Latest REINZ data shows regions with most and least residential property
The number of properties sold across the country in May was lower than the same time last year, but it is also the highest number of properties sold in 2019 so far, according to the latest property report from REINZ.
In May, there were 7,263 residential properties sold across New Zealand down by -7.8% from the same time last year. However, the month-on-month number of properties sold increased by 20.1%.
Nationwide, excluding Auckland, there were 5,338 of properties sold in May. This is down by just 1.4% when compared to the same time last year. Again, the month-on-month figures were much stronger with a 22.8% increase from the number of properties sold in April.
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In Auckland, the number of properties sold in May fell by 21.8% year-on-year to 1,925. When looking at month-on-month change, Auckland saw a lift in the number of properties sold by a 13.0%.
Outside of Auckland, regions with the greatest decrease in annual sales volumes during May include West Coast (down 32.3%), Manawatu/Wanganui (down 13.1%), and Canterbury (down 6.2%). Meanwhile, Tasman, Taranaki and Waikato had the strongest annual increase in sales volumes during May, up 19.7%,
7.3%, and 6.1% respectively.
According to REINZ CEO Bindi Norwell, the drop in the number of properties sold in May compared on the same time last year is not entirely surprising. There is a 50/50 split in increase and decrease in the number of properties sold annually among the regions. This, compared to a year ago where only 4 regions saw an increase in the number of properties sold, suggets that the OCR and capital gains back down may be starting to have some impact on the market, she noted.
“With median prices increasing in many parts of the country, real estate agents are still telling us that access to finance from the banks and saving that 20% deposit is impacting on some buyers’ ability to purchase a property,” Norwell added. “Auckland’s decline in the number of properties sold is a trend we’ve been seeing for a few months now, with likely causes including the fall in new listings, the foreign buyer ban and investors failing to add to their property portfolios with the ongoing changes in legislation.”
