Yesterday, the NZ Government released its pre-election budget and those first-home buyers looking for a leg-up onto the property ladder could be forgiven for feeling a little hard done by.
In terms of housing affordability, the Government’s sole measure was the temporary suspension of tariffs and duties on building products which they claim will reduce the cost of a standard new home by $3500.
As to be expected, Opposition parties have attacked yesterday’s budget with Labour leader David Cunliff, claiming it showed “no vision and very little substance” adding that it offered “nothing for first-home buyers”.
The Government hit back with the suggestion that any “gimmicks or tricks” aimed at getting first-home buyers into the property market would do nothing but increase demand.
First-home buyers not exactly jumping for joy.
So what’s been happening around the country with the property market? Here’s an overview of some of the various property statistics published for the past month…
Asking prices ease: There has been a slight ease in the national asking price to $477,460 after the record high of $484,263 reached in March.
New listings drop: The number of new national listing was down -18% on the previous month, although slightly higher when compared to previous years, with a 2% increase to what was seen in April 2013.
Inventory levels recover: The inventory of unsold homes on the market continues to recover rising another 3% from March and 8% on the previous year, although historically, levels are still below the long term average inventory of 37 weeks.
View regional summaries and full commentary here.
Barfoot & Thompson‘s latest market update reports Auckland residential propriety prices cooling slightly during April, with sales down 15% over the same time last year.
Managing Director, Peter Thompson, said this was customary due to the Easter, Anzac Day and school holiday period, but a higher than normal number of listings (3623) was also adding to market competitiveness.
and from the Real Estate Institute of NZ:
From figures released on 12 May, REINZ reporting a sales volume fall in April with 5,670 dwellings sold in 2014 (down 22.5% on the previous month, & 20.2% on April 2013)
All regions saw declines in sales compared to march 2014 and april 2013.
The National, Auckland and Christchurch House Price Indices all recorded record highs in March 2014.