Dunedin Property Report - September 2021 (Aug 2021 stats)
The August statistics included nearly two weeks of the lockdown period in Dunedin so the numbers were no doubt affected by this. The median sale price reduced to $629,000 from $650,000. The graph below illustrates that this is in line with the two year trend but there may be the beginnings of a slight price plateau in progress. The picture will become clearer as we move out of the quiet months of winter and see the data from the expected increase in activity during spring.
It was surprising to see 117 sales took place, despite the lockdown. This was only 17 fewer than the previous month and indicates that there was still activity in the Dunedin market even with the hurdles that a Level 4 lockdown provides.
The number of listings coming to market has been very strong since returning to Level 2 with Realestate.co.nz increasing numbers to 286 and over 30 listings coming to the market in one day in the second week of September. Interestingly we had a much higher than usual listing enquiry rate during lockdown. This may indicate that people, given some time to think and plan, have brought forward their plans to sell. This has been backed up anecdotally over the past week.
Other interesting observations this month were 15 sales over $1 million and one over $2 million in Vauxhall. There were eight section sales and we continue to see strong demand for well priced sections right across the city. There is a lot of talk at the moment about the effects of lockdowns and supply shortages on building prices. We expect fewer builders to be offering fixed prices for building which will in-turn affect the ability to gain finance. It is hoped that this won’t dampen the recent increase in building activity in Dunedin which has been adding much needed housing to the supply.
Joe Nidd AREINZ