Property Market Update
Buyer confidence is continuing to grow as the positive sentiment from spring looks to continue into the start of the summer season. New listings in September were up 7.6% from August and within the Ray White Group sales volumes grew 36% for the month on last year.
Additionally, according to Reserve Bank figures, the New Zealand housing loan approvals have also been rising throughout October with the value of approvals up 33.7% on last year.
The increased confidence amongst buyers is linked both to the current low interest rates and a slight drop in mean asking price. Whilst we have seen months of rising property values, September asking prices were steadied, dropping 0.3% to $429.312 compared to last year.
Additional confidence levels are likely to be reached with the level of new listings coming onto the market rising in September for the first time in months. A total of 11,514 properties were listed for the month, up from the 10,365 in August showing a 7.6% increase. The seasonal spring trend of new listings remains true, showing a small 0.3% increase in listings when compared to September last year.
Whilst the current market generally speaking is a sellers environment, the Taranaki and West Coast regions are showing increases in inventory of homes on the market taking them above their respective long-term average. In addition Central North Island, Southland, and Otago indicate a more balanced market for buyers with these three regions sitting close to their respective long-term averages.
Data source:asking price, buyer confidence, property market, property values, real estate