The cheapest property sold at Bayleys latest Auckland auctions was an apartment in the CBD that went for $636,000.
It was the only property to sell for less than $700,000.
The next cheapest homes to sell were a basic house at Northcote that was described as a renovator's dream, which went for $746,000, and another at Massey in west Auckland that fetched $765,000.
It seems even homes that would normally have been considered suitable for first home buyers in Auckland are now selling for around the three quarters of a million dollars mark.
The most expensive sale of the week was a house at St Heliers that went for $3.265 million.
Bayleys also auctioned a string of commercial properties during the week, and investors were prepared to accept extremely low yields on some of them, with a couple of shops at St Johns providing their new owner with a net yield of 3.49%.
Yields on others were in the 5-6% range.
To view the full range of residential and commercial property sales results, with details and photos of all properties including those that didn't sell, click on the property tab located under the banner at the top of this page and select "Auctions/Sales Results" from the drop down menu. The page is interactive and allows you to search for properties by type, location and agency.
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4 Comments
Really?
What about new 'affordable' homes in low income affordable areas like Sth Auckland
These are selling between $790,000 and $960,000 on 400 m sq section and less
Yet close by a 4 solid tidy bedroom room, with 2x garage, 2xcarport 3x bay 12m x 7m 3.6m stud .. fully landscaped around the low $800K.
A house next door, renovated, 600m section, 2x garage $570K
I have mentioned this before..
A huge part of this affordability farce is due to the introduction of subsidised rents...IE subsidised rental/ investor income of previous governments.... Maybe a good idea back then but we now have the long term consistences of it.
Low income brackets require enough income to cover food and housing.. be it rent or mortgage. we do not have a liveable income, so we subsidized that income... subsidize the employers to subsidize the landlord.
As the returns to the landlord decrease and working wage reduces we increase the subsidy .
Now throw in our immigrant intake, also mostly low or min wage.. be it a doctor driving taxi..whatever.
So how do we get out of this ridiculous roundabout situation?
If the subsidy was just stopped, house values, would drop.. crash..families would be on streets, homes MT..socially economically and politically not a good idea
The whole thing relies on subsidy from taxation to increase disposable income..
If we simply reduced the tax on income of those receiving rent subsidy by the same amount as the subsidy.
That would throw the rent back into the open market...investor landlords would then have to consider these returns and ability of renters to pay that rent...
Anyway.. the Auckland market for investors is over its peak.. investors.. those who buy, renovate sell.. pick up the capital gain are over. They a have been moving into places like Hamilton, Rotorua, Wanganui, and north for a while now.
The time to cash up in Auckland and head out of town is also over.
We are just left with a city where teachers, builders, professionals, unless renting or living with parents, or brought over 10 yrs ago, cant afford to live here...Quality of services, teaching drops...maybe a little like how Detroit died.
It is not just affordable homes but affordable income and unsubsidised rents that is required to fix a social experiment a few decades ago.
I think you have identified a major factor. The accommodation supplement is different for each region. so a family on a low income with $400 pw rental gets $100 pw greater subsidy in Auckland than they do in say the Manawatu. When I headed an economic development agency we saw business relocate to Auckland, and the realities was they didn't have to pay higher wages because the Government paid additional accommodation supplement. This is why Auckland has grown disproportionately fast compared to other regions, and why it is so dependent on low-wage manufacturing jobs. Manufacturers can pay the same wages but face lower transport costs than other regions.
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