Dunedin Property Report - February 2022 (Jan 2022 stats)

February saw a continuation of the median price trend at $670,000. This, however, must be taken with a grain of salt as January data covers only a small number of sales (74) due to the Christmas break.

The median number of days on the market also reflects the Christmas break at 48, with many of the homes that sold including the holidays in their time on the market.

The most important data point to note is the number of homes available for sale. This rose above 600 for a time last week. This is a huge increase from less than half that number for most of 2021.

As is becoming the trend, around 10% of the sales in the past month exceeded $1m. There were three section sales for the month.

Although many commentators are beginning to make bold predictions about the future of the property market, it is difficult to pin down exactly what the next year will look like for Dunedin. Some of the factors to consider are: bank lending restrictions, interest rate rises, investor regulations, zoning changes, building activity, the continuing effects of the pandemic, population growth and major infrastructure investment in the city. This is by no means an exhaustive list but these serve to illustrate the many compounding factors that influence the market and the futility of trying to predict exactly how these will affect prices and market trends.

It is only logical to expect a slow down in the meteoric price rises of recent years, though in past market shifts, Dunedin has tended to follow a more tempered version of the trends playing out in the major New Zealand centres. We expect the same this time around but only time will tell.

Joe Nidd AREINZ
Owner/Principal