Dunedin City reached a record median house price of $607,095 in November 2020, up 16.7% from the same time last year and the first time the city has exceeded the $600,000 mark. There were 25 sales over $1,000,000 and 50 over $900,000. The number of properties sold in November increased 16.7% to 238, up from 204 at the same time last year. Days on the market remained the same as October at 23 with many properties still selling in the first two weeks of marketing.
First home buyers are particularly active at open homes, trying to secure their spot in the market before prices increase further. As prices have continued their upward trend, many are now having to repeatedly extend their finance pre-approvals to keep up.
‘Mum and Dad’ investors are increasing their activity in the market, along with seasoned investors trying to secure investment properties before the re-introduction of LVRs.
We are starting to see many of the 2GP appeals being resolved which should allow significantly more development in the city over the coming years. Combined with Variation 2 of the 2GP intended to further increase areas for development and allow for higher density in some areas, there is some cautious optimism that the city’s significant shortage of property will be addressed, tempering the very tight supply issue we have been experiencing in recent times.
Joe Nidd AREINZ
Liz Nidd FREINZ