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A rise in new listings has been matched by an increase in sales, leaving the housing market steady in August

Property
A rise in new listings has been matched by an increase in sales, leaving the housing market steady in August

The housing market remained largely steady in August, with modest movements in prices and a slight dip in the number of sales, according to the Real Estate Institute of NZ.

Nationally there were 7766 homes sold in August, down 4.4% compared to July but up 41.7% compared to August last year, while the national median selling price was $465,000, unchanged from July but up 10.7% compared to a year earlier.

In the super heated Auckland market, 3002 homes were sold, down 5% compared to July but up 40.5% compared to a year earlier, which was the highest number of sales achieved in the month of August in the region since 2003.

Auckland's median selling price of $740,000 was up 0.7% compared to July but still below the all time high of $755,000 that was hit in June.

Within the region, prices continued to rise strongly in Rodney, where the August median price was up 5.1% compared to July, followed by Waitakere (up 4.2% for the month) and Central Auckland (up 3.2%). while median prices declined in Manukau (-1.5%) and the North Shore (-0.4%).

REINZ chief executive Colleen Milne said new listings in Auckland during August were up 35% compared to a year earlier, but sales were up by more than 40% over the same period, which meant a continuing shortage of stock available for sale in the region.

In Wellington August's median price of $402,550 was up just 1.3% compared to a year earlier, although the number of sales was up 28.7% compared to August last year.

In Canterbury the median price was $412,000 in August, up 3% compared to August last year while the number of sales was up 16.3% compared to a year earlier.

The median selling price for all regions except Auckland was $348,500 which was down 1% compared to July.

Around the country median selling prices were down compared to July in all regions except, Auckland, Wellington, Nelson/Marlborough and Otago.  

"Activity right across New Zealand continued to be very strong through August, with wintry conditions apparently no deterrent to sales being concluded," Milne said.

"A rise in the number of new listings matched by the number of sales, shows that with more properties available for sale, buyers have emerged to take up the additional supply.

"However most regions still face a shortage of listings going in to spring," she said.

There had also been a noticeable surge of investors from Auckland buying properties in other regions, particularly in Dunedin, the Waikato and Bay of Plenty, according to the REINZ.

This was being driven by ongoing low interest rates and the pending introduction of new LVR restrictions on investment properties in Auckland, Milne said.

You can read the REINZ's full reports for all regions of the country by clicking on the link below:

Median price - REINZ

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NZ total
Source: REINZ
Northland
Source: REINZ
Auckland
Source: REINZ
Waikato
Source: REINZ
Bay of Plenty
Source: REINZ
Gisborne
Source: REINZ
Hawke's Bay
Source: REINZ
Manawatu
Source: REINZ
Taranaki
Source: REINZ
Wellington
Source: REINZ
Tasman
Source: REINZ
Nelson
Source: REINZ
Marlborough
Source: REINZ
West Coast
Source: REINZ
Canterbury
Source: REINZ
Otago
Source: REINZ
Southland
Source: REINZ

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8 Comments

The market has been strong considering the weather of late. With interest rates continuing to drop it is still a good time to buy investment property even in Auckland. Beats those dropping deposit rates.

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So looks like Barfoots lost market share

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It's much better to earn the yields on residential property than those on term deposits. I notice the complaining brigade here at interest.co.nz have gone quiet on the supposed issue of poor residential yields that they used to try and raise... funny that.

So who wants to put their money in the bank now?

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Residential yields are rubbish by historical standards.

Go buy some more houses if you believe "life's great in landlord land".

And who calls themselves "Your Landlord" anyway? You sure as hell aren't my landlord. In fact you sound more like a try hard than a successful property investor.

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And you will be quiet when the natural cycle swings down which, as every economist will tell you, is inevitable. Enjoy this period in the meantime though.

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Down boys - don't you know that this time its different. Kiwis are much cleverer than those sub prime boyos. We will sell our shite boxes right at the top to some Asian looking to park his dirty money. Just waiting to hear the bell ring showing the market topping. Remind me - who rings that bell?

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So we have to pay for the REINZ index data these days? I see they have a 'store' set up at their website.

Higher volumes and flat or lower medians outside of auckland point to investor action in the lower priced, higher yielding housing stock. So possible medians are down but index is up (if prices paid for the cheaper rentals are going up relative to last year).

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