The average value of homes declined in May compared to April in almost all parts of the country, according to the QV House Price Index (HPI).
The HPI tracks average dwelling values nationally and in 16 main urban areas from Whangarei to Invercargill.
Average values in May were lower than they were in April in all of them except one, with values continuing to rise in the Queenstown-Lakes District.
The average value of all homes throughout the country was $1,030,221 in May, down $10,706 since April and down $33,544 since January.
The biggest declines in May compared to April were in Napier -$29,634, followed by Wellington Region -$25,196 and Auckland -$23,182.
The biggest declines since the start of this year were in Auckland -$71,543, followed by Wellington Region -$64,849 and Palmerston North -$46,655 (see the table below for the trends in all major centres since the start of the year).
"There's no question that prices are falling, especially now as buyers take the upper hand in negotiations," QV General Manager David Nagel said.
"It's really just a matter of how much further values will fall before finding the new equilibrium.
"Almost all of the country has passed the value peak of the cycle.
"This was originally driven by investors and first home buyers competing for limited stock, especially with the availability of low interest loans.
"That led to massive value increases to the more affordable locations, so it's no surprise these are the first values to get hit.
"But as the market downturn takes hold, even the higher valued properties have started being impacted now.
"With interest rates likely to climb further to battle inflationary pressures, as well as economic uncertainty with the Ukraine conflict and continuing supply chain disruptions, we've still got a way to go before the market bottoms out," Nagel said.
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