Article: REINZ News
Record Median House - Price For New Zealand In November
Real Estate Institute of New Zealand (REINZ) data on the New Zealand housing market for November 2011 showed 6,008 unconditional sales for the month, up 870 sales (+16.9%) compared to November last year. The November figure is 1,001 sales higher than last month (+20.0%) and rose by 4.3% on a seasonally adjusted basis.
The national median house price rose by $8,500 to $367,500 (+2.4%) in November compared to October and is also up $7,500 (+2.1%) compared with November 2010. This is a new record median house price for New Zealand and exceeds the previous record of $365,000 reached in March 2011.
All regions recorded an increase in sales volumes during November compared to October, with Northland reporting the largest increase at 33.3% and Southland the smallest increase at 6.9%. Compared to November 2010, Auckland had the largest increase in sales volumes at 26.7%, followed by Northland (+25.9%) and Waikato/Bay of Plenty (+21.5). Only two regions recorded small falls compared with November 2010, with Otago down just 2.7% and Wellington down just 1.9%.
In addition to the national median house price reaching a new record level, the Auckland median house price also reached a new record of $490,000 in November. This exceeds the previous record high of $479,500 reached in April 2011. The REINZ Housing Price Index for Auckland is now at the same level that it reached at the peak of the market in July 2007, although most other markets tracked by the REINZ Housing Price Index remain below the peak. Of note in Auckland has been the rapid increase in the number of properties being sold at auction with almost 27% of unconditional sales in November being sold at auction, an all time high for the region.
For the month of November, Hawkes Bay recorded the highest lift in prices for the month (+11.3%), followed by Otago (+5.6%) and Auckland (+5.4%). Compared to November 2010, Canterbury / Westland recorded the highest lift in prices (+9.1%), followed by Hawkes Bay (+7.3%) and Otago (+5.6%).
“The lift in volumes for November is positive following the somewhat muted sales numbers for September and October”, said REINZ Chief Executive Helen O’Sullivan. “While there may be some element of ‘catch up’ from these slightly quieter than expected months, there is a sense of buyers and sellers being ready to commit and clear the decks post Rugby World Cup before the end of the year. “
“While the data coming from the housing market is generally positive, the volume figures say recovery, not boom as some commentators have suggested. In 2007 the market reported just over 92,000 transactions in the 12 months to December; the 2011 year to date total is just under 56,000 transactions with the month of December yet to come, demonstrating that the level of activity is still well below “boom” levels. ”
“With that said, we would love to see increased supply of new homes coming through in the form of improved consent figures, as reports indicate that the lack of new stock remains a concern.”
The national median ’days to sell’ remained steady at 35 days in November, and is a five day improvement on the 40 days recorded in November 2010.
Otago again recorded the shortest days to sell at 30 days (no change), followed by Canterbury/Westland with 31 days (-1 day) and Auckland with 33 days (no change). Northland recorded the longest number of days to sell at 53 days (+3 days), followed by Central Otago Lakes at 51 days (-6 days) and Taranaki at 48 days (+6 days.) Over the past five years the median days to sell has averaged 41 days across New Zealand.
Northland spokesperson, Marilyn Gamman added the following specific information concerning Whangarei City and Country:
Of the 54 houses sold in Whangarei City by real estate agents in November 2011;
29 were under $300,000 (compared to 22 in the previous month)
14 were between $300,000 and $400,000 (compared to 9 in the previous month)
11 were between $400,000 and $700,000 (compared to 2 in the previous month)
REINZ statistics recorded that there were no sales in Whangarei City by real estate agents over $700,000.
Value of Whangarei City sales totalled $16,372,000 compared to $8,810,500 in the previous month.
There was 1 section sold in Whangarei City by real estate agents between $175,000 and $200,000.
Of the 25 dwellings sold in Whangarei County in November 2011;
10 were under $300,000 (compared to 4 in the previous month)
6 between $300,000 and $400,000 (compared to 6 in the previous month)
7 between $400,000 and $700,000 (compared to 6 in the previous month)
1 between $700,000 and $800,000 and 1 between $1.5m and $2m
There were also 7 sections sold in Whangarei County in November 2011 - 3 under $99,000 and 4 between $175,000 and $225,000.
Residential Highlights – November 2011
Northland
The Northland region saw the strongest lift in sales across all regions in November compared to October, although this comes after a significant fall in volumes in October. Compared to November 2010, Northland had the second strongest lift in volumes across all regions in New Zealand.
Prices have also continued to firm in Northland during November following on from a modest lift in October. The median price across Northland has increased by $15,000 since September.
The number of days to sell for Northland eased by three days to 53 days in November compared to 50 days in October, however, the number of days to sell improved by eight days compared to November 2010.
