Home sellers underperform expectations for the first time in record six months, according to Trade Me
Kathryn George/staff
According to the latest Trade Me Property Price Index, real estate asking prices have fallen for the sixth month in a row.
According to the latest Trade Me Property Price Index, the national average asking price of real estate fell for the first time on record for the sixth consecutive month.
Gavin Lloyd, director of sales for Trade Me Property, said the average nationwide asking price last month was $896,200.
“Compared to the previous month, this is a $3,000 drop and average New Zealand property prices are at their lowest level since October 2021,” he said.
“September’s monthly price drop was smaller than previous months, but the consistent drop says a lot about what’s going on in the market.
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The Marlborough, Otago and Taranaki regions saw the biggest declines in September, with average asking prices all down 2% month-over-month.
“It’s amazing to think that the average asking price for the Bay of Plenty was over $1 million in February and is now at $937,300,” said Lloyd.
Prices fell in most regions in September, but there were a few exceptions.
Kelly Hodel/Staff
Waikato faces a shortfall of 75,000 homes over the next 40 years, says Nick Green of the Waikato Housing Initiative. His 20% of these homes should be “truly affordable.”
The Nelson/Tasman region saw an average asking price increase of 2%, while the Waikato, Hawke’s Bay, Southland and Canterbury regions all saw an average asking price increase of 1% compared to the previous month.
Lloyd said prices could continue to fall.
“The current market conditions are going to be an interesting summer period. There is potential,” he said.
About this time last year, September’s average national asking price was up 5% year-over-year, the smallest annual increase since April 2020.
In addition to falling prices, property supply also surged in September.
Compared to the same month last year, Lloyd said the number of listings on the site surged by 67%.
“In fact, there were more properties for sale last month than in a record September.”
The Nelson/Tasman region (+96%) nearly doubled capacity year-on-year, while Waikato (+90%), Northland (+83%) and the Bay of Plenty (+82%) ) area was not far. behind.
However, there was a 1% drop in national listing views in September.
“The Auckland region defied the trend last month with demand jumping 13% year-on-year.”
West Coast (+6%), Wellington (+4%) and Bay of Plenty (+3%) are the only other regions to see increased demand in September compared to the same month last year.
Wellington prices also fell for the first time on an annual basis, with the region’s average asking price hitting a record year-over-year decline in September, dropping 3% to $865,350.
In the Wellington City area, the average asking price dropped below $1 million for the first time in a year, at $976,300.
Meanwhile, Oakland prices remained above $1 million, with an average September asking price of $1,124,000, making it the only region in the country to exceed $1 million.
https://www.stuff.co.nz/business/property/130202380/housesellers-drop-expectations-for-six-consecutive-months-for-the-first-time-on-record-trade-me-says.html Home sellers underperform expectations for the first time in record six months, according to Trade Me