Property prices still sticking at lower end
The Northland property market is "bumping along the bottom", a Northland property expert says.
"We haven't seen any massive price changes here in the last month," QV Northland spokesman Bruce Wiggins said.
The median price for a house sold in Northland in September was $285,750, down slightly from $298,000 in August and $290,000 for September last year. There were 128 houses sold last month, down from 144 in August and 143 for September 2011, but Mr Wiggins said there was renewed interest in lifestyle blocks.
"Those have been selling quite well recently, but the reality is those sales aren't translating to much change in value or price," he said. "We've got something in the order of 1800 properties on the market, which is a hell of a lot of stock."
Spring buyers were entering the market but that was yet to translate into higher prices, Mr Wiggins said.
"There's so much to choose from people really can afford to be a bit choosey about what they want to buy. Until such time as pressure comes on to the stock, prices really aren't going to go too far."
The QV index for September, shows residential property values have continued to edge higher nationally - with a shortage of listings and strong buyer demand.
House values are up 1.8 per cent over the past three months and up 5.3 per cent during the last year. QV research director Jonno Ingerson said nationwide values had slowly increased, but the rise had to be viewed in context.
"The current value increase is also being driven largely by Auckland and Canterbury. If those two areas are excluded, then values across the rest of the country have only increased by around 1.5 per cent over the past year."
While values were just above their 2007 peak, when adjusted for inflation they had dipped 12 per cent, Mr Ingerson said.
Meanwhile, the Real Estate Institute of New Zealand (REINZ) Residential Market Report for September also showed a shortage of new listings had caused buyers to make rapid decisions, lifting house prices around the country. "The traditional rush of spring listings has not eventuated this year and the market is tightening as buyers face a limited choice of offerings," REINZ chief executive Helen O'Sullivan said.
Massey University's Home Affordability Report - also released this week - showed buying a home has become more affordable in every part of the country except Auckland.
APNZ
