Auckland’s median house price jumps: REINZ

Auckland’s median house price jumps: REINZ
Auckland’s median house price jumps: REINZ

The REINZ has released its house price data for October, which revealed that Auckland’s median house price jumped by 5.2 percent to $868,000 to be up by 16 percent year-on-year and hitting the highest level on record.

Nationally, house prices fell by 1 percent over October, but were up by 10.9 percent year-on-year: 

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Auckland’s median house price jumps: REINZ

 

Bryan Thomson, REINZ spokesperson said Auckland experienced a lot of strength in the upper end of the market but the lower end appears to be wavering due to the impact of LVRs.

"The national sales volumes fell by 14 percent in October compared to the same time last year and the number of properties for sale as measured by realestate.co.nz has fallen by almost 7,400 over the past year," he said.

“Our data suggests that the impact of the revised LVR rules is having more of an effect on lower-priced sales compared to higher priced sales, with a surge in the percentage of sales over $1million and a noticeable decline in the number of sales below $400,000 compared to 12 months ago.

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Auckland’s median house price jumps: REINZ

 

"Some of this change may be reflective of the overall uplift in prices over the past year as the market for higher-priced properties is continuing as normal, but the market for lower priced properties is becoming more difficult for both buyers and sellers.

“There is some evidence that the normal spring ‘bounce’ in the number of listings has so far been quite weak this year. One possible reason for this is that the revised rules could be making it harder for people to know whether to sell, as they wonder if there are buyers about, so they hold their properties back from the market. This could have the result that we’re seeing, which is that supply falls but the demand is still there, so prices keep rising.”

Tags: 
New Zealand Residential Sales

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