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Significant fall in Auckland sales volumes for Harcourts in August although new listings rise. CEO says 'traditional spring wakeup was already apparent in August'

Significant fall in Auckland sales volumes for Harcourts in August although new listings rise. CEO says 'traditional spring wakeup was already apparent in August'

Harcourts' average selling prices dropped everywhere except Auckland last month, causing the agency's national average selling price to fall $43,922, or 7.4%, to $550,771 in August from $594,693 in July.

However August's average price was still $37,008, or 7.2%, up from the average of $513,763 in August last year (see table below).

But prices in Auckland went against the trend where the average price rose $5,519 to $955,275 in August from $949,756 in July.

Throughout the country Harcourts sold 2056 residential properties in August which was 70 more than the 1986 it sold in July, but down 24 from the 2080 it sold in August last year.

Auckland also went against the trend in sales volumes, with Harcourts selling 507 homes in the Auckland region in August, down 80 on the 587 it sold in July, and 101, or 16.6%, below the 608 it sold in August last year.

However there was a definite hint of a spring surge in the air, with the agency signing up 2601 new listings in August, well up on the 2009 it signed up in July and the 2391 it signed up in August last year.

"The traditional spring wakeup was already apparent in August, with the central region, Wellington and Christchurch all showing a jump in the number of new listings," Harcourts CEO Chris Kennedy said.

"Sales consultants are already reporting a lift in the number of appraisals being sought."

However the market remained tight.

"Record prices are symptomatic of the underlying problem affecting the property market, population growth is not being adequately catered for with new builds," Kennedy said.

"Demand from new immigrants and investors remains strong."

Harcourts Sales August 2016

  August 2016 July 2016 August 2015
Auckland      
New listings 719 596 770
Number of sales 507 587 608
Average price $955,275 $949,756 $863,738
Total listings  1248 1434 1366
Central North Island      
New listings 479 391 464
Number of sales 485 403 543
Average price $438,016 $455,895 $350,197
Total listings 1011 944 1392
Wellington      
New listings 315 289 275
Number of sales 288 294 274
Average price $402,739 $422,364 $351,054
Total listings 635 626 1008
Christchurch      
New listings 702 350 465
Number of sales 401 413 384
Average price $510,721 $521,850 $496,018
Total listings 1638 1385 1911
Rest of South Island (excluding Christchurch)      
New listings 261 228 299
Number of sales 265 235 202
Average price $339,612 $354,783 $336,112
Total listings 971 1013 1279
Total NZ      
New listings 2601 2009 2391
Number of sales 2046 1986 2080
Average price $550,771 $594,693 $513,763
Total listings 5931 5572 7384

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11 Comments

" singing up 2601 new listings"
Where's your proof reader?

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You are the proof reader. :-)

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.. can't blame them for " singing " ... all those new listings , all those potential rivers of gold fees heading into Harcourt's coffers ... yeah , I'd be belting out a number or two ...

And not wishing to be a party pooper , but if there's anyone ... or just one ... person out there who's a little leery of $Million houses in Auckland , head across to New Shrub , and listen to this mornings 5 minute interview of UK economist Ann Pettifor , by Paul Henry ...

... the direction NZ is heading , suggests to me we ought to head across to " America's Got Talent " , and bring our own " Tape Face " back to NZ ... ... even pony-tails Key wouldn't be game enough to place a toilet seat over Mel B's ( Spice Girls ) head ... Tape Face for PM ! .. .. or , if we can't manage that , some tape across the face of the current one ...

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CEO says 'traditional spring wakeup was already apparent in August' ...... of course he would say that ...has he perused the number of Auckland properties, up for auction, that were passed in ...... why this information is even available on this good website :) .....the crap continues ......

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So if it's not the local investors, kiwi's citizens or immigrants buying in Auckland as they can't afford too - then who is? Auckland house prices still heading up??

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That only leaves mortgage fraud, organised crime laundering money and groups financing terrorism. With mortgage fraud the prices can keep going up until they are unable to service the mortgages.

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Yes, those that are left can be considered those JK are looking after.
Most people are judged by the friends they have............

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Hahahaha ... you guys are unbelievably naive and so simple minded ... is that all your brain can resolve ?? .... You are perfectly correct : "Most people are judged by the friends they have" that includes you guys too !!.... but wait ,, GDP Growth at 3.6% just announced !!! there must be a Crash coming !!

Wake up Boys ... Spring is Here !! ... The buyers are the wise people who still want a roof over their heads or expand their business and who refuse to listen to the envious losers, stupid doomsday callers, and empty brain conspiracy theory commentators ... lol

“There are people who make things happen,
there are people who watch things happen,
and there are people who wonder what happened. "

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Oh look it's National Bird! And you are the simple minded one and very obviously an Estate Agent! You don't even realise that a lot of the GDP growth is attributed to a false economy brought about by an out of control property market causing a sky high dollar that also damaging our economy!

The only thing that you are making happen, is selling off this land bit by bit to overseas investors!

Here's an article for you National Bird: Bryan Gould: Spare us praise for those who get rich on housing speculation
http://www.nzherald.co.nz/opinion/news/article.cfm?c_id=466&objectid=11…

quote from article: Who could doubt that speculative activities of this kind now constitute the major risk faced by our economy, to say nothing of the housing crisis that has now placed a family home beyond the reach of many families and reduced others to sleeping in cars, tents and garages?

Should we not say that if the time has now come when excessive speculation fuelled by foreign investors must be restrained, the same is true of speculative investment from domestic sources as well?

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From CNBC, today, Chris Watling, CEO of Longview Economics talks about the house prices in Shenzhen:

The average Shenzhen house prices is $800,000 which is more than London and more than the U.S. Of course London prices is valued in dollars there and it suffered due to a weaker pound. The average income in Shenzhen is $8000In London average house price to median income is running at 15 times. In Shenzhen the average ratio is 67.
.

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They do this amazing thing in the provinces - when the price of houses goes up they build more houses. Auckland just restricts more land supply and watches as construction flows to the provinces.

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