New housing data shows the market hasn't quite matched the mood of the economy as of yet.

The Real Estate Institute of New Zealand says housing sales are down 5.4 percent from January last year.

Prices were also softer, with REINZ's House Price Index dropping 0.6 percent compared to December. 

Property Investors Federation expert Matt Ball says it looks like the housing market will stay flat for the next little while, but it's about the bigger picture.

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