Auckland property prices are at the lowest they have been in twelve months, according to Trade Me’s latest Property Price Index.
The average asking price for a property in Auckland fell 1.6% in July, and currently stands at $895,000. According to Trade Me property head Nigel Jeffries, this is the first time since September 2017 that asking prices in Auckland have fallen below $900,000 and is a sign that the Auckland market is quietening down.
“After the leaps and bounds the Auckland property market has become accustomed to over the last four years, we’re finally seeing prices start to ease which is great news for those on the house hunt,” Jeffries said.
“The Auckland region saw a surge of new listings come onto the market in July, up 7% on last year and 42% more than when the market peaked in July 2016.”
The average number of listing views in the first two days also fell by 7%, though apartments in the Auckland region have bucked the trend and are up 7.7% on last year. Jeffries says apartments are still very popular with buyers as they’ve the most affordable, and there is still a good demand for properties despite the Auckland market slowdown.
He says that despite the falling prices in the city, sellers and homeowners shouldn’t panic.
“It can be unsettling for homeowners to see the value of their biggest asset shrink, but this is all part of a dynamic property market,” said Jeffries. “Auckland’s growth in the last five years couldn’t continue indefinitely. We think we’ll see a bit of a stagnant period continuing in the next few months.”
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