Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search


Auckland property prices slump after ten year drop

Auckland property prices slumped in September after the average asking price fell 3.7 per cent on the year prior to $882,850, the largest decrease in ten years, according to the latest Trade Me Property Price Index.

Head of Trade Me Property Nigel Jeffries said this was the sixth consecutive month that the region has experienced a year-on-year decline. “It’s safe to say the eye-watering price increases that Auckland had become accustomed to are now behind us and prospective first-home buyers will be pleased to know that it’s now that little bit easier to get their foot on the Auckland property ladder.

“It’s hard to say how long it will be before we see the Auckland market bounce back but for the next little while lower prices appear to be the norm.”

Mr Jeffries said some sellers in the region appeared to be sitting tight while the market continues to cool. “The total number of properties available for sale in the Auckland region dropped by 15 per cent on September last year and it looks like the cooling property marketing has some homeowners thinking twice about selling.

“Taking a look at the different types of properties for sale in the region, houses took the biggest hit in Auckland last month after prices fell 4 per cent or $40,000 on the year prior to $947,800. The one property type to buck the trend, however, was apartments with the average asking price rising 5 per cent on the same time last year to $681,500.”

Mr Jeffries added that despite falling prices, there’s still strong interest in the Auckland market. “Buyers are taking advantage of the cooling property market and sellers will be pleased to know that if they are looking to sell, there’s plenty of interest with listing views up 8 per cent on September last year.”

Wellington property prices gain momentum
“Property prices in Wellington, on the other hand, tell a very different story after the average asking price rose 8.7 per cent or $51,000 on last year to $644,750.”

Mr Jeffries said property prices in Wellington took off in mid-2016, a few years later than the Auckland market, and have been gaining momentum ever since.

“We’re continuing to see strong price growth across the entire Wellington region which will give homeowners plenty of reasons to smile.”

Mr Jeffries said property prices increased across all districts in the Wellington region in September, with Porirua and South Wairarapa district seeing incredible year-on-year growth.

DistrictAverage Asking Price (September 2019)Year-on-year change
Wellington$768,900Up 9.8%
Lower Hutt$580,050Up 3.7%
Upper Hutt$572,450Up 6.3%
Porirua$695,800Up 14.5%
Kapiti Coast$613,800Up 8.5%
Masterton$429,850Up 5.1%
Carterton$478,450Up 7.7%
South Wairarapa$540,500Up 12.5%

“What’s driving these big price jumps is both a lack of supply in the region and rising demand. The number of properties for sale in Wellington was down 11 per cent on last year while the average number of views rose 2 per cent.

“Interest for properties in Masterton and South Wairarapa is on the rise after both districts saw listing views increase 15 per cent and 32 per cent on last year respectively.”

Mr Jeffries said all signs are indicating that property prices in Wellington are in for a very hot summer.

Mixed bag in the region
“Property prices in five regions hit new highs in September after all but two regions saw year-on-year growth. The average asking price in Manawatu/Whanganui, Nelson/Tasman, Otago, Southland, Waikato broke records in September while average asking prices in West Coast and Auckland dipped.”

“The national average asking price remained relatively stable year-on-year after a 0.7 per cent increase to $650,050.”

Mr Jeffries said there was a solid increase in demand for properties across the country in September with listing views climbing 7 per cent on last year. Stock, on the other hand, was down 12 per cent on last year.

Waikato property market runs hot
“The average asking price in Waikato rose 7.9 per cent or $43,000 on the year to September to reach a new high of $597,250 as the Waikato property market runs hot.”

Mr Jeffries said property prices in the region have increased as more people look to move out of the main centres. “The number of views on property listings in Waikato rose 14 per cent on last September as interest grows in the region and prices rise. Hamilton was driving much of this interest and the city saw an 18 per cent increase in listing views year-on-year.

“The average asking price in Hamilton City rose 8.8 per cent on the year prior to a record of $630,250.”

Apartments, townhouses and units are popular in Wellington and Christchurch
“All urban property types (apartments, townhouses and units) in Wellington saw average asking prices increase on the year prior with townhouses and apartments reaching new record.

“Outside Auckland, townhouses and units hit a new high in terms of average asking price in September.”

Large houses (5+ bedrooms) in Christchurch crack $1 million mark
“The average asking price for large houses in Wellington and Christchurch reached a new high after climbing 8.4 per cent and 23.3 per cent year-on-year. This is the first time large houses in Christchurch have cracked the million dollar mark with an average asking price of $1,001,550.”

Mr Jeffries said all house sizes in Auckland saw an annual dip in average asking price.

© Scoop Media

Business Headlines | Sci-Tech Headlines


Auckland Port Move: Cabinet Ministers Deliberate On Report

Cabinet ministers now have a copy of a report urging the government to move the Auckland port up north, but say no final decisions have been made. More>>


Toxicology Tests Planned: Dead Rats Washed Up On Beaches

As many as 600 rats washed up on Westport's North Beach over the weekend to the horror of locals. DOC said they may have been killed by a recent 1080 poison drop 140km away and washed down the Buller River after heavy rain battered the coast. More>>


Transition To Low Carbon: Mineral And Petroleum Resource Strategy

Responsibly Delivering Value – A Minerals and Petroleum Strategy for Aotearoa New Zealand: 2019-2029 has been developed to provide the direction for the sector in the transition to a low carbon and productive, sustainable and inclusive economy. More>>


MethaneSAT: Methane Satellite Mission Control In New Zealand

Mission Control for an international space mission to help tackle climate change will be based in New Zealand, with the Government putting $26 million towards the state-of-the-art satellite...More>>


Real Estate: Late Spring Surge

The continued shortage of quality real estate listings, coupled with record low mortgage interest rates have combined to add some zing to the property market over October. More>>

Wellbeing Stats: Finances Less Terrible And Less Great

According to results from the General Social Survey, the proportion of people who felt they had enough or more than enough money to meet everyday needs increased from 51 percent in 2008 to 63 percent in 2018, Stats NZ said today. More>>