Regional house prices are climbing faster than in Auckland while the number of properties on the market around New Zealand continues to fall, according to REINZ’s residential sales report for June.
The Waikato/Bay of Plenty region recorded its fifth record median sale price for 2016, reaching $438,000, with the median price in Auckland reaching $821,000. Northland recorded a new record median of $360,000, while Otago reached $295,000 and Central Otago Lakes hit $730,050.
Real Estate Institute of New Zealand (REINZ) spokesperson Bryan Thomson said, “Although the onset of winter means that June is generally a quieter month for the real estate market, there has been no let-up in the rate of price increases across the country, with five regions recording new record median prices.
“The ‘usual suspects’ of Waikato/Bay of Plenty, Central Otago Lakes and Northland once again saw new prices reached, and Auckland and Otago chimed in with their own record highs.
“Although there is much discussion about the housing market and increasing new build supply, the fact remains that the vast majority of the supply comes from the sale of existing properties.
“The inventory data continues to show rapid declines in the volume of properties available for sale right across the country, with a number of regions, such as Wellington and Hawke’s Bay, recording very low levels of properties for sale.
“While Auckland continues to be the largest single region, its influence on the national picture is waning due to its own weaker sales and strong growth in sales in other regions, particularly Waikato/Bay of Plenty and Northland.”
The data showed Auckland’s peak share of national sales was 39.7% in January 2014, but has since fallen to just over 33.8%. Over the same period Waikato/Bay of Plenty’s share of national sales has increased from 14.3% to 19.0%.”