Residential Real Estate – Steady As She Goes

FOR IMMEDIATE RELEASE

News Release 11 December 2008

Residential Real Estate – Steady As She Goes

Prices are stable in an unsurprisingly slow residential real estate market, November sales figures released by the Real Estate Institute of New Zealand (REINZ) today show.

Institute president Mike Elford believes the reduced number of sales compared to the October figures is the result of a combination of factors including the general election and the global economy.

“Not surprisingly, some people are taking a wait-and-see approach and it is normal for things to slow down during a general election,” Mr Elford said.

“People are also watching for the effect of the interest rate cuts to come into the equation. There are many people who are still locked into fixed rates so it may be a while before these benefits can be felt.”

Mr Elford said it was unfortunate, especially for first home buyers, that now the home affordability is the best it has been for a long time, buyers may find themselves facing stricter lending criteria.

Despite the slowing of the number of sales – total dwelling sales dropping from 4,469 in October to 4,279 in November – property median prices are holding.

The national median house price for November was $337,500 compared with $335,000 in October and $352,000 for the corresponding period in 2007.

This represents a percentage decrease in median house price values nation-wide of 4.11 percent in November compared with November 2007. Regionally, five districts recorded increases in median house price values – Northland (4.71%), Hawkes Bay (6.36%), Manawatu/Wanganui (0.65%), Nelson/Marlborough (1.65%) and Central Otago Lakes (10.46%). Of the regions that fell, the greatest drop was Southland (-21.06%). Other decreases were Auckland (-5.55%), Waikato/BOP (-6.41%), Taranaki (-5.45%), Wellington (-6.58%), Canterbury/Westland (-4.29%) and Otago (-5.10%).

The median number of days to sell a property remains stable at 44 days compared with the October figure of 47 days and 36 days in November 2007.

Mr Elford said, “The message I am hearing frequently is that there continues to be strong demand for well priced stock.”

ENDS

REINZ_Residential_Market_Report_Stats_November_2008.pdf

For more real estate information and market trends data, visit www.reinz.co.nz . For New Zealand's most comprehensive range of listings for residential, lifestyle, rural, commercial, investment and rental properties, visit www.realestate.co.nz - REINZ's official property directory website.

Explanatory Note:
The monthly REINZ residential sales reports remain the most contemporary and up-to-date statistics on house prices and sales in New Zealand. They are based on actual sales reported by real estate agents. These sales are taken as of the date that a transaction becomes unconditional.

Other surveys of the residential property market are estimates only of property value, based on information from Territorial Authorities regarding settlement and the receipt of documents by the Authority from a solicitor. As such, this information involves a lag of four to six weeks before the sale is recorded by the Territorial Authority.

REINZ sales figures are recorded on the day a transaction is concluded and includes sales as of 5:00pm on the last business day of the month.

Click to enlarge

Residential Highlights – November 2008

Northland
In total, 93 houses sold in Northland in November (October 2008:109; November 2007:174). The median price fell to $322,000 from $336,000 in October (November 2007: $305,500).

16 houses sold in the Whangarei County area (October 2008:seven; November 2007:23). The median price dropped back to $430,000 from $850,000 in October (November 2007: $372,500).

35 houses sold in Whangarei City in November, down on the 45 sold in October (November 2007:84). The median was also down at $300,000 (October 2008: $336,000; November 2007: $327,750).

Auckland
The median house price in Auckland eased to $425,000 in November, from $433,000 in October (November 2007:$450,000). 1,411 houses sold in November, compared with 1,371 sold in October (November 2007:2,434).

The median sale price for a North Shore City home increased to $513,250 in November. (October 2008:$505,000; November 2007: $540,000). 266 houses sold during the month, up on the 249 sold in October; November 2007: 407).

Sales volume was up in Waitakere City in November with 187 sold (October 2008: 173; November 2007: 317). The median price rose to $375,000 (October 2008: $390,000; November 2007: $384,000).

The median price for an Auckland City house decreased to $448,000 in November (October 2008: $472,000 and November 2007: $487,000). 467 houses sold in November, up two on the 465 sold in October 2008 (November 2007:837).

306 houses sold in Manukau City in November (October 2008:281; November 2007:485). The median price was up slightly at $417,000 from $416,000 in October (November 2007: $438,000).

Sales numbers declined in Papakura with 40 houses sold (October 2008:50; November 2007:94).The median price remained steady at $301,000 (October 2008: $301,000; November 2007: $340,000).

The median price for a Metropolitan Auckland house fell to $428,500 in November, down from $439,250 in October (November 2007: $453,000). 1,266 houses sold (October 2008:1,218; November 2007:2,140).

66 houses sold in Rodney District, down on the 77 sold in October (November 2007:141). The median price increased to $455,000, from $435,000 in October (November 2007: $495,000).

The median price for a Franklin District home increased to $385,000, in November, from $367,500 in October (November 2007: $390,000). 37 houses sold, down from 46 in October 2008 (November 2007: 84).

39 houses sold in Thames/Coromandel in November, up on the 30 sold in October (November 2007:69). The median price also increased to $380,000 from $370,000 in October (November 2007: $415,000).

The median price for an Outer Auckland home was up slightly at $401,000 in November, from $400,000 in October (November 2007: $440,000). 145 houses sold, down from the 153 sold in October (November 2007:294).

Waikato/Bay of Plenty/Gisborne
The median price for a house in the Waikato/Bay of Plenty/Gisborne region was down at $302,050 in November (October 2008: $315,000; November 2007:$322,750). 606 houses sold, a drop from the 678 sold in October 2008 (November 2007:1,142).

Sales were down in Waikato Country in November with 92 houses sold (October 2008: 110; November 2007:238). The median price rose to $275,000 (October 2008: $250,000; November 2007: $269,000).

The median price for a Hamilton City house dropped to $320,000 in November, from $343,000 in October (November 2007: $332,125). Sales volume was down, with 170 houses sold in November 2008 (October 2008: 194; November 2007: 236).

Sales volume was also down in Western Bay of Plenty Country with 31 houses sold, a decrease on the 47 sold in October. The median price was down at $310,000 from $360, 000 in October. In November 2007, 75 houses sold with a median sale price of $410,000.

The median price for a house in Mt Maunganui/Papamoa increased to $415,000 in November, from $398,750 in October (November 2007: $420,000). 50 houses sold, down on the 52 sold in October 2008 (November 2007: 95).

91 houses sold in Tauranga in November, down from the 95 sold in October (November 2007:146). The median price decreased to $323,500, from $340,000 in October (November 2007: $392,500).

Rotorua’s median price was down to $221,000 in November, from $250,000 in October (November 2007: $260,000). 76 houses sold, up on the 65 sold in October (November 2007:122).

30 houses sold in Taupo in November, an increase on the 24 sold in October (November 2007:60). The median price fell from $351,000 in October to $312,250 in November (November 2007: $336,000).

The median price for a King Country home rose to $185,000 in November (October 2008: $159,500; November 2007: $138,250). Seven houses sold, down from the 11 sold in October (November 2007:22).

The median price for a Gisborne City home rose to $241,500 from $225,000 in October (November 2007: $261,000). 40 houses sold, an increase from the 33 sold in October (November 2007:68).

Two houses sold in Gisborne Country in November (October 2008: two; November 2007:three). The median price was $285,000 compared to $202,500 in October 2008 (November 2007: $187,000).

The median price for a house in Eastern Bay of Plenty Country dropped back to $250,000 in November, down from $318,000 in October (November 2007: $275,000). 17 houses sold, down on the 45 sold in October. 77 sold in November 2007.

Hawkes Bay
Sales volume was up in the Hawkes Bay in November with 147 houses sold (October 2008:122; October 2007: 267). The median price increased to $292,500 (October 2008: $264,000; November 2007: $275,000).

The median price for a house in Napier City reached $293,026 in November (October 2008: $284,150; November 2007: $320,000). 56 houses sold in November (October 2008:47; November 2007:100).

58 houses sold in Hastings City in November 2008, up from 51 in October 2008 (November 2007:117). The median price was up at $287,500 from $265,000 in October (November 2007: $270,100).

Hawkes Bay Country’s median price jumped to $382,500 in November, from $265,000 in October (November 2007: $235,000), with 16 homes sold in November (October 2008: five; November 2007:15).

Manawatu/Wanganui
The median price for a house in the Manawatu/Wanganui districts eased slightly to $229,500 in November (October 2008: $230,000; November 2007: $228,000). 222 houses sold in November, down on the 245 sold in October (November 2007:388).

The median sales price for a house in Palmerston North City fell to $255,000 in November. (October 2008: $279,000; November 2007: $293,000). 105 houses sold (October 2008:115; November 2007:153).

Sales increased in Manawatu Country with 24 houses sold (October 2008:21; November 2007:43). The median price eased slightly to $187,500 from $189,000 in October (November 2007: $210,000).

The median price in the Manawatu decreased to $238,500 in November (October 2008: $249,000; November 2007: $235,750). 176 houses sold (October 2008:194; November 2007:276).

36 houses sold in Wanganui City in November, up one from the 35 sold in October (November 2007:86). The median price increased to $187,500 from $175,000 in October (November 2007: $191,000).

The median sale price in Wanganui rose to $182,000 in November, from $170,000 in October (November 2007: $186,250). 46 houses sold, a decrease on the 51 sold in October 2008 (November 2007:112).

Taranaki
The median price for a house in Taranaki fell to $260,000 in November (October 2008: $285,000; November 2007:$275,000). 135 houses sold, down on the 145 sold in October (November 2007:217).

21 houses sold in the Taranaki Country area in November (October 2008:19; November 2007:31). The median price dropped to $210,000 from $250,000 in October (November 2007: $233,000).

The median sale price for a New Plymouth City house increased to $310,000 (October 2008: $302,000; November 2007: $311,000). 63 houses sold in November (October 2008: 79; November 2007:104).

Wellington
Wellington’s median price remained steady at $369,000 in November (October 2008:$369,000; November 2007: $395,000). 509 houses sold, compared with 489 sold in October (November 2007:1,009).

33 houses sold in the Wairarapa in November (October 2008: 36; November 2007:68). The median price eased slightly to $252,500 from $254,000 in October (November 2007: $272,500).

The median price for an Upper Hutt house was down at $310,075 (October 2008: $330,000; November 2007:$322,000). 46 houses sold, down on the 53 sold in October (November 2007:113).

90 houses sold in the Hutt Valley (October 2008: 101; November 2007:184). The median price rose slightly to $327,000 from $320,000 in October 2008 (November 2007: $341,450).

The median price for a house in Otaki/Paekakariki decreased to $320,000 in November (October 2008: $346,000; November 2007: $350,000). 76 houses sold (October 2008:72; November 2007:143).

68 houses sold in Pukerua Bay/Tawa in November, an increase on the 52 sales in October (November 2007:97). The median price increased to $392,500 from $365,250 in October (November 2007: $416,000).

Sales numbers in Central Wellington climbed to 44 from 38 in October 2008. (November 2007:104). The median price slipped to $372,500 , from $391,500 in October (November 2007: $447,850).

Nelson/Marlborough
The median price for a Nelson/Marlborough house increased to $338,500 in November (October 2008:$325,000; November 2007: $333,000). 154 houses sold (October 2008:158; November 2007:313).

59 houses sold in Nelson City in November (October 2008:51; November 2007:112). The median price rose to $330,000 from $315,000 in October (November 2008: $315,000)

The median price for a Nelson Council zone house decreased to $321,000 in November (October 2008: $328,500; November 2007: $330,000). 95 houses sold (October 2008:95; November 2007:203).

59 houses sold in Marlborough in November (October 2008:63; November 2007:110). The median price increased to $350,000 from $320,000 in October (November 2007:$334,000).

Canterbury/Westland
Sales volume dipped in Canterbury/Westland with 607 houses sold in November (October 2008:740; November 2007:1,177). The median rose slightly to $300,500 from $292,000 in October (November 2007: $314,000).

The median price for a house in Christchurch City rose to $32,000 in November, from $310,000 in October (November 2007: $340,000). 430 houses sold (October 2008:489; November 2007:794).

The median price for a home in Rangiora eased to $290,500 in November (October 2008: $295,000; November 2007: $322,500). 22 houses sold, down on the 37 in October 2008. November 2007:42).

The median price for a North Canterbury house dipped to $298,500 in November, from $310,000 in October (November 2007: $312,500). Ten houses sold, up one on the nine sold in October (November 2007:26).

The median price for a Canterbury Country home rose to $370,000 in November, from $350,000 in October (November 2007: $392,500). 26 houses sold (October 2008: 39; November 2007:60).

22 houses sold in Mid Canterbury in November (October 2008:29; November 2007:49). The median price fell to $255,000 from $265,000 in October and $247,500 in November 2007.

Sales dropped in Timaru in November, with 34 houses sold (October 2008: 53; November 2007:80). The median price dropped back to $200,000 in November, from $243,000 in October (November 2007: $236,000).

The median price for a house on the West Coast increased to $224,000 in November from $202,000 in October (November 2007: $188,000). 19 houses sold, down on the 28 sold in October (November 2007:61).

177 houses sold in Outer Canterbury in November (October 2008: 251; November 2007:383). The median price rose to $260,000 in November from $252,000 in October (November 2007: $258,000).

Central Otago Lakes
69 houses sold in November, down on the 79 sold in October (November 2007: 120). The median price remained steady at $475,000 in November, (October 2008: $475,000; November 2007: $430,000).

The median price for a house in Central Otago increased to $440,000 in November (October 2008: $395,000; November 2007: $385,000). 33 houses sold (October 2008: 39; November 2007:65).

Sales volume eased in Queenstown with 36 houses sold in November, down from the 40 sold in October (November 2007:55). There was no movement in the median price at $500,000 (October 2008: $500,000; November 2007: $485,000).

Otago
203 houses sold in Otago in November, up two on the 201 sold in October (November 2007:370). The median price eased to $223,000 from $230,000 in October (November 2007: $235,000).

Sales volume was up in North Otago with 32 houses sold (October 2008: 26; November 2007:47). The median dipped to $187,500 from $221,500 in October (November 2007: $190,000).

The median price in Dunedin City decreased to $232,500 in November from $240,000 in October (November 2007:$255,000). 153 houses sold (October 2008: 157; November 2007:293).

The number of sales was down two in South Otago with 13 houses sold (October 2008: 15; November 2007:25). The median price rose to $190,000 from $140,000 in October (November 2007: $140,000).

Five houses sold in East Otago in November, with a median price of $245,000 compared with three sales in October with a median of $122,000. (November 2007: five sales with a median of $150,000).

Southland
Sales volume was down in Southland with 123 houses sold (October 2008: 132; November 2007:226). The median price fell to $165,000 from $198,500 in October (November 2007: $209,025).

Sales volume rose slightly in Invercargill, to 89 (October 2008: 86; November 2007:154). The median price dipped to $175,000 (October 2008 $188,750; November 2007: $207,000).

The median price for a house in Gore fell to $120,000 in November from $182,500 in October (November 2007: $182,500). 13 houses sold during the month, down on the 22 sold in October 2008 (November 2007: 24).

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