Tidy Tokoroa house sells for $91,000; Bayleys sells two thirds at Hamilton and Matamata auctions

This house in Tokoroa sold for $91,000.

Bayleys sold just on half the homes auctioned in Auckland, Hamilton and Matamata last week.

The Hamilton auction was the stand out success, with 13 properties on offer and sales achieved on eight of them, giving a sales rate of 62%.

Highlights included the mortgagee sale of a two bedroom house (pictured) on an 828 square metre section in Tokoroa that went for $91,000, and a five bedroom house on a 2.2 hectare block at Koromatua that went for $915,000.

A similar success rate was achieved at the Matamata auction where two of the three properties auctioned were sold, including a two bedroom unit that sold for $300,000.

At the Auckland auctions 17 of the 39 properties were sold, giving a sales rate of 44%.

At the top end of the market a five bedroom house at Bucklands Beach fetched $3.95 million, and a three bedroom house in Freemans Bay went for $3.65 million. At the more affordable end, a refurbished two bedroom terraced house in Eden Terrace sold for $580,000, and a one bedroom character apartment in Parliament St near the High Court sold for $770,000.

The full results with the prices of the properties that sold and details including photos of all properties including those that didn't sell, are available on our Auction Results page.

You can receive all of our property articles automatically by subscribing to our free email Property Newsletter. This will deliver all of our property-related articles, including auction results and interest rate updates, directly to your in-box 3-5 times a week. We don't share your details with third parties and you can unsubscribe at any time. To subscribe just click on this link, scroll down to "Property email newsletter"and enter your email address.

We welcome your help to improve our coverage of this issue. Any examples or experiences to relate? Any links to other news, data or research to shed more light on this? Any insight or views on what might happen next or what should happen next? Any errors to correct?

We welcome your comments below. If you are not already registered, please register to comment or click on the "Register" link below a comment.

Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making such comments. Our current Comment policy is here.

30 Comments

So now we are in April what is the verdict on the housing market? Or is the Jury still out?

Definite change in the market, spruikers have run out of excuses to prop this up.

Looks like 2017 will be flat or slight declines for waikato bay of plenty.sales are defintly slowing up down here and more listings coming on.time to hunker down and pay off debt for a couple of years

With the sharp drop in auction sales and volumes, the property market in Auckland has significantly dropped after December with the capital flight restrictions from China.

what about Wellington? Whats happening there?

Very little info gets released on this website about Wellington's market. There are generally no auction results etc. However a recent article states that at the end of March inventory for the wider Wellington region was at 1543 (and indicating that this was low and supply was constrained) and then low and behold, I checked it just now and the listings are up at 1963, which is a massive increase in less than 3 weeks.

There have been articles to suggest that Wellington's house inflation is purely bubble behaviour because there have been no major increases in population numbers or job availability. And then photos of all the queuing people for rentals is just cheap journalism. There is always an influx of students waiting for digs in February.

http://community.scoop.co.nz/2017/04/wellington-housing-market-constrain...

http://www.newshub.co.nz/home/money/2016/08/watch-out-wellington---value...

Wellington is still going up from what I hear (I'm not a RE plant.) The increase since 2009 is probably in the 40%-60% range compared with auckland which I read is up 100%. If you do the compound over 8 years that isn't a crazy rate of increase. Wellington has higher wages than Auckland. Also there are serious land limitations and the intensification/expansion planned in Auckland isn't feasible here. Prices might definitely come back 10% or so here, especially if interest rates rise but I don't see a big pop coming like I do for Auckland. When Labour eventually gets into govt they are going to need a lot more public servants and that will stimulate the market. Might be another 3 years away though.

"For only the second time* in our 10-year history of recording statistics, realestate.co.nz can report that nationally, the number of new residential listings in March exceeded the number of new listings for the month of February". (Wellington had an inventory increase of 11.3)

http://realestate.co.nz/blog/news/new-zealand-property-report-march-2017

So far in 3 weeks of April the inventory has increased by a whopping 27% (trademe listings)

Bearing in mind that the average increase in listings for April is usually an increase of between 3-5% (REINZ data 1993-2009) this then looks like a huge potential turn in the Wellington market to me.

As is widely known, house prices take a while to catch up with increases in inventory, so we might not see prices decrease in Wellington till well into winter, but the writing is on the wall IMO.

Regarding Wellington, some heat has come out of the Kapiti Coast market in the form of infrequent frenzy in auction room with a crazy sale price. But, properties without problems are still selling within 2 weeks. Pattern is the same in Wellington, though anything with development potential, seems to have the Mum and Dad would be developers packing out the open homes.

Not sure about you but I think this house is a bit overcooked. It's in Riverhead and the guide price is between $1.7 to $2m. If you have $2m don't you think you'd rather buy in DGZ or somewhere closer to the CBD? I questioned the RE agent why would the price be so high, and if people are being pushed out to Riverhead they're unlikely to pay such high price. She told me it's a new build and the owner already rejected a $1.7m offer recently. Ridiculous. http://www.trademe.co.nz/Browse/Listing.aspx?id=1282771152

Surely, proximity to the Hare Krishna temple adds at least $500k? ;-)

It's overcooked.

I was joking about the Hare Krishna temple. It's obviously overpriced. They should have been delighted with the 1.7 offer.

My daily Riverhead commute to and from the CBD will increase by over two hours should I move there... I don't understand why they think they can ask for that kind of price. I rather live in a brick and tile ex-state in Parnell.

$2M haha. I agree DGZ. It's a 260sqm house on a piece of land in the middle of nowhere and they want $2M. It's not even a big piece of land but it's in the country (or may as well be). This is a sign of the bubble.

I'm sure they think the estuary (swamp) view adds value. What is the implied value for the land $1.4M?

Apparently the land value is only $500k. So the building costs must be over $1m for them to gain some profits. Plus I hate swampy views and I wouldn't even pay $600k for it! The developers are so so greedy...there is no way the property will be sold without them dropping the price.

$2M minus $500k equals $1.5M. I'm no building industry expert but $5700 per sqm seems bit steep.

500k for a tiny piece of land at the bottom of the planet !
Laughable for sure

With twin engine, wide bodied jets and cheap fuel, being at the bottom of the planet isn't so much of a problem anymore. Some say it is an advantage.

Water view - overlooking tidal estuary, mudflats and mangroves

As I said, swamp.

The water view is clear as mud.

Once owners move in, they will find they live next to a mosquito factory.

DubleD yes the waters as clear as the sky in GZ on a smog diesel day ! No pollution controls in Auckland
Particulate rate extreme high
3rd world air quality in city some days yet nothing is done !

I would rather live in Riverhead away from city. But wouldnt commute would buy a business around there or start a business. Prefer the country and chilled relaxed life, down to earth people. My back doesnt get sore from patting it all the time, bragging about what school my kids goes to.

www.hallertau.co.nz

But yes overpriced.

If I were to live away from the city and buy a small business nearby I'd rather do it in Cromwell. Perhaps building a house on my 10 ha land over-looking Lake Dunstan instead of looking at swampy wetland in Riverhead. Probably a lot cheaper than $2m too!
http://www.trademe.co.nz/property/residential-property-for-sale/auction-...

Yes absolutely over priced for the area but probably contracted to build when the market was going gangbusters. Symptomatic of many new builds in the general Riverhead, Huapai, and Kumeu area.
Apart from the lack of infrastructure, increase in traffic etc, the place is hellishly cold and damp in the winter. Wouldn't worry about the swamp view; it's shrouded in fog most days..

China Eases Capital Controls As Dollar Weakens.

http://www.zerohedge.com/news/2017-04-19/china-eases-capital-controls-do...

to what extent I wonder. Is Auckland about to take off again....?

Wellington: ts still crazy though not nearly as mental as July was. Prices still higher.