Record Breaking Residential Property Figures

20 March 2002

Record breaking residential property
figures reflect NZ economic health - REINZ

The national median sales price for February 2002 is the highest month ever recorded, and the national sales volume is the highest since March 1996, according to the Real Estate Institute of New Zealand.

REINZ National President Mr Rex Hadley said that while the entire real estate industry will be thrilled with the results, the figures were not unsurprising given the current economic environment.

He said, “Residential property has always provided a ‘snapshot’ of the public’s attitude to the economic environment, and currently there are many positive influences at work. Net migration is well up, interest rates are still relatively low, job opportunities are increasing and there is significant growth in wages. New Zealanders are obviously feeling very confident and that’s reflected in the residential property market.”

The national median price for February was $186,000 compared to $175,000 for January and $173,500 for February 2001.

The national sales volume for February was 8,733 compared with 6,771 in January and the February 2001 figure of 6,182.

The last time the national sales volume was higher than this was in March 1996, at 10,056 sales.

Mr Hadley added that the national median price was in part a result of growth in both the rural and urban economies.

He said, “It has only been in recent times that the rural and urban economies have simultaneously been enjoying economic success. Previously, whichever one was facing financial hardship would experience lower sales volumes and sales prices, in turn pulling the national median price down. Currently, the rural economy is booming, providing vital income and jobs into regional towns and cities. Equally, urban confidence has recovered and the retail sector is booming. Together, rural and urban New Zealand has broken a record.”

Mr Hadley finished on a note of caution.

“The statistics for February are pleasing, but it would be unwise to expect that the sales volume or national median price to remain at this level throughout 2002. Economic indicators suggest that during 2002 New Zealand will experience strong growth, and as a result the Institute expects a very positive year for residential property, but we believe that it’s wise to resist comparing the rest of the years figures to this months record breaking result.”

-ENDS-

Real estate information is also available via the Institute's official property directory - RealENZ - on the Internet. RealENZ is a search facility providing comprehensive information on residential, lifestyle, rural, commercial, investment and rental properties. RealENZ's Internet address is: www.realenz.co.nz

For further information contact: Mr Rex Hadley, National President
The Real Estate Institute of New Zealand Inc
Mobile: (0274) 904 015

Issued by Sorensen Group Phone: (09) 307 1722
(029) 232 2576
Regional highlights:

NORTHLAND
A total of 225 homes changed hands in Northland, compared to 187 in January. The median price for the area was $155,000, down from both the $160,000 recorded in the previous month and the $156,000 for February last year, when 144 homes were sold.

AUCKLAND
In Auckland, 3,120 home settlements were recorded during February, up on the 2,288 recorded in January and up on the 1,895 homes that changed hands in February 2001. The median price for the region was $258,000 in February compared to $245,000 for January, and $247,000 recorded for February 2001.

On the North Shore, the median price rose to $290,000 for February from both the $268,000 recorded in January and the $269,000 recorded in February 2001. Home sales rose to 754 from the 442 in January 2002 and the 403 sales in February 2001.

A total of 349 homes were sold in Waitakere City, up from the 291 recorded last month and the 186 sales recorded last February. The median price was $208,500, up on both the $195,000 recorded in January and the $183,750 for February 2001.

In Auckland City 1,076 homes changed hands, well up from the 803 sales recorded in January and the 665 sales recorded in February 2001. The median price of $290,250 was up slightly on both the $280,000 recorded for January and the $288,000 recorded twelve months ago.

Home sales rose and the median sale price remained consistent on a month-to-month basis in Manukau City, with 525 homes changing hands at a median price of $250,000. This compared with 434 sales and a median price of $250,000 in January and 376 sales recorded last February at a median price of $232,000.

In the Papakura district, 75 homes changed hands, compared to 43 in January and 37 in the same month last year. The median price of $186,500 was down on both the $194,000 recorded in January 2001 and the $205,000 recorded for February 2001.

A total of 2,779 home settlements were recorded in Metropolitan Auckland, up from the 2,013 in January and the 1,667 recorded for the same month last year. The median price of $265,000 was up on both the $250,000 recorded for January 2001 and the $255,000 recorded for February 2001.

WAIKATO/BAY OF PLENTY/GISBORNE
Sales increased in the Waikato/Bay of Plenty/Gisborne region with 1,245 homes changing hands, compared to 925 in January. The median price was $166,000, compared with $165,00 in January and $163,000 in February 2001 when 889 homes changed hands.

HAWKE’S BAY
The sales volume and median price rose slightly in February with a total of 263 homes changing hands at a median price of $138,000, compared to $135,000 and 246 sales in January. This compared to 231 sales and a median price of $128,000 a year ago.

MANAWATU/WANGANUI
The sales volume in the region was up with 389 home settlements recorded in February compared to 297 in January and 315 in February last year. The median price of $114,000 was up on both the $98,250 of the previous month and the $113,000 recorded in February 2001.

TARANAKI
Sales volume rose on both a month-to-month and a year-to-year basis with 220 homes changing hands compared to 181 in January. The median price fell to $105,250 for February compared to $100,000 for January. The median sales price for February 2001 was $100,000 when 143 homes were sold.

WELLINGTON
The median price in the Wellington region rose to $200,000 from the $191,000 recorded in January 2002 and the $189,050 median in February 2001. The sales volume rose on the previous month and on a year-to-year comparison, with 1,111 recorded sales in February compared to 819 home sales in January 2001, and 908 sales in the same month last year.

NELSON/MARLBOROUGH
Sales volumes rose in February with 365 homes sold in the Nelson/Marlborough area, compared to 263 sales in January. However the median price of $147,500 was down on the $158,000 recorded in January, but firmed slightly from the $146,500 recorded last February when 275 homes were sold.

CANTERBURY/WESTLAND
The median price rose in the Canterbury region at $145,000 for February, compared to $140,000 in January but fell from the $147,000 recorded in February 2001. A total of 1,063 home settlements were recorded, up on the 909 recorded in January and up on the 810 sales recorded in February last year.

OTAGO
Sales volume rose in Otago on a month-to-month basis with 392 homes sold during February, at a median price of $109,500 compared to 357 sales and a median of $98,000 in January. In February last year 354 sales were recorded at a median price of $101,500.

SOUTHLAND
The median price rose in the Southland region from $80,000 in January to $85,500 in February. Sales volumes also rose, with 340 homes changing hands, compared to January when 299 homes were sold. This compared to a median of $79,000 last February when 218 homes changed hands.
REINZ PROPERTY MARKET REPORT

TOTAL DWELLINGS MEDIAN PRICE
COMPARISONS FOR FEBRUARY 2000-2002

REGION FEB00 FEB01 JAN02 FEB02
Northland 131,000 156,000 160,000 155,000
Auckland 240,000 247,000 245,000 258,000
Waikato/BOP/Gisborne 156,000 163,000 165,000 166,000
Hawkes Bay 127,000 128,000 135,000 138,000
Manawatu/Wanganui 112,000 113,000 98,250 114,000
Taranaki 112,500 100,000 100,000 105,250
Wellington 184,000 189,050 191,000 200,000
Nelson/Marlborough 145,750 146,500 158,000 147,500
Canterbury/Westland
(incl Sth Canterbury) 141,250 147,000 140,000 145,000
Otago 96,000 101,500 98,000 109,500
Southland 82,750 79,000 80,000 85,500
NZ Total $171,000 173,500 $175,000 $186,000

REINZ PROPERTY MARKET REPORT

TOTAL DWELLINGS MEDIAN PRICE
COMPARISONS FOR FEBRUARY 1996-1999

REGION FEB96 FEB97 FEB98 FEB99
Northland 110,000 126,000 140,000 135,000
Auckland 220,000 235,000 238,250 235,000
Waikato/BOP/Gisborne 131,250 142,000 147,750 153,000
Hawkes Bay 126,000 124,000 127,000 135,000
Manawatu/Wanganui 99,000 98,500 95,000 105,400
Taranaki 98,100 95,000 96,575 106,000
Wellington 140,000 145,000 166,000 175,000
Nelson/Marlborough 133,000 135,000 141,000 136,000
Canterbury/Westland
(incl Sth Canterbury) 133,500 136,000 138,500 147,500
Otago 100,000 107,873 89,500 93,000
Southland 75,000 83,750 66,000 82,500
NZ Total $153,500 $160,000 $160,000 $170,000

TOTAL DWELLING SALES FOR FEBRUARY 2000-2002

REGION FEB00 FEB01 JAN02 FEB02 Value of sales
FEB 2002
Northland 141 144 187 225 42,758,000
Auckland 2,014 1,895 2288 3,120 977,301,704
Waikato/BOP/Gisborne 962 889 925 1,245 235,069,938
Hawkes Bay 261 231 246 263 41,940,129
Manawatu/Wanganui 347 315 297 389 49,099,700
Taranaki 153 143 181 220 27,336,760
Wellington 1,002 908 819 1,111 249,969,402
Nelson/Marlborough 234 275 263 365 60,709,134
Canterbury/Westland
(incl Sth Canterbury) 838 810 909 1,063 180,460,422
Otago 277 354 357 392 55,913,296
Southland 163 218 299 340 46,736,937
NZ Total 6,392 6,182 6,771 8,733 1,967,295,422

TOTAL DWELLING SALES FOR JANUARY 1996-1999

REGION FEB96 FEB97 FEB98 FEB99
Northland 303 277 150 197
Auckland 3,877 2,815 1,553 2,261
Waikato/BOP/Gisborne 1,636 1,328 888 1,043
Hawkes Bay 224 227 191 232
Manawatu/Wanganui 421 347 298 379
Taranaki 229 161 146 173
Wellington 1,062 921 921 1,129
Nelson/Marlborough 305 247 212 288
Canterbury/Westland
(incl Sth Canterbury) 1,341 1,240 867 874
Otago 374 305 253 326
Southland 252 212 135 154
NZ Total 1,0024 8,080 5,614 7,056

MEDIAN PRICE BY DISTRICT FOR
FEBRUARY 2002

DISTRICT DWELLINGS SECTION
Northland 155,000 90,000
Auckland 258,000 118,000
Waikato/BOP/Gisborne 166,000 77,500
Hawkes Bay 138,000 73,500
Manawatu/Wanganui 114,000 44,000
Taranaki 105,250 46,000
Wellington 200,000 70,000
Nelson/Marlborough 147,500 82,000
Canterbury/Westland (incl. Sth Canterbury) 145,000 66,500
Otago 109,500 55,000
Southland 85,500 89,000
Total NZ $186,000 $85,000
* Dwelling includes houses, units, town houses, apartments, residential investment blocks and home and income.

AUCKLAND BY REGION FEB 1999 – 2002

Median
FEB 99 FEB 00 FEB 01 JAN 02 FEB 02
Nth Shore 245,000 260,000 269,000 268,000 290,000
Waitakere 195,000 205,000 183,750 195,000 208,500
Akl City 280,000 274,000 288,000 280,000 290,250
Manukau 226,500 236,000 232,000 250,000 250,000
Papakura 185,000 200,000 205,000 194,000 186,500
Metro Akl 238,000 245,000 255,000 250,000 265,000

Number Sold
FEB 99 FEB 00 FEB 01 JAN 02 FEB 02
Nth Shore 387 348 403 442 754
Waitakere 326 273 186 291 349
Akl City 816 677 665 803 1,076
Manukau 431 382 376 434 525
Papakura 59 61 37 43 75
Metro Akl 2,019 1,741 1,667 2,013 2,779

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