Lifestyle market picks up in autumn

Value of lifestyle properties sold was $5.82 billion, figures show

Lifestyle market picks up in autumn

The New Zealand lifestyle market has shown a significant pick up in sales for the three months ended in April, new figures show.

According to the Real Estate Institute of New Zealand (REINZ), lifestyle property sales were up 11.9% month-on-month. Overall, there were 1,922 lifestyle property sales in the three months ended April 2018, compared to 2,156 lifestyle property sales for the three months ended April 2017 (-10.9%), and 1,717 lifestyle property sales for the three months ended March 2018.

In the year to April 2018, there were 7,349 lifestyle properties sold, down 16% from the previous year. The value of lifestyle properties sold was $5.82 billion for the year to April 2018.

The median price for all lifestyle properties sold in the three months to April 2018 sits at $650,000 and was $15,000 higher compared to the three months ended April 2017 (+2.4%).

“Sales data for lifestyle properties covering the three-month period ending April 2018 shows a substantial lift in volumes over recent periods, albeit equally down on the same period in 2017,” REINZ rural spokesman Brian Peacocke said. “Nevertheless, the combination of volumes and the relentless increase in the median sales price to $650,000 for April highlight how significant the lifestyle sector is within the property portfolio of New Zealand real estate.”

Four regions recorded an increase in sales compared to April 2017. Canterbury and Gisborne recorded the most substantial increase in sales (+10 sales) for the current reporting period. Compared to March 2018, twelve regions recorded an increase in sales.

Over the year, West Coast (+99%), Wellington (+31%) and Waikato and Manawatu/Wanganui (+15%)  saw increase in median price of lifestyle blocks by 99%, 31% and 15% respectively. Gisborne was an exception; its median price fell 10% over the year.

The median number of days to sell for lifestyle properties sits at 62 days.