Is the Auckland property market stalling?

For the first time in five years, the Auckland housing market is showing unmistakable signs that prices are stabilising, and may even be plateauing. There has been a definite change in the market in the last month.

In July, there were 383 Barfoot sales of properties going for more than $1 million, accounting for 47.6 per cent of all sales last month.

Barfoot released commentary with the data from its chief executive Wendy Alexander.
“For the first time in five years, the Auckland housing market is showing unmistakable signs that prices are stabilising, and may even be plateauing. There has been a definite change in the market in the last month,” her statement said.

“The average price in July was $867,681, a fall of 4.5 per cent on that for June, but more significantly 2 percent below the average price for the previous three months. The trend is not as evident in the median price, which at $840,000 was the same as in June, and 2.1 percent higher than the median price for the previous three months.

“The winter months, school holidays and a slowing in the number of new listings all contributed to the slow-down in July, but buyer determination to pay whatever is necessary to achieve a property was tempered.

Normally, prices rise as we enter the spring/summer months, but the Reserve Bank’s new regulations affecting investors will start to have an impact from August on.

Retrieved from NZ Herald

By Anne Gibson

Leave a Reply

Your email address will not be published. Required fields are marked *