Auckland Property Records Another Positive Month

Media Release

4 November 2005

Auckland Property Market Records Another Positive Month

The latest sales figures from leading Auckland real estate company Barfoot & Thompson show that October was another very positive month for the Auckland property market.

The average sale price increased significantly for the second month in a row, reaching $474,271, which is a new record for the company.

The volume of sales was down slightly at 970 compared with 1,071 in September. The top end of the market was particularly strong with 16 sales over $1.5 million recorded for the month. One in five sales was for $750,000 or more.

Director Peter Thompson says, “Our sales figures reflect the continuing level of demand for Auckland residential property. From our perspective, one of the key factors driving this growth is a shortage of listings. Although a traditional Spring flush of new listings onto the market has eased the shortage slightly, overall the shortage of stock continues.”

“Our experience is that this is contributing to higher prices being paid because those in the market to buy have reduced choice and are having to pay good prices to secure the property they want.”

“It’s interesting that these latest figures cover the post-election period when there was considerable uncertainty about the shape of the new government. It’s possible that contributed to the drop in the volume of sales.”

There is a mixed picture on the rental front this month. The average weekly rent is up significantly from $334 in September to $342 in October; however, the number of fresh lettings fell from 659 to 597 over the same period.

Barfoot & Thompson’s dominance in the Auckland rental market is demonstrated by the fact that it now has more than 7,000 properties under management.

ENDS

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