The REINZ monthly property report has shown in Auckland, the number of properties sold in March fell by -18.2% year-on-year (from 2,451 to 2,006) – the lowest for the month of March since 2008.
Banks continue to remain competitive with their mortgage rates and there is a high chance of an OCR cut in the near future. However, the uncertainly surrounding the CGT (capital gains tax) legislation are having an impact on the housing market with many taking a 'wait and watch' approach.
Median house prices
Across New Zealand increased by 4.5% in March to a record $585,000, up from $560,000 in March 2018. Median house prices in Auckland were the highest Auckland has seen for three months although compared to the same time last year, this number fell by 2.7% to $856,000 – down from $880,000
Note: Auckland’s 2.7% decrease in median price to $856,000 is partly a result in the number of properties sold for more than $2 million which fell from 8.1% of the market in March 2018 to 5.5% in March 2019. This median price has just continued to hover around the $850,000 mark – the same thing we’ve seen for nearly three years now suggesting that perhaps the Auckland market has found its ‘new normal’ for the time being.
Days to Sell drops significantly since February
Auckland saw the median number of days to sell a property increased by 5 days from 37 to 42 when compared to the same time last year, but this was a drop of 15 days when comparing to the previous month.
The number of homes sold for less than $500,000 across New Zealand fell from 41.8% of the market (3,328 properties) in March 2018 to 38.5% of the market (2,668 properties) in March 2019.
The number of properties sold in the $500,000 to $750,000 bracket increased from 29.0% in March 2018 (2,307 properties) to 30.5% in March 2019 (2,113 properties).
At the top end of the market, properties sold for $1 million or more decreased from 15.5% in March 2018 (1,232 houses) to 14.8% in March 2019 (1,029 houses). Source
Manukau features as one of the top 10 suburbs where the property market is about to boom. Read more here.