Spring heralds slightly better auction results even if there was little increase in actual auctions

Property / news

Auction activity level little changed, but spring seems to have brought out more motivated buyers

9th Sep 23, 6:00am by David Chaston

The early spring auction activity level was little-changed in the September 2-8 week.

But the sales rate rose to 54% and the number of properties achieving rating valuations at the successful auctions increased.

There were slightly fewer Auckland properties coming under the hammer, and slightly more outside the Queen City.

The Auckland clearance rate rose to 54% this week from 51% last week, with 38% of them achieving rating valuations (a good jump from last week).

Readers will know that the Barfoot & Thompson sales volumes in August came in better than earlier in the year, and that particular realtor noted sellers were needing to match buyer expectations to achieve a sale.

This latest auction data, which includes Barfoots, but also a wider range of agency activity, suggests auctions are moving back in favour in this market. But it also suggests, with 38% selling for the rating values, these sellers are getting some uplift at recent auctions.

There were notably more Christchurch properties brought to auction this week, and they too had a better sales rate. Like Auckland, a higher proportion achieved their rating values.

There are signs here that 'spring' started to bring out more motivated buyers.

Details of the individual properties offered at all of the auctions monitored by interest.co.nz, including the selling prices and rating valuations of those that sold, are available on our Residential Auction Results page.

[Greg Ninness is on vacation.]

We welcome your comments below. If you are not already registered, please register to 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.

39 Comments

by Pa1nter | 9th Sep 23, 6:14am 1694196842

At least spring is here, so those disappointed waiting for economic armageddon can head down to the park, enjoy the sunshine, and watch kids bail off their skateboards or an old lady might fall into the duck pond.

Savour the weekend

by tothepoint | 9th Sep 23, 10:41am 1694212886

Enjoy your vacation, Greg (Ninness). You well deserve a decent break.

After a coolish autumn/winter, it seems the housing market will be livelier upon your return.

TTP

by Flying high | 9th Sep 23, 6:51am 1694199064

Easier week by week comparison with previous week showing. Can you keep using the same format in future.

https://www.oneroof.co.nz/news/complaints-fly-over-fake-container-house… Cool housing in Hamilton

by Pa1nter | 9th Sep 23, 7:02am 1694199764

I wonder how long it'll be before central and local authorities concede to increased permissions for people to occupy portable buildings, caravans and the like as housing in the suburbs. Plenty of boomers sleeping in cars already, from the sounds of it.

by Dgm | 9th Sep 23, 7:11am 1694200307

People clutching at straws.. absolutely low auction numbers for the first week of spring..

by Retired-Poppy | 9th Sep 23, 7:17am 1694200669

Pa1nters been up all night for you to post this....ready - set - GO!

by Flying high | 9th Sep 23, 7:18am 1694200698

UFC begins 💪

by Retired-Poppy | 9th Sep 23, 7:18am 1694200699

Ha-ha-ha :)

by Pa1nter | 9th Sep 23, 7:52am 1694202721

UFC begins

it feels a lot more like "the biggest loser"

by Pa1nter | 9th Sep 23, 7:26am 1694201183

Who'd have thought me getting up to help an ailing geriatric to the bathroom in the middle of the night would get Poppy frothing.

Spose it's the little things

by Retired-Poppy | 9th Sep 23, 7:42am 1694202162

....and you did this while posting on interest.co.nz?

Priorities.....

by Pa1nter | 9th Sep 23, 7:42am 1694202122

During the period I was awake by it.

Although I could probably be 12 drinks in and half asleep and form more cogent trains of thought than the poopster

by Pa1nter | 9th Sep 23, 7:33am 1694201624

People clutching at straws.. absolutely low auction numbers for the first week of spring.

There you go, put in a bit of effort, you can rewarded with a pessimistic view.

by Retired-Poppy | 9th Sep 23, 7:41am 1694202109

Pa1nter, it's so easy being a critic. To criticize others forecasts and investment choices while not posting your own speaks volumes. It’s like being found wrong by others is the worst thing in the world.

Folks, at gatherings (especially involving alcohol), where possible drown out such people with good music.

Now Pa1nter, GET SOME SLEEP!

by Pa1nter | 9th Sep 23, 7:51am 1694202670

In a world that's awash with stories of fire and brimstone, it's easy to get lost in a spiral of negative thinking, lusting over the demise of others.

My personal investment advice is not to get lost in such a self defeating and fruitless frame of mind. Cultivate some marketable skills and knowledge in an area, seek out and be open to opportunities.

Sleepy time is over for the day Poppy, spring is here and there's plenty to do.

by Nzdan | 9th Sep 23, 8:28am 1694204903

I think both of you need to lock yourselves in a room at the Drury Motor lodge with a couple of big bags of green leaf, some edibles and an assortment of Doritos. You might find you have more in common than your online monikers play out.

by Pa1nter | 9th Sep 23, 8:34am 1694205280

Ive had a few poppies crush on me in the past. Not again, even if I was fed all the roofies in Bill Cosbys bathroom cabinet.

by Nzdan | 9th Sep 23, 8:34am 1694205258

Do you get reply notifications? All your responses on this thread over the past hour are pretty quick. How do I turn those on?

The only way I've figured out if I have a reply is by refreshing the page every minute or so.

by Officebound | 9th Sep 23, 8:42am 1694205767

"Remember we welcome robust, respectful and insightful debate."

Neither of you are doing this, and you genuinely make this comment section worse. If you or the editors could cut it out would be great

by Retired-Poppy | 9th Sep 23, 8:45am 1694205927

Fair enough, point taken :)

by Pa1nter | 9th Sep 23, 9:53am 1694210023

Someone of more fragile disposition would cite cyber bullying, another user chasing me round from thread to thread, poking fun at having to nurse a relative on their way out of the building, it's incessant, but you get these sorts of characters in life.

I could complain to the management, choose to make light instead, but point taken.

by Dgm | 9th Sep 23, 9:17am 1694207821

It's called.. being a realist

by Zachary Smith | 9th Sep 23, 8:29am 1694204942

Surprisingly good auction results.

by Dgm | 9th Sep 23, 9:18am 1694207934

LOL..clutching at straws.....

by Nifty1 | 9th Sep 23, 9:27am 1694208469

How do you explain these auction results DGM? Got you abit shaken...?

by Dgm | 9th Sep 23, 11:15am 1694214904

What are the overall numbers? You are gloating based on those? Pathetic

by Nifty1 | 9th Sep 23, 11:36am 1694216160

Not bloated at all, my digestion is fine thanks.... ***of course you edited your comment DGM - I don't see where I was gloating...?***

by Dgm | 9th Sep 23, 10:42am 1694212924

Lack of sleep definitely affects digestion..

Get some rest

by Retired-Poppy | 9th Sep 23, 9:44am 1694209444

"Surprisingly good auction results"

Now that you're "surprised", how dire were you expecting it to be and why?

by Zachary Smith | 9th Sep 23, 9:53am 1694210028

I tend to be a bit pessimistic so the results I am seeing, +50% sales, have exceeded my expectations. I expected to see more "bargains" and distressed sales. The vast majority of vendors that got reasonable bids, yet declined them, later sold their properties for significantly more as well.

Auctions are still a good way to start the process of selling a house.

by Retired-Poppy | 9th Sep 23, 10:32am 1694212376

If you're right then buyers are "surprisingly" financially resilient to the ever increasing cost to finance and hold property. This can only mean one thing, interest rates even higher and for much longer....

by nguturoa | 9th Sep 23, 8:44am 1694205865

Yay..

Congratulations to all the winners for becoming slaves of banks for longer and probably making sure their next generation goes into slavery to serve the banks owners.

There will be no innovation because everyone will be too busy paying the mortgages with what ever they could earn working in their non sleeping time.

God save NZ

by rico | 9th Sep 23, 8:57am 1694206652

Where do we find the stats for properties that were listed as going to auction but get changed to another method of sale when they realise no one will be bidding?

by JimboJones | 9th Sep 23, 7:30pm 1694244610

Lord help us if the RBNZ have to lower interest rates. If people think property prices make sense now at 7% imagine what they will do if it goes back to 2%.

We watch a few overseas do-up programs on TV. Some places actually make Auckland look cheap. You don’t seem to get much in LA for $1 mil US for example.

by GetFeeling | 10th Sep 23, 2:27pm 1694312854

The RBNZ will have DTI Ratios in by then.

I wonder if the banks need to report the "I" figure that borrowers use to the IRD? (I hope they do. [evil grin].)

by IT GUY | 9th Sep 23, 8:28pm 1694248130

People are transacting because they want or have too, many moving rural downsizing etc etc...... Its a fine balance any movement either way could see big price movements..... its not a market that allows FHBers easy access. Therefore its foundations are not strong. poppy/Pa1nter why not just have a pissing comp against a wall and save us all 20 posts to read each sat?

by Nzdan | 9th Sep 23, 11:10pm 1694257831

Summed up well. A market that does not allow easy access to new comers becomes awfully hard to liquidate out of for retirees.

Made easier if banks allow younger existing home owners to equity leverage/debt stack to gobble up those entry level homes.

by mikekirk29 | 10th Sep 23, 8:48am 1694292519

Try, if you can get figs, looking at sales rates on rolling 3-6 month basis for last 18 months. Market is made by sales not price rises. Sales on this basis are not rising. Not surprising given Auckland sales ran 50% above 15 year average for 8 months Jan 21 to August.

by GetFeeling | 10th Sep 23, 2:23pm 1694312606

The houses (actually, dwellings) I've looked at that have been for sale in auctions suggest they represent a specific 'sliver' of the market. I.e. I don't think they're representative of anything except that sliver. Many are do-ups and reno's, some are to entice developers to pay more, etc. And quite a few seem to have had buyers that got seriously carried away on the day. I'll wait for the REINZ numbers for confirmation.