Dunedin Property Report - January 2023 (Dec 2022 stats)

The median sale price in December was $600,000 making it six months that the price has held at or around this level in Dunedin City. 

The median number of days to sell increased once again to 43 from 38 in November. For comparison, in December 2021 the median number of days to sell was 30.

The number of sales for the month was very low at 121, with many people putting off their buying decisions until 2023 given the uncertainty in the market as we headed into Christmas.

The number of listings available on Realestate.co.nz dropped over the holiday period, as expected, from 663 this time last month to 592 as of writing this. This is a reflection of houses selling in late December and not being replaced by new properties coming to the market over that time.

Many sellers are acknowledging the shift in the market with some very competitive pricing. This is being noticed by buyers, many of whom were out creating a busy weekend of open homes in the second weekend of January. Feedback from agents has been that buyers are showing signs of stronger commitment and offers have been more forthcoming.

The biggest driver in the market over the coming months is likely to be interest rates. Independent economics commentator Tony Alexander wrote this week “My view is that we are at the peaks for fixed rates of two years and beyond while floating rates are set to rise up to another 1.25% and the one-year rate could creep higher by 0.25% or so.”

Who knows if this will hold true but with more commentators picking the peak of certain interest rate terms, we are likely to see more confidence among buyers as some of the fear of ongoing interest rate rises subsides.

Joe Nidd AREINZ
Owner/Principal