Harcourts Market Watch

Harcourts Market Watch.

Bringing you the latest news, fact and figures, specific to your local market.

REGIONAL OVERVIEW
The latest residential housing figures from New Zealand’s largest real estate group, Harcourts shows that written sales were up strongly throughout the country in April, including in Christchurch, which experienced renewed buyer activity after a few slower months.

Inventory levels throughout the country remain at lower levels than last year, except in Christchurch where the market has recovered from last year’s supply shortage. Average sale price in the garden city was up strongly on last year reflecting the sale of high-quality properties, which continue to attract a premium.

There is evidence of an increased level of investor activity in Wellington with sales volumes up 16.8% in the capital, while average sale price was down 4.0% indicating a higher volume of sales at the lower end of the market.

Huge sales volumes in Auckland/Northland were a key feature of Harcourts April sales figures. Harcourts CEO Hayden Duncan says that economic conditions, competitive mortgage packages and a growing population continue to fuel the property market in Auckland.

“We had a record month in March and sales volumes in April continued that positive trend. Despite rising prices, buyers have not been put off, indicating that most believe that prices will remain strong.”

An increased level of buyer activity has continued into April with written sales in Auckland/Northland up 41.3% compared to last year. Inventory levels for this time of year are low and we expect the average price to remain 10-15% above last year’s value throughout autumn and winter. It’s encouraging to see new listings up 11.4% as more investors and home owners look to realise the capital gains they’ve accrued on their properties over the past two years.

After a very strong March, property sales in the Bay of Plenty and Waikato were up again in April compared to last year. A noticeable decrease in new listings and property on hand will start to put pressure on the market if demand continues at its current level. With inventory at the lowest level recorded in some time, we expect to see average sale prices in the Central Region start to move upwards.

Sales consultants in the Wellington Region had a busy April with written sales up 16.8% compared to the same month last year. Average sale price was down 4.0% but this is likely due to more properties being sold at the lower end of the market reflecting an increased level of investor activity.

With inventory levels declining and demand increasing, vendors can expect to see a slight increase in sale prices overall compared to last year.

There was a lift in the Christchurch market in April with written sales up 16.1% compared to last year. Inventory levels are up 27.0% and this is fuelling a greater level of buyer activity than usual for this time of year.

With the level of stock available, the drop in April listings should not have much impact on the market. Average sale price is at its highest point in five years reflecting an increased volume of sales of high-quality properties, which continue to attract a premium in the garden city.

Sales activity in the South Island was stronger than normal for April with written sales up almost one third compared to last year. Inventory levels are at significantly lower levels than last year and new listings remain relatively steady. Average sale prices have been consistently up over the past few months, which will be encouraging for vendors.

Wellington Apr 2015 Apr 2014 Change
Total Listings 343 323 6.2%
New Auctions 43 30 43.3%
Property on Hand 1415 1663 -14.9%
Written Sales 320 274 16.8%
Average Sale Price $379,204 $393,361 -4.0%

Christchurch Metro Apr 2015 Apr 2014 Change
Total Listings 457 539 -15.2%
New Auctions 132 155 -15.8%
Property on Hand 2114 1664 27.0%
Written Sales 403 347 16.1%
Average Sale Price 529,436 476,700 11.0%

Auckland/Northern Apr 2015 Apr 2014 Change
Total Listings 644 578 11.4%
New Auctions 279 263 6.1%
Property on Hand 1652 1960 -15.7%
Written Sales 660 467 41.3%
Average Sale Price $795,429 $695,730 14.0%
Central Apr 2015 Apr 2014 Change
Total Listings 352 415 -15.2%
New Auctions 71 72 -1.4%
Property on Hand 1797 2292 -21.6%
Written Sales 445 355 25.4%
Average Sale Price $346,523 $337,283 3.0%

South Island Provincial Apr 2015 Apr 2014 Change
Total Listings 252 246 2.4%
New Auctions 9 24 -62.5%
Property on Hand 1525 1772 -13.9%
Written Sales 233 177 31.6%
Average Sale Price $341,729 $333,778 2.0%

ENDS

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