Good Year’s Start To Auckland Property Sales Continues In February

In February, Auckland property sales were stronger than they were at the height of the last property cycle between 2015 and 2017.

“In February we sold 1124 properties, and you have to go back 17 years to find a February when we sold more homes,” said Peter Thompson, Managing Director of Barfoot & Thompson.

“In terms of sales numbers and the prices paid, February was exceptional.

“More than half the homes sold in the month went for prices in excess of $1 million, whereas last year on average $1 million homes accounted for a little above 40 percent of monthly sales.

“In January homes in this price category edged up to 49 percent of sales, and in February the trend was consolidated with $1 million plus sales reaching 56 percent of all sales.

“The speed with which this percentage has increased underlines the significant movement in prices that have occurred in recent times.

“In February we listed 1941 new properties, a significant number for a February, but it did nothing to take the edge off Auckland buyer demand or dampen price increases.

“Both the average and median sales prices increased during the month with the average price reaching $1,075,408, up 0.7 percent on January’s average price, and a median price of $1,010,000, up 3.6 percent in a month.

“February’s median price was the highest on record, and $5000 higher than the previous record set in December.

“At month’s end we had 3416 properties on our books, the highest number for three months.

“This number, combined with the level of homes in the sales pipeline, will contribute to March likely being a strong sales month.

“The market is now set to remain active throughout autumn.

“Rural and lifestyle property activity in February was nearly three times as active as it was for the same month last year.

“Increased payout projections for dairy farms, combined with banks again lending on this type of property, has seen an increase in demand for dairy land. There is also strong interest in demand for land to plant trees.

“Top end lifestyle homes are in short supply, which has caused a lift in bare land sales especially for elite sites and land suitable for subdivision.”

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