Fewer properties selling under the hammer in Bay of Plenty, Canterbury outperforms

Property / news

Residential auction activity has flattened out over the last few weeks

13th Apr 22, 9:28am by Greg Ninness

Auction room activity has remained pretty much at the same level for several weeks in a row in the lead up to the Easter break.

Interest.co.nz monitored 356 residential property auction last week (2-8 April), compared to 368 the previous week and 360 the week before that.

Similarly the overall sales rate has been almost flat, with 31% of the properties selling under the hammer at last week's auctions, compared with 32% the previous week and 29% the week before that.

The Auckland market continues to dominate auction activity accounting for 69% of the properties offered at the auctions monitored by interest.co.nz, but it also produces some of the weakest results with just 27% of the Auckland properties selling under the hammer last week.

Under the hammer sales continue to be surprisingly weak in the Bay of Plenty, while the Canterbury market continues to outperform, with sales achieved on 62% of the Canterbury properties last week (see the table below for the full results).

Details of the individual properties offered at all of the auctions monitored by interest.co.nz and the results achieved are available on the Residential Auction Results page.

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59 Comments

by Nifty1 | 13th Apr 22, 10:13am 1649801593

Re agents continue to try and play their same old tricks with little success...

by the way | 13th Apr 22, 10:25am 1649802307

Those waiting for the almighty crash may be starting to notice the reality of a stubbornly resilient market.

by northman46 | 13th Apr 22, 10:27am 1649802468

Are we reading different articles or something?

by 2022 | 13th Apr 22, 10:49am 1649803776

No. Just Paid To Say RE Agent Talk. We will see how motivated the Vendors become this afternoon with the new increase in the OCR.

7% interest rates this year Guaranteed .

by Kjeldorian | 13th Apr 22, 11:54am 1649807688

Ctrl "c", Ctrl "v"

4.5%

by 2022 | 13th Apr 22, 2:12pm 1649815974

OCR is now 1.5%.

7% interest rates very soon.

by Kjeldorian | 13th Apr 22, 2:57pm 1649818640

Spam

by JimmyJames | 13th Apr 22, 10:55am 1649804129

Most are not waiting, they're leaving ... the country.

by Kjeldorian | 13th Apr 22, 11:55am 1649807713

Not according to the article yesterday...

by Just Some Advice | 13th Apr 22, 12:01pm 1649808093

I guess you didn't read the rest of the comments...

by Kjeldorian | 13th Apr 22, 12:14pm 1649808894

The anecdotal evidence of everyone leaving? Yeah, I read that.

by JimmyJames | 13th Apr 22, 12:19pm 1649809164

Not everyone, just our best and brightest. Are you saying that this recruiter is lying?

https://youtu.be/woGnm00D3Qs

by Kjeldorian | 13th Apr 22, 12:25pm 1649809503

You implied mass exodus. As per the article yesterday net migration is approx zero.

So, no mass exodus.

by Fluffybunny | 13th Apr 22, 12:47pm 1649810869

No mass exodus (of course) lets not get silly.

Though we do have a declining population without migration. So we may be able to convince new people to come here, though we cannot currently build a society where young kids want/can reproduce once they arrive.

And whose going to want to move here? Everyone knows that the cost of living in NZ is astronomical compared to overseas & asset laden high income earners are not the type of migrants we need. Also why sell a house in the UK/EU only to downgrade my standard of life and relative earning potential.

As PDK will elaborate, we are already butting up limits to growth. Cost of climate control & subsequent further inflation coming to you in 5..4...3....2....1... (years).

by JimmyJames | 13th Apr 22, 12:48pm 1649810932

The link is titled "'Mass exodus' of workers predicted as NZ borders open" the recruiter predicts that the mass exodus will hit hardest in 2024.

by Kjeldorian | 13th Apr 22, 1:06pm 1649811985

Currently the "mass exodus" is balanced by mass inflow.

Net migration essentially zero.

by rastus1 | 13th Apr 22, 1:00pm 1649811618

Apples and Oranges.

The 'workers' are leaving.

The malingerers' remaining to breed.

by northman46 | 13th Apr 22, 1:01pm 1649811667

That's literally what you've been linked - mass exodus expected over the next 3 years, especially in 2024.

by Kjeldorian | 13th Apr 22, 1:04pm 1649811869

Some are leaving, some are arriving. At about the same rate it seems.

by northman46 | 13th Apr 22, 1:17pm 1649812675

"This group of people leaving, people with 5 or 6 years experience, they're very valuable employees. They're right at that sweet spot of their career were they are accelerating. They're highly productive. They're generally high performers and they're just at that point were they're really added a lot of value to an organisation. And to be fair, these are the last people we want to be seeing go. "

Like for like?

From my social circle, so far, we've lost four seniors in the film industry, a baker, a dentist, three civil servants, a specialist in construction and a talented carpenter. All to the UK in the past 12 months. My mate working in a supermarket is staying put though.

by Kjeldorian | 13th Apr 22, 1:25pm 1649813119

Never said like for like. The person I was replying to was indicating NZ would be empty in a few months.

by 2022 | 13th Apr 22, 1:44pm 1649814257

Kjeldorian / HouseMouse, same person. As others have said so far HouseMouse, "lets not be silly".

You try to twist and worm your way out when you are clearly wrong, yet again.

by HouseMouse | 13th Apr 22, 6:58pm 1649833102

Fuck off !

we are NOT the same person.

jesus

by 2022 | 13th Apr 22, 7:06pm 1649833600

That type of profanity is not acceptable . Maybe someone should report you HouseMouse. I would like an apology please.

by JimmyJames | 13th Apr 22, 1:54pm 1649814885

Read the comments below. I had responded to this comment.

by the way | 13th Apr 22, 10:25am

Those waiting for the almighty crash may be starting to notice the reality of a stubbornly resilient market.

I responded.

by JimmyJames | 13th Apr 22, 10:55am

Most are not waiting, they're leaving ... the country.

What sort of people do you think would have been "waiting" for affordable housing? People in the market already?, beneficiaries? I would say in young professionals who have been priced out. They will be leaving over the next few years as per the link I provided regarding the "the mass exodus".

Why are you talking about immigration into New Zealand anyway. How can someone who is not even in the country leave?. That's obviously impossible.

You shouldn't blatantly change people's words on this site.

by Kjeldorian | 13th Apr 22, 3:00pm 1649818813

by Kjeldorian | 13th Apr 22, 11:55am

Not according to the article yesterday...

by Just Some Advice | 13th Apr 22, 12:01pm

I guess you didn't read the rest of the comments...

Article yesterday was net migration = zero.

The comments were that everyone is leaving.

Again, balance is zero.

by JimmyJames | 13th Apr 22, 3:32pm 1649820732

Oh, I thought you were disagreeing with me. If you can't argue against my points, I'll take that you agree and understand.

by 2022 | 13th Apr 22, 3:48pm 1649821688

You cant reason with HouseMouse, or should I say HouseLouse.

https://en.wikipedia.org/wiki/Louse

by HouseMouse | 13th Apr 22, 6:59pm 1649833149

Can you piss off. Comment reported.

by live4ever | 13th Apr 22, 3:29pm 1649820543

They'll be back after their OEs, we thought Europe was cool for a while to travel, explore and party. But no way did I want to raise a family there.. so came back. It'll be even worse now with the spectre of war upon them.

by northman46 | 13th Apr 22, 4:19pm 1649823565

They're not going for OEs. They're not citizens by birth.

by Just Some Advice | 13th Apr 22, 12:20pm 1649809209

Yep, those silly sausages obviously forgot their /s brackets.

by 2022 | 13th Apr 22, 12:31pm 1649809886

Kjeldorian / HouseMouse, same person. How about you leave NZ . It would raise the I.Q of both countries !

by Kjeldorian | 13th Apr 22, 1:03pm 1649811783

Once again you prove you don't have an original thought in your head.

Just like 2020 and 2021, everyone wants 2022 to end.

by HouseMouse | 13th Apr 22, 6:59pm 1649833188

He / she / it is a moron.

by tothepoint | 13th Apr 22, 10:56am 1649804213

Housing market ticking over as we move closer to winter.

No sign of the much-vaunted "crash" that obsesses certain people here.

Economists use the expression "soft-landing" to describe the situation.

TTP

by Fluffybunny | 13th Apr 22, 12:59pm 1649811587

No sign of growth either.

Plenty of signs pointing towards a long... slow... decline...

Property market in Auckland has run out of puff.. the downward pressures continue to mount... and the ice holding it all up is already thawed and turned into slush...

Anyone suggesting a crash happens over a short time period is miss-informed. It took IRE about 3 years to discover where the bottom of the lake was.

Still, not a bad time to upgrade? Sell now and the likelyhood is that your target home will become cheaper in 2 months time.

by DTRH | 13th Apr 22, 2:07pm 1649815621

If you are thinking of purchasing a house wait and think as over next few years prices will crumble when we get to a point when average wage earners can buy;jump in (this would be around 420 k for 3 bedroom place)

by Befuddled | 13th Apr 22, 11:02am 1649804527

Well fm if you're not actually right. Despite all the bleating from the DGM crew (and I'm way more in their corner than you ever hopeful spruikers), the party albeit winding down a wee bit it still going, with anything of real value still selling for silly money. We're hunting hard out for a reasonable opportunity - Waiheke, Waikato, Matakana, Mangawhai, even Rotorua - and certainly not noticing any significant price changes. We're resigned to waiting a wee bit longer in what appears to be the forlorn hope of a real correction, but wishing for one and jumping up and down about a (actually quite respectful) 30% auction clearance rate being the harbinger of a crash is really just silly.

by Smudge02 | 13th Apr 22, 11:11am 1649805089

This shite show that is the NZ Housing Bubble has been in the making for years, now that things are changing people are pretty quick to give it 5 minutes and proclaim that there is nothing to see here, business as usual.

Patience young Padawan.

by 2022 | 13th Apr 22, 11:27am 1649806076

There are many examples of properties from the Media showing very large decreases in values. Some as big as -38%.

Napier Listings has gone from 250 in December to about 450 now on trade me. Thats an 80% increase.

OCR goes up today racing towards 7% Mortgages.

There is many reasons to do Absolutely Nothing and Wait Wait Wait.

Those who wait will be rewarded !

by Fluffybunny | 13th Apr 22, 1:03pm 1649811782

This correction may take 2-3 years... It will not stop until bank rates decline again and stay down. Any response re LVRs etc will do diddly squat at this point.

Print more money & lend it for cheaper rates... or prices are going backwards... Its that simple.

by Wrong John | 13th Apr 22, 11:15am 1649805353

Hard to see house prices falling too far when the cost of building new homes keeps increasing.

by 2022 | 13th Apr 22, 11:24am 1649805889

Just buy a brand new home at the mortgagee sale . Plenty of developers that are getting nailed. Job done.

by Jonny_Utah | 13th Apr 22, 11:30am 1649806222

Strip it down for parts, seeing as materials are so expensive.

by DTRH | 13th Apr 22, 2:16pm 1649816206

The government could buy new builds at reduced rate save a few developers going bankrupt then rent them out at low cost bringing down rents. Could be speculators will get burnt but it’s not always a win situation a probably won’t be for years for NZ housing market

by house hunter | 13th Apr 22, 11:32am 1649806342

House prices are going up. Land prices are coming down. Not sure about where you live, but where I live the land is usually worth a lot more than the house sitting on it.

by mfd | 13th Apr 22, 11:32am 1649806357

Not that hard - the equation can be solved by land prices falling from their current high levels. Plenty of fat to be trimmed there.

by 2022 | 13th Apr 22, 11:45am 1649807141

Also plenty of unsold section subdivisions creating a glut in the market. Some subdivisions will not be finished until 12 months from now, plenty of time and supply to pick up a bargain at the bottom of the Crash.

by RickStrauss | 13th Apr 22, 2:06pm 1649815609

And plenty more land available with central government finally forcing the councils to pull finger.

by Carlos67 | 13th Apr 22, 12:40pm 1649810429

Well its official just finished watching the Harcourts live Auction here is Tauranga and its stuffed. 13 properties for auction and zero sold under the hammer. Its just crickets in the auction room. I'm pretty disgusted they are still pushing auctions to be honest, these people are still getting paid and they know that there is now almost a zero chance of a sale. Clearly there are no cashed up buyers left in the market and those that are are expecting a 10% price drop right now.

by Smudge02 | 13th Apr 22, 1:09pm 1649812140

As above, we are creatures of habit. The ponzi has been providing guaranteed results for years with insane tax free gains. It’s going to take some time for many to realise that those days are gone. The longer it takes for reality to sink in, the more panic there will be when it finally does.

by Mountie | 13th Apr 22, 1:42pm 1649814137

Sales people are not getting paid. No sale, no pay. All they'll have is a sales manager breathing down their neck saying tell your vendor the market has changed.

by Carlos67 | 13th Apr 22, 1:56pm 1649814983

Pretty sure that Auctioneer is getting paid sale or no sale. Its costing the vendors for sure. There were 40 properties scheduled for auction yesterday and only 13 made it so the actual figures are even worse than being reported.

by Market Interest | 13th Apr 22, 2:05pm 1649815518

Yup, and the auctioneer gets paid, even if you withdraw prior to the auction.

Not to mention the kickbacks that they get from the marketing they sting you for up front...

Auctions are great for a vendor if you a) have a unique property that's difficult to value, or b) the market is red hot. Outside of that they're still great...but only for the salesman/agent.

by DTRH | 13th Apr 22, 2:28pm 1649816907

Lots of cut backs coming how do they explain to clients house is only worth 50% of last years value. The smart people sold last year and would think people if don’t have to sell will just hold on and maybe rent out to help pay for million dollar mortgage, hopefully many of these people made plenty on way up

by Carlos67 | 13th Apr 22, 5:08pm 1649826487

Its not down 50%, its never going down 50% your dreaming. Its the 2008 GFC all over again watch for 10% drops then a recovery, probably as early as November/December. People will not sell at a huge loss, they will just go into a self imposed lockdown and ride it out.

by DTRH | 13th Apr 22, 7:06pm 1649833593

Carlos who will buy after a 10% drop once the slide starts it keeps going till it gets to a point where average wage earners can afford to buy that’s around 450k max. Now you have crap 3 bedroom houses on tiny lot for a million who is going to buy why are you so upset by this, rates will end up higher that before emergency level were put in place and with inflation affordability will tumble.if you were caught out by FOMO and people like TTP you will now learn a valuable lesson.housing is for living in not speculating with.

by Final Account | 13th Apr 22, 7:37pm 1649835457

But but but NZ/situation/specific economic dynamics is dufferent... /s