Asking prices continue to tumble on Trade Me Property as vendors bite the bullet in a soft housing market.
The average asking price of the properties available for sale on Trade Me Property in June was $829,650, down by $15,600 (-1.8%) compared to May.
That followed a 1.2% decline in the average asking price in May and 0.8% decline in April, marking the third consecutive month that asking prices on the website have declined, with the size of the declines increasing each month.
The average asking price is now $32,250 lower (-3.7%) than it was in March and is at its lowest point since September last year.
On an annual basis the national average asking price was down 1.4% compared to June last year, with the biggest annual falls occurring in West Coast -4.8%, Auckland -2.7% and Wellington -1.9% - see the chart below for the full regional figures.
The drop in asking prices coincides with high levels of stock for sale, with the number of residential properties available for sale on the website declining by 9% in June compared to May, but remaining up by 4% compared to May last year.
The number of properties for sale on Trade Me Property hit a decade high in March and there is usually a seasonal decline over winter.
"Seeing supply dip at this stage of the year isn't unexpected, but there remains plenty of choice in the market for those house hunting, with several thousand more properties listed on site than the same month last year," Trade Me Property Customer Director Gavin Lloyd said.
Properties also appear to be taking longer to sell, with the median number of days properties remained listed on the website increasing from 70 in May to 78 in June.
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28 Comments
Oh dear. The Ponzi Pumpers are now bankster forced dumpers.
My, how the overleveraged are in such trouble, as their much talked, "multiple market bottoms" have in fact been the hangman's trap door, to still lower and lower price levels.
Next, we will have the record % of sellers, taking baths on bad property price losses .......
The real bottom, is specutown getting a smack on their financial bottom.
Tumbling, crashing...
Asking prices fall bids 5% below that....
The average asking price is now $32,250 lower (-3.7%) than it was in March and is at its lowest point since September last year.
-3.7% in 4 months?
Listing and listing days up all equals down down down in Ponzi town.
Going up a in a suburb in Spain by the sea though....
Oh wow. That will effect NZ ...tui.
Yeah yeah yeah......SpecuSpain is really the leading indicator for Saving the puchdrunk and staggering off a cliff -NZ housing Ponzi.
Indeed ITG, the world is bigger than NZ ! (for some of us anyway)
Do you own property in Spain?
Yes, and I'm there now.
Yes, and I'm there now.
Ibiza?
LOL no, on the mainland, on the Costa Blanca.
Used for Air bnb or accom when you're not there ...
Clearly a good investment
To be honest, prices went down in Spain after the GFC, but yes, going up now.
Snap!
So even a dismal term deposit is out performing.
At some point the over leveraged who have manged to purchase via 'fraudulent' representation of their income and assets will be exposed.
This finding was corroborated by Tyler Cowen (via Wikipedia citing NASA‑Times, 2008) noting “As much as 70 percent of recent early payment defaults had fraudulent misrepresentations…
Then there is the problem of getting tenants and borders.
Early days.
Watched The Big Short again this week...
Great film that!
The garden variety NZ Housing Ponzi specuvester, thinks the "Big Short" is a work of fiction.......
It's a brilliant, documented exposay on greed and speculation, that man will repeat, time and again.
- The all told me in 2021, that you just "cannot lose on the NZ Housing market". "Get as much as can, fill your boots", they all said!
"house prices double every 10 years"
Until they don't...
Caveat is that interest rates fall for four decades from historical record highs to record lows (as viewed in the context of hundreds or thousands of years of interest rate history ie peaks around 20% in 1980s then falls to near zero 2020’s - an event should be viewed as an extreme anomaly - that may never occur again for hundreds of years, let alone our lifetimes).
Which of course common sense suggests is complete nonsense.
Salary and wages nowhere near double every 10 years so the whole mantra of housing doubling every 10 years becomes unsustainable as no one but the very rich would be able to afford housing.
Asset values become disassociated with incomes.
And the housing Ponzi collapses.
If anything comes out of this 'housing correction' is that people learn lessons and realise the amount of bull**it put out there by property spruikers and the Real Estate industry.
Exactly T A.
Asset Valuations to Incomes went further out on to narrower and narrower branches......completely unsupported.
Property spruikers and REA toads should not be surprised, that the spindly branch snapped, after 2021!
Agreed.
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