Property market bounces back

by Kelly Gregor08 Nov 2017
After a slow start to spring, the property market bounced back in October with the national average asking price climbing 2.7% on last month to $623,700, the latest Trade Me Property Price Index reveals.

Head of Trade Me Property Nigel Jeffries said after five months of slow movement and low stock, the market has finally sprung back into action. “It’s early days but it seems that Spring has finally arrived for the New Zealand property market.

“Usually by this time of year we expect to see the property market in full swing, but with the election in play it’s pushed everything back. We’re starting to see some of the movement we’d normally expect in this peak buying and selling season.

“Now is a great time for both buyers and sellers. There is a strong demand for properties across the country with the average number of views up 7%on last October. We have also seen a surge of new listings, with 30% more listings coming onto the market than in September which will give prospective buyers a reason to smile.

“It’s still too early to say if our new Labour-led government has had any impact on property prices but we are seeing signs that the market is starting to revive from those election jitters,” Jeffries said.

Auckland bounces back
“After five months of slowing down, the Auckland property market is back in action with the average asking price up 2.2% on last year to $916,900, not too far off the record average

The average number of views on property listings in Auckland are up 10% on October last year which will be welcome news for prospective sellers.

Wellington gains momentum
Homeowners in Wellington continue to have plenty of reasons to smile after the average asking price in the region rose 11.7% on last year to a new high of $548,500.

Jeffries said: “It’s a great time to sell your house and a tough time for first home buyers. We are seeing plenty of demand from buyers in the region, and from a seller’s perspective there’s not too much competition. That sort of equation means that sellers should hope for top dollar for their properties and buyers are going to have to dig deep to get that place they want.”

Central North Island stands strong
Jeffries added that almost all the provinces were in positive territory in October with some experiencing record high asking prices.

“The central North Island continues to be a strong performer with the Hawke’s Bay, Manawatu and Waikato all reaching record average asking prices in October, climbing to $487,300, $309,700 and $534,900 respectively.”

In the South Island, Marlborough saw the highest annual increase of $51,500 to a record average asking price of $464,650.

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