Property prices in New Zealand have increased by a third since 2015, according to Trade Me’s latest report.
The Trade Me Property Price Index showed that the national average asking price increased by 2.2% to $677,900 in February 2020 compared to the same month last year. The average prices of all types of homes across the country also hit a record high, with small and large house prices having increased by 6% compared to last February.
“Medium-sized three to four-bedroom house prices also grew, with the median asking price up 3% to $680,300,” Nigel Jeffries, head of Trade Me Property, said. “The asking prices on apartments and units nationwide have reached record highs of $696,100 and $457,950, respectively. Following the national trend, apartments and units in the Wellington region hit new highs of $579,900 and $468,250, respectively.”
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Jeffries explained that it is too early to predict how the COVID-19 (coronavirus) pandemic would impact the property market.
“It really depends on how this plays out over the next few weeks,” he said. “While we know that the markets have slowed significantly in countries where the virus is widespread, our government has put some strong measures in place that may mean New Zealand sees a different impact.”
“We have not seen a reduction in listings to date, and buyer demand onsite is still very strong – two signs that the market is in a good place at the moment. We also know that agents right around the country are taking precautions to enable Kiwis to operate safely and continue to buy and sell a property.”