Bayleys had a busy week in their Waikato auction rooms after the election but things were quiet in Auckland

This Hamilton house sold for $575,000.

The auction rooms remained quiet in the first week after the election, with Bayleys taking just seven properties to auction in Auckland.

They may have been few in number but they were well spread around the region, with properties up for auction in Grey Lynn, the North Shore, Te Atatu South, Highland Park and West Harbour.

Sales were achieved on three of them with the remaining four passed in for sale by negotiation.

Things were a bit more buoyant at Bayleys' Waikato auctions, with eight properties offered, including houses in Hamilton and Cambridge and lifestyle block at Karapiro, Waerenga and Paeroa.

Sales were achieved on six of the eight properties offered, giving a sales clearance rate of 75% at the Waikato auctions.

The full results with photos and details of all the properties offered and the prices of the ones that sold are available on our Residential Auction Results page.

If you are interested in commercial property, check out what's sold and the prices achieved on our Commercial Property Sales page.

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33 Comments

Oh good grief 3 sales out of 7 for Auckland that's pretty much a stagnant market. I wonder what excuses the RE's will come up with this time for falling sales and prices?

You need to keep in mind that auctions aren't the only way houses are sold. Very, very, few houses for sale around where I live. Those that were for sale have all sold reasonably easily.

Indeed. Auctions are popular in a hot market. Once a market cools, tender and negotiation become the norm.

Yes I agree with you Gingerninja. Plus it's not just Auckland that's feeling left out in the cold. Toronto is also feeling instant property millionaire with draw symptoms.

Perhaps we should ask Greg to do an Auckland sales comparison for before (Oct 2016) and after China's capital flight restrictions similar to the graphs featured in this article:-

Better Dwelling: Toronto Real Estate Sales Over $1 Million Drop Over 37%
https://betterdwelling.com/city/toronto/toronto-real-estate-sales-over-1...

Yes but it sure was the best way to hike up prices in a hot market Zachary. The Auckland market isn't that hot anymore and is likely to cool for quite some time until it reaches affordable levels. Remember listing are fairly high at the moment TradeMe Auckland listings @ 9522.

The article didn't mention prices at all, let alone falling prices on the properties sold.

I heard that private sales in Remuera have taken off in the last month, Auctions are now an increasingly unpopular sales method.

Hi Simo.

You're correct.

In fact, housing markets in inner-city Auckland and Wellington remain very strong.

There's a dire shortage of house listings in both these areas and there's been no cooling off in prices. (Just ask anyone who's trying to buy in those areas, or check realestate.co.nz for yourself.)

Then why are few persons putting their homes on the market in these and indeed most areas.

...read too much into this and bouncing dead cats do live! Yus I'm a believer!

Just attended the on-site auction at 61 Ascot Ave at 2:30pm. This 2-beddy derelict bungalow sold under the hammer for $1,750,000. With a CV of $1,190,000 and this represents 47% over the CV - yes for DGZ! https://nz.raywhite.com/auckland-city/remuera/1732138/

I imagine it is the flat 600+ sqm section that achieved the price, rather than the derelict bungalow.

Have you checked out where this section is? LOL

35 Allum St goes to auction tomorrow. The homes.co.nz estimate is 142% of Cv at $1.95 million. I drove past it yesterday. The location isn’t ideal, the house is old and the site isn’t really big enough to redevelop. It might struggle to reach the estimate.

Allum St is great if you're at the Madills Farm end :-)

How wrong was I? Despite the house bordering on being a demolition job, a pre auction offer of $2.0m escalated to a final sale price of $2.33m. It looks like it sold to expatriate New Zealanders. The sale price represented 170% of CV. I wouldn’t be surprised if they demolish and build a big house on the 661m2 section. Not quite dress circle but the harbour view can’t be built out. BTW there was barely an Asian face in the room. Obviously they are not the only ones with money.

CV is $1,370,000 so this is 70% over the CV. It has 4 bedrooms 3 bathroomss and 241sqm floor area so quite a substantial family home. $2,330,000 is an excellent price I'd say. Well done to the vendors.

The same family had owned it for 50 years and it showed. It looked like it had had pieces tacked on over the years. Comfortable for someone used to living there but I don’t believe it’s been bought to live in as is. Two determined bidders. The winner cried so evidently this was an emotional purchase. I don’t believe this in isolation means anything re the market except to say that family homes with an elevated Northerly aspect appear to find ready buyers in the Bays. The harbour views that can’t be built out would have added to this property’s attractiveness.

1071 rocks full stop :-)

We’re looking at ensuring this is our last home, tax laws willing. Heavens holding pen :)

@DGZ: Humm, I wonder after they're redeveloped it whether they'll be able to make their money back in 6 months or even in two years time?

Exciting news for the DGZ ! Seems like the fundamentals are steady and solid demand. 47% over CV is quite an achievement.

Hi DGZ,

Seems you have a supporter with PointMade.

Mind you, 47% over CV is a remarkable outcome.

Twopointsnonethericher. You guys are really cute.

If every developer thought like you nothing would get built

Sometime you actually have to face reality Been Boy. Times have certainly changed and those top end buyers are a lot thinner to none existent. You'll see soon enough.

Hi CJ099,

How long is "soon enough"?

I've been waiting for quite a while - several decades, in fact.

Haven't you shuffle off to Palmy yet TTP? And I've already explained to you several times that it takes two years for a property crash to fully show in the stats.

We're part way through the first year which started from Feb this year and we've already seen what a massive impact China's capital flight restrictions have had on Auckland's property market.

Yeah for sure we will see soon enough cj.and if I'm wrong I'll be more than happy to admit it.will you?

Yep sure Been Boy. I've already got Eco Birdy booked in for her first course of humble pie at the end of this month.
How about if I give you to the end of next month for the market to bounce back or would you like longer?

So if the Auckland property market has recovered By that time, we should see auction results pick up with 80% success rates and high sales volumes. :)

CJ099 what are you predicting in terms of price? And over what time frame?

Hi Ginger, Difficult to say but if things continue on the way they've been going since Feb this year. I think we're very likely to see Auckland's average price drop to around $650k in around eight months to a years time. It should be allowed to bottom out to a more realistic affordable average price of $500k but I can't see that happening due to the aggressive sales techniques from the RE' s who are still largely unregulated.

But the big question is; what will happen to all those paper millionaires? I can't see them being supported by FTB's or even immigration. Naturally there will be a few money launders around but hopefully for not much longer.

Regarding the Auckland residential market, the "smart money" has long gone 18 months ago......now the market is left to Zachary Smith, Double GZ et al .......best of luck mates :)