Sharechat Logo

NZ house sales rise from 26-year low; prices steady: REINZ

Friday 10th October 2008

Text too small?
New Zealand house sales rose from a 26-year low in September and the median price was unchanged, reflecting a seasonal pick-up with the arrival of warmer weather.

Some 4,499 houses sold last month, the Real Estate Institute said in a statement. The national median house price was steady at NZ$330,000.

"The relatively small increase in the number of properties sold indicates a slight degree of recovery, but that is what we would expect in a spring market after a harsh winter," REINZ president Mike Elford said.

The average number of days to sell a house fell to 52 from 55 in August, the second monthly decline. Still, houses on average sold in 32 days in September 2007, the institute said. Some property owners may be holding off selling because they don't' want to realize a loss of value on their property, Elford said.

They may also be waiting for the central bank to extend its cuts to the official cash rate, in the hope that it will drive down mortgage rates and make it easier for people to fund property investments. The Reserve Bank will probably cut the OCR by at least 50 basis points on Oct. 23, with some economists predicting a reduction of 100 basis points.

The median house price in Auckland fell to NZ$420,000 last month from NZ$423, 500 in August, the REINZ said. In the Waikato and Bay of Plenty regions the median price fell to NZ$314, 350 from NZ$316,000.

Wellington's median house price dropped to NZ$350,000 from NZ$375,000.

By Jonathan Underhill

  General Finance Advertising    

Comments from our readers

No comments yet

Add your comment:
Your name:
Your email:
Not displayed to the public
Comments to Sharechat go through an approval process. Comments which are defamatory, abusive or in some way deemed inappropriate will not be approved. It is allowable to use some form of non-de-plume for your name, however we recommend real email addresses are used. Comments from free email addresses such as Gmail, Yahoo, Hotmail, etc may not be approved.

Related News:

Tourism Holdings Limited (NZX: THL) thl to acquire MaxiTRANS NZ
NZ Compare announces the acquisition of PriceMe
25th January 2022 Morning Report
Fonterra Shareholders Fund (NZX: FSF) Fonterra lifts forecast Farmgate Milk Price range
Green Cross Health Limited (NZX: GXH) Trading update
Ebos Group Limited (NZX: EBO) Retail Offer Oversubscribed
24th January 2022 Morning Report
ArborGen Holdings Limited (NZX: ARB) Updates Market on FY22 Guidance
My Food Bag Group Limited (NZX: MFB) Q3 FY22 Trading Update
ikeGPS Group Limited (NZX: IKE) signs $0.9m deal with tier-1 electric utility