High level of auction activity as the market hits peak selling season

Property / news

Almost 500 properties went under the hammer at the latest auctions with 41% selling under the hammer

22nd Feb 25, 6:00am by Greg Ninness

Auction room activity continues to ramp up as the real estate market heads into the busiest time of the year.

Interest.co.nz monitored the auctions of 496 residential properties around the country over the week of 15-21 February, with 201 of those selling under the hammer.

That gave an overall sales rate of 41%, with 42% of the properties that sold fetching prices above or equal to their rating valuations.

The latest interest rate cut by the Reserve Bank would have been welcome news to buyers and vendors alike, but indications are that buyers continue to drive a hard bargain on price, with the high level of stock on the market working in their favour.

That is also evident in the amount of time auctioneers are spending trying to negotiate a deal behind the scenes when bidding stalls, which is stretching out the average amount of time allocated to each property being auctioned.

However, vendors who are realistic in their price expectations are generally achieving a sale.

The table below shows the latest regional results, while details of all of the individual properties offered at the auctions monitored by interest.co.nz, including the prices achieved for the properties that sold, are available on our Residential Auction Results page.

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74 Comments

by safeashouses | 22nd Feb 25, 6:46am 1740160007

me oh my - 41 % when last did we see that ?

by tothepoint | 22nd Feb 25, 7:08am 1740161319

Things are hummin’ along …..

TTP

by IT GUY | 22nd Feb 25, 9:27am 1740169670

what is it about real estate agents

https://www.stuff.co.nz/home-property/360585835/landlord-who-let-tenant…

I always knew they whey full of shite but this is next level

by J.C. | 22nd Feb 25, 12:58pm 1740182335

what is it about real estate agents

The bar is not high to become a REA. For good and for bad. Water cooler buddy used to joke that in the past REAs were ruddy-faced white men who were fond of alcohol. But today it's a lot more aspirational. A colleague has become reasonably successful in the game in the nicer parts of Aotearoa - a natural salesman who connects well. Used to be a DJ.

by The_Golem | 22nd Feb 25, 3:32pm 1740191536

Real estate as an aspirational job.

Dear God: what have we become?

by kraken | 22nd Feb 25, 8:06am 1740164784

Nov 2024 similar and the spruikers weren't celebrating the poor results:

https://www.interest.co.nz/property/130688/more-properties-being-auctio…

Hummin' or Ho-hum?

by kraken | 22nd Feb 25, 9:51am 1740171117

Sep 21: 356, 141, 40%, 35%

Sep 28: 343, 151, 44%, 45%

Oct 5: 289, 119, 41%, 45%

Oct 12: 340, 121, 36%, 39%

Oct 19: 438, 192, 44%, 31%

Oct 26: 428, 188, 44%, 43%

Nov 2: 457, 193, 42%, 42%

Nov 9: 454, 175, 39%, 37%

Nov 16: 517, 182, 35%, 37%

Nov 30: 497, 182, 37%, 38%

Dec 7: 431, 175, 41%, 46%

Feb 8: 422, 162, 38%, 39%

Feb 15: 496, 201, 41%, 42%

At the peak, auction clearance was 70-80%, with many articles in 20–21 reporting those results:

https://www.interest.co.nz/property/107116/residential-auction-activity…

by Zachary Smith | 22nd Feb 25, 10:46am 1740174411

That article you link was written during the COVID madness when the froth was growing fast. Clearance rate of 70-80% have never been "normal". In 2018 a house I was selling was one of ten in an auction and only mine sold. I went to many auctions at that time too and don't recall it being that great. The clue is in the article itself:

The overall sales rate for the first two weeks of September (2020) this year was 73%, compared with 53% for the comparable two weeks of last year (2019).

by Houses Overpriced | 22nd Feb 25, 7:11am 1740161497

So 59% of properties pushed back to the pool.. coincides with the fact of houses for sale is at a 10 year high..

Prices on the way down .

by safeashouses | 22nd Feb 25, 7:16am 1740161796

@houses overpriced - you are probably right - however you might be wrong - who knows i just wont be so sure that you right.

by Houses Overpriced | 22nd Feb 25, 7:32am 1740162742

I am right, you are wrong.. ..

You are wrong, I am right..

Whether you are wrong or I am right, the end result is I am ✅️

by safeashouses | 22nd Feb 25, 7:39am 1740163161

@houses overpriced - only if you can predict the future you are right. stay clear of being "seldom right, but never in doubt"

by Retired-Poppy | 22nd Feb 25, 7:25am 1740162319

Venders are chasing the more discerning buyer that's for sure. Many resident hopefuls have been caught out by how long this slump is enduring. Post the peak selling season, the usual winter lull awaits. I think more falls to come before a sustainable floor can be called..

by Mypointis | 22nd Feb 25, 7:52am 1740163955

But but but QV has 1.2% increase over last 3 months?

by Retired-Poppy | 22nd Feb 25, 8:20am 1740165639

Strange, you normally don't stutter. Most would agree, use of the much trusted and, in particular, the latest REINZ HPI gives a much clearer view ✅

by K.W. | 22nd Feb 25, 12:02pm 1740178942

Some will be pushed back to the sale pool. Others will be withdrawn and dumped in the rental market - pushing up vacancy rates, reducing rents, and improving tenant choice. As we have seen happening all year.

One regional market I am following has seen rental stock double - many currently available to rent are those that failed to sell over the last few months. Vendors are either having to take a big haircut on price to snaffle what few buyers there in that price range, or they have to hold on to it and hope that there are enough tenants out there who can afford the rent on a million dollar house (even at 3.5% yields).

by safeashouses | 22nd Feb 25, 7:15am 1740161701

@NZ Gecko - Morning where are you - I am unable to continue with my day without reading your comments:)

by Yvil | 22nd Feb 25, 7:57am 1740164273

One week until we all contribute to Interest :-)))

by Retired-Poppy | 22nd Feb 25, 8:51am 1740167487

Yes-true but what effect will this have on auction activity?

by Dgm | 22nd Feb 25, 8:53am 1740167606

You have asked a very logical question to a very illogical person

by Pragmatist | 22nd Feb 25, 8:55am 1740167750

About the same as your repetitive garbage posting, none at all. But at least there will be a lot less of it to wade through.

Sadly I don't think the average quality of post is going to improve, just a massive decrease in quantity.

by Dgm | 22nd Feb 25, 9:01am 1740168083

“About the same as your repetitive garbage posting, none at all” .. wow.. you actually recognised that your posting is garbage.. hats off to you..

by Pragmatist | 22nd Feb 25, 9:05am 1740168352

Ah, prime example of what I was talking about.

Hurr durr, prices crashing.. am I doing it right?

by Dgm | 22nd Feb 25, 9:09am 1740168557

Stop crying (as you usually do) about falling house prices.. just suck it up

by Pragmatist | 22nd Feb 25, 9:11am 1740168681

You couldn't resist doubling down on the childish shit could you. Keep going,

by Dgm | 22nd Feb 25, 9:13am 1740168817

So now you are touchy as well..

did you wake up on the wrong side of the bed?

by Pragmatist | 22nd Feb 25, 9:17am 1740169061

Lol, not at all touchy, just disappointed that even when called on it you keep on with the childish shit that epitomizes your posts.

by Dgm | 22nd Feb 25, 9:21am 1740169295

I completely understand that you are disappointed with your sad and pathetic life..

by safeashouses | 22nd Feb 25, 9:25am 1740169527

@DGM my goodness you are boring - no is sptuiking you no is telling you what to do - i belive you just took it on yourself to have issues with anyone striving -

by Dgm | 22nd Feb 25, 9:28am 1740169702

Look at the shit on your own back..

by Yvil | 22nd Feb 25, 10:15am 1740172550

I have to say these guys are right. You come across as really immature DGM, and as soon as someone disagrees with you, you become aggressive. You're probably really young, and that's awesome, but try to grow up a little.

by Pragmatist | 22nd Feb 25, 9:27am 1740169637

You can stop demonstrating what a low quality shit poster you are now, you've already done an excellent job. Take the rest of the day off.

by Dgm | 22nd Feb 25, 9:29am 1740169792

Will that stop you from crying?

by Pragmatist | 22nd Feb 25, 9:33am 1740170020

No tears over here. Why do you feel the need to project your inadequacies so publicly?

by printer8 | 22nd Feb 25, 9:40am 1740170459

Really? Are we expected to pay to contibute to this inane garbage????

by Pragmatist | 22nd Feb 25, 9:42am 1740170572

Reading is free, posting won't be. I doubt DGM will be paying up to continue posting.

by tothepoint | 22nd Feb 25, 12:26pm 1740180364

Reading is free, posting won't be. I doubt DGM will be paying up to continue posting.

Good, solid point, Pragmatist. The DGM will find it tough paying for membership here - especially the many of them who have multiple monikers and multiple subscriptions to pay.

Finally, the angry, bombastic and petty tone of the DGM today reflects that the housing tide is turning - slowly but surely. The DGM lament it .....

TTP

by Amokk | 22nd Feb 25, 12:08pm 1740179308

That’s really rich coming from a known crook like you. https://comcom.govt.nz/case-register/case-register-entries/property-brokers-limited-and-its-sole-director-timothy-john-mordaunt

by Zachary Smith | 22nd Feb 25, 9:43am 1740170639

Dgm will be gone soon. Pocket money wont cover the monthly subscription.

by sgtshortcut | 22nd Feb 25, 1:02pm 1740182524

Wow coming in hot DGM 😂😂

by IT GUY | 22nd Feb 25, 9:04am 1740168253

I would have approached it differently, allowing all to post once per week, resetting at midnight Sunday, if you pay $10 you get unlimited. There are people who post rarely that might decide its not worth it... I will miss them.

by K.W. | 22nd Feb 25, 12:24pm 1740180266

Expecting people to pay in order to contribute the content that the site relies on to attract readers and advertisers is really on the nose. On principle, I wont be paying. I'll simply spend my time on another site (one that is less property focused).

by CN - new | 22nd Feb 25, 1:34pm 1740184442

"On principle, I wont be paying. I'll simply spend my time on another site (one that is less property focused)."

K.W.

Sorry to hear that. Your perspective and comments were insightful to the conversation. Your perspective and comments will be missed.

by Mypointis | 22nd Feb 25, 12:26pm 1740180413

I don't usually support your view but in this case, definitely a good idea. Also hopefully the likes can still be added to by non paying members.

by Pragmatist | 22nd Feb 25, 4:59pm 1740196746

Also hopefully the likes can still be added to by non paying members.

I hope not, If they aren't paying to contribute then the voting should also be off limits. Thankfully DC never implemented a thumbs down, that would have really ruined this site.

by Yvil | 22nd Feb 25, 5:19pm 1740197944

You care about likes ?

by Pragmatist | 22nd Feb 25, 6:18pm 1740201523

Not myself, long ago figured out they mostly represent nothing more than "I want what you said to be true", but they reinforce the low quality shit posters like ^.

edit: whoops, thought yvils post was a reply to mine.

by IT GUY | 23rd Feb 25, 5:54pm 1740286445

no this would allow outside actors to influence discussion, pay up of F off

none of us want this on property articles or discussions about china.

by CN - new | 22nd Feb 25, 5:27pm 1740198458

"There are people who post rarely that might decide its not worth it... I will miss them."

The key question is the quality of the commenters who choose to remain.

Will the comments section becomes similar to a primary school playground with lots of childlike behaviour?

Or will there be more commenters with interesting insight, observation, perspective and sufficient maturity to engage in an non conflicted, independent, open minded discussion of different perspectives and observations?

Time will tell.

If there are too many of the former, there will be few to no adults left in the room to talk to and then the remaining adults will leave the room.

Parents with young children may have already experienced the consequences when children self monitor.

https://youtu.be/Uo0q5qVcB5I

by The_Golem | 22nd Feb 25, 3:36pm 1740191791

And on how many articles have you made this irrelevant post?

Roll on March 1st.

by Rampart | 22nd Feb 25, 8:02am 1740164534

I’ve just had a friend fail to sell his house at auction. Purchased in Nov 2021. Just barely able to service the mortgage, zero spare money they want the same price as what they paid in Nov 2021. They've decided to withdraw from the market and have another crack in spring. I’m not sure whether to tell him he’s dreamin and to meet the market as he overpaid by 250K

by Zachary Smith | 22nd Feb 25, 8:25am 1740165918

Nov 2021 was just below the Everest-like peak of the NZ housing market.

by Dgm | 22nd Feb 25, 9:04am 1740168291

Just another idiot …

by Mypointis | 22nd Feb 25, 12:29pm 1740180575

You are just so perfect, I wish I could be like you. *not*

by CN - new | 22nd Feb 25, 5:20pm 1740198053

"I’ve just had a friend fail to sell his house at auction. Purchased in Nov 2021. Just barely able to service the mortgage, zero spare money they want the same price as what they paid in Nov 2021. They've decided to withdraw from the market and have another crack in spring. I’m not sure whether to tell him he’s dreamin and to meet the market as he overpaid by 250K"

Sorry to hear about your friend. This is the potential collateral damage of a mania in residential dwellings that many commenters were warning about on interest.co.nz. Many are owner occupier buyers on the next stage in life who happened to

1) buy at a high price

2) in order to purchase, they took on high levels of debt relative to their income.

As interest rates rose, many may have become cashflow stressed and mentally stressed due to higher mortgage payments, combined with higher insurance costs, higher costs of council rates (i.e. higher ownership costs) as well as higher costs of general living.

Now many of these households may be in further cashflow and mental stress if household incomes have fallen, with many losing a large portion of their life time savings used as a deposit to purchase their residence. Their entire future financial trajectory has changed and they will have less financial resources for their retirement.

A family friend purchased near the peak in Auckland. They stated that they will need to work beyond normal retirement age in order to repay the large mortgage outstanding on the owner occupied residential dwelling. This is the second time that they have been caught in a residential real estate mania and didn’t learn the lessons from their previous experience. I estimate that by buying today, they would be financially better off by over $800,000 at retirement.

by Brocky | 22nd Feb 25, 11:59pm 1740221989

The incompetence of Robertson and Orr has had some really tragic consequences.

by tomjones_04 | 22nd Feb 25, 8:03am 1740164583

I still get blown away by how bad most real estate agents are at selling houses. They are literally someone who passes on messages. No charisma, no emotional manipulation, no elegance in negotiation. If you are going to make 4% commission, at least be good at it!

by IT GUY | 22nd Feb 25, 8:53am 1740167582

I have noticed a recent trend that their profile photos don't match the product....

by Dick Mammoth | 22nd Feb 25, 10:24am 1740173050

Agreed .the agents now just open home and wait.very little follow up .Their attitude seems to be if you like the house buy it or move on.

by Zwifter | 23rd Feb 25, 10:20am 1740259234

I guess none of you have ever been in a sales role in your lives. Maybe you should try it before commenting. I spent most of my life in technical sales roles.

by IT GUY | 23rd Feb 25, 5:55pm 1740286545

So why do you now invest in term deposits?

being so technical?

by Dgm | 22nd Feb 25, 8:50am 1740167426

Peak selling season and sales rate at 41%.. just pathetic..

by IT GUY | 22nd Feb 25, 8:58am 1740167922

the ones not selling are the prices not falling spruikers talk about

the ones selling are showing up in the falling data each month that generates 200 posts.

by EpsomArtsandCrafts | 22nd Feb 25, 10:23am 1740173019

LVR ratios proving to be a handbrake

by Toye | 22nd Feb 25, 11:35am 1740177350

Lets talk when clearance rates hit 60%+

40% is rather unhealthy especially at peak selling season - last year it was about 38 or 39% around this time so in line with the rather dismal last couple of years.

by IT GUY | 22nd Feb 25, 1:21pm 1740183664

Dropped child at snow plant then went to Takapuna pool shop then back roads to dairy flat, holly cow there are some listings out there.... was not as many boards up before Xmas

by IT GUY | 23rd Feb 25, 9:05am 1740254701

The end of cheap interest rates is playing out internationally, not just here in NZ.

In the USA Florida is seeing 10% falls in rents YoY, and the associated fall in capital values.

https://youtu.be/XtBScJitffo

If many or all of NZs unsold townhouse's get forced onto the rental market by liquidation, we could easily see 10% falls in rents in Auckland and Christchurch, this would cascade into rent achievable and capital values of better quality houses.

Once you mix rental houses with homes, the drop in rents start impact capital values of the .... homes.

Be careful out there peoples, watch what happens to US Property values over 2025, it would be hard to imagine property falling in Aussie, America and China big time while NZ Rises?

by NZGecko | 23rd Feb 25, 2:54pm 1740275691

That Reventure guy has a great grip on the USA housing market along with this US Real Estate broker, he has great guests, who are in touch with the real US economy.

The wholesale slashing of Federal workers, much the same is happening in NZ, with Govt cutbacks.

WARNING! Economic Collapse has Begun in D.C.

With the much revered, US 30yr mortgages sitting consistently around 7%, when the selling prices need 2.5 to 3.5% mortgages to keep them aloft, a serious crash is the only outcome. The US Mortgage story has waves that NZ will continue to deal with over the next 3 years, of our crashing housing market.

by IT GUY | 23rd Feb 25, 1:27pm 1740270440

if the S&P500 does not hold resistance its

All on, like Donkey Kong

https://youtu.be/LiE1VgWdcQM?t=23

by CN - new | 23rd Feb 25, 3:40pm 1740278456

"In the USA Florida is seeing 10% falls in rents YoY, and the associated fall in capital values."

One of the specific issues impacting condominiums in Florida is that maintenence funds need to be topped up after years of depletion and maintenance neglect due to new regulations. Existing owners (particularly retirees) are facing cashflow stress.

https://youtu.be/Z6niHZlRHaU

https://youtu.be/u1v7AULwiSs

https://youtu.be/VvjLGanpbt8

Akin to apartments that require substantial upcoming repair costs in Auckland.

On top of that, owners are facing large increases in HOA fees and insurance costs.

by Pascal Von Holden | 23rd Feb 25, 1:29pm 1740270563

We are considering buying our first home, looking mostly at the Eastern Bays on the North Shore. Quite a lot that are of reasonable quality, stand alone with a flatish section, 4 bed 2 bath still sell near or above CV. I guess it's a sought after area.

Defined seeing a divergence between standalone and the townhouses/places with almost zero outdoor space, in that the former hold their price much better - as many comments on here have said.

Seems like there is a lot of ilnew interest out there - reason I say this is my workplace (big 4 bank) is looking at turning off new to bank broker applications as they can't keep up with demand.

by IT GUY | 23rd Feb 25, 6:24pm 1740288281

I cannot wait to see this turn up in sales numbers, I love to trade data and if this is the bottom I am in...

pre approvals, open home numbers we have seen so many promotions of false hope to bag holders and developers....

all i see is a tsunami of listings, listings that are not FBHer props, who the hell are going to buy these?

by CN - new | 24th Feb 25, 11:51am 1740351108

"my workplace (big 4 bank) is looking at turning off new to bank broker applications as they can't keep up with demand. "

Is your employer the lender trying to gain market share by having the lowest mortgage rate offering? And this is the reason for increased mortgage applications from mortgage brokers?

by DSSH | 23rd Feb 25, 10:51pm 1740304297

The demand for single level stand alone houses is very good (also single level ‘granny/sausage’ flats)

Stock of 2 level townhouse boxes will not clear for 3-4 more years in AKL, Wgtn and especially ChCh

2 level 3-4 bedroom standalone have good interest but sellers are not adjusting as this stock probably went up too much for no good reason