Dunedin Property Report - January 2024 (December stats)

The median price in November was $613,000 continuing the trend of modest price increases at the end of 2023.

The median number of days on the market increased just one day to 36 and anecdotally, buyer interest continued to increase leading into Christmas.

The number of sales reflects the strong increase in activity with a 25% increase when compared with December 2022, at 167 sales for the month.

After an extended period with the number of available listings building, we have seen a significant drop from 565 for sale in November to 491 as of writing this report. This is largely due to the high number of sales in December, alongside the low number of new listings leading into the holiday season.

The upper end of the market remains strong with 24 sales over $1 million and 59 sales over $750,000.

Interest rates remain a hot topic in the media and will remain a key driver of activity in the market in 2024. Top commentators are picking a drop in the Official Cash Rate in 2024 and expect banks to anticipate this and other factors with drops in borrowing rates, possibly as much as 1%, in the first half of the year.

Net migration remains staggeringly high at around 130,000 for 2023. When coupled with low building activity, the supply/demand equation strongly indicates increasing prices for 2024 until developers become more active again, in response to stabilising building prices and appealing land opportunities.

Joe Nidd AREINZ
Owner/Principal