Estate Institute of New Zealand (REINZ) said on Tuesday.

The REINZ said the increase in prices was driven largely by the strength of the housing market in the country's biggest city, Auckland, where prices hit a record.

The Reserve Bank of New Zealand has voiced its concerns about renewed strength in the housing market, particularly in Auckland.

The central bank is currently looking at changing the rules covering lending to residential property investors, which might result in higher interest rates for such borrowers.

REUTERS