The Winter Solstice arrives this weekend, marking the shortest day and longest night for us here in the Southern Hemisphere. Yes, scarily enough, we’re already half way through the year.
Looking back at the property market during May, recent commentary suggests that the Reserve Bank’s loan to value restrictions have had an impact on sales volumes around the country, with a noticeable cool in demand compared to the same time in 2013.
However the average asking price remains at record high levels during May. Are seller’s just being unrealistic in their price expectations, or are we finally seeing a movement towards a buyers market?
Realestate.co.nz – NZ Property Report
Auckland’s asking price was barely a drop from the new record set in April of $685,426, once again dragging the national average asking price up to $483,524 (only marginally below the record of $484,263 set in March). Inventory levels are still steadily recovering, with more than 40,000 homes for sale across the country as at 31 May and 10,745 new listings.
Barfoot & Thompson
The Auckland housing market has decelerated coming into the winter months, with Barfoot & Thompson’s figures showing a decrease is the number of properties sales in May 2014 (1109 ) compared to the same time last year (1284 ). A total of 1,318 new listings in May (down 19% on April) and with 3,498 properties on their books, Barfoot & Thompson recorded their second lowest number in May for more than 10 years.
Real Estate Institute of NZ:
There were 6,752 unconditional residential sales in May recorded from REINZ data. Although this was a 15.9% increase on sales recorded for April, compared to the same time last year, sales were down 14.8%.
All but one region recorded an increase in sales compared to April, and all regions saw a decline in sales compared to their figures from May 2013. Overall, sales volumes continue to trend down, with prices holding steady.