Auckland property market – volume up, prices down

5 February 2004
MEDIA RELEASE

Auckland property market – volume up, prices down

The traditional summer slow down in the top end of the Auckland property market is reflected in a fall in average house price during January according to the latest sales figures from Auckland’s leading real estate agency, Barfoot & Thompson.

The average sale price fell from $422,961 in December to $382,439 in January, however, Director Peter Thompson says it should be noted that the December figure was inflated by a single sale worth more than $6 million dollars. When that sale is excluded, the December average was $416,921. The January average price was also seven percent higher than at the same time a year ago.

“The top end of the market is traditionally quiet during January when people are away on holiday. This is demonstrated by the fact the over $500,000 bracket dropped from 44 percent of our sales in December to 34 percent in January. However, Barfoot & Thompson still sold 26 properties for over a million dollars during January.”

“Sales activity in the outer suburbs and lower price brackets was strong. In fact the total volume of sales for the month (1,150) was nine percent up on January a year ago.”

“It appears there is also a better balance developing between supply and demand. We experienced a shortage of listings through the second half of last year. At the end of January the number of listings available was 4,692 compared to 4,188 at the end of December, that’s the highest it’s been since May 2003 but still well short of where it was this time last year (5,055).”

Rental activity was strong during January. 749 properties were let, compared to 539 in December and the average weekly rent reached $338, up from $320 the previous month.

ENDS

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