The average asking price of Auckland homes has dropped NZ$350 on last year to NZ$918,650, with growth finally dying down, the latest Trade Me Property Price Index shows.
Nigel Jeffries, head of Trade Me Property, says in a press release that Auckland’s market has ground to a halt after several years of “stellar” growth.
“Auckland’s growth has been dramatic and well-documented, but that growth has finally died down and we're seeing a more normal market with dips and fluctuations,” Jeffries says.
“The key ingredient in any market growing like Auckland has been is a mismatch between supply and demand. Demand is dipping, which means the Auckland market is finally slowing.”
Kingsland is hot
Some pockets of the market were still extremely strong, such as Kingsland, where the average number of views on properties for sale increased 111 per cent on last year.
Jeffries says it’s a great time for first-home buyers if they had a deposit behind them.
There were plenty of options in Auckland, he says, with 6 per cent more properties on the market than last May and 47 per cent more than two years ago.
Record high asking price
Jeffries says in the press release that the average asking price across New Zealand reached a record high for the first time since April last year, rising 0.8 per cent to $645,900 in May.
Read the full report here.
The Trade Me Property Price Index measures trends for residential property listings added to Trade Me Property over the past three months.
First published 18 June, 2018
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