The median sale price in December was $585,000. This is down from the all time high of $607,095 in November, but still in line with the overall trend. There were 232 sales which is more than 10% higher than in 2019 and 2018.
The number of properties available on Realestate.co.nz today sits at just 176 meaning that there is less than one month worth of stock available at the current rate of sales. We are however already seeing that there are a good number of listings coming to market as vendors return from holiday and the industry gets back up to full speed. Days to sell were just 21 indicating the level of competition at the end of the year.
We anticipate more of the same in terms of pressure on the market until such time as there is an increase in development and supply of new property in the city, particularly in the middle to lower end. From our experience many people are in larger homes, ready to downsize for retirement but unable to find smaller homes of the standard desired. This is further adding to the problem by having underutilised homes of four bedrooms or more, in some cases, being inhabited by only two people.
As we move into 2021 we expect to see more government and Reserve Bank intervention in the housing market but don’t expect it to have a significant effect on the trends of 2020 with low supply and high demand continuing as the primary drivers.
Joe Nidd AREINZ
Liz Nidd FREINZ