(RTTNews) - House prices in New Zealand declined 6.8 percent in the full year to October, according to the Quotable Value (QV) government agency in a report on Monday.

The report, which showed the fourth straight month of declines, indicated the slowdown reflected a cautious market combined with the tight spending of a recession.

Many buyers and sellers are waiting to see any impact from the financial crisis, dropping interest rates and the election before committing to property transactions, said QV spokesman Blue Hancock in a statement accompanying the report.
The October decline follows drops of 5.8 percent in September and 4.5 percent in August.

QV said the average sale price for houses in New Zealand remained flat at NZ$379,290.

With New Zealand’s economy in a technical recession, the Reserve Bank of NZ has cut its benchmark interest rate by a total of 175 basis points to 6.50 percent since July.

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