Southland property market has reached an all-time high with a 21% growth in the average asking price, according to RealEstate.co.nz.
Property prices in the region have reached the second-highest growth in New Zealand in 2019, with the average asking prices for properties in the region jumping from $309,053 to $374,636. The most expensive house being advertised on the property website is a three-bedroom Waikiwi home listed by Southland Real Estate for $1.5 million in September 2019.
Vanessa Taylor, sales and marketing head at RealEstate.co.nz, said the figure is the highest price that they have seen since they started keeping record 13 years ago.
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The increase may have been driven by the 40% fewer homes for sale in the region compared to the previous year – with RealEstate.co.nz recording an 11% drop in listings with only 138 Southland homes advertised on its website in December 2019.
“Low stock, teamed with high asking prices sees us close out the decade as a strong sellers' market,” Taylor said, as reported by Stuff.co.nz.
She also noted the country’s growing population, predicting that the country will grow by 60,000 people per year over a 10-year span.
“In 2020, the total population of New Zealand is estimated be nearing or exceeding 5,000,000, so we might see this stock shortage continue for some time,” Taylor said.