Auckland Property – Volume Down But Prices Hold

Media Release
11 August 2004

Auckland Property Market – Volume Down But Prices Hold

The latest sales figures from leading Auckland real estate firm Barfoot & Thompson indicate that while the Auckland property market is slowing, prices are holding steady.

Director Peter Thompson says, “The average sale price pulled back slightly during July to $425,850 from $429,739 in June. However, when you take an average of the past three months, prices were 18 percent ahead of a year ago and almost 9 percent ahead of the three months to April.”

“Almost 40 percent of our sales were for prices in excess of $500,000 and we sold 32 properties for a million dollars or more.”

“While prices held, the total number of sales dropped off during the month. Barfoot & Thompson sold 887 properties during July, the lowest July result since 2001 and a third fewer than the same month last year.”

“This clearly indicates an easing in the Auckland residential market, but it’s very interesting to see that average price data is still relatively firm, which matches the feedback we are receiving from our salespeople in the field.”

“I believe the overall message from our July sales figures is that there are clear indicators of a slowing in the Auckland property market but turnover rather than price is being affected.”

The rental market was firm during July with the average weekly rental lifting for the third month in a row to reach $330 per week. 654 houses and units were let, making July the fourth busiest month for Barfoot & Thompson’s rental division this year.

ENDS

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