Analyst notes buyers might take advantage of the time
Trade Me’s Property Price Index for September has been released, revealing month-on-month increases that are slow but steady. In a news release, Trade Me has described this trend as a sign of revival in the lead-up to the spring season.
In September, the national average asking price for a property was $840,050, up 0.4% month over month, following an identical increase in August. However, the average is still down by 6.2% year over year.
“Aotearoa’s property market has started to show signs of bouncing back as we start moving into the warmer months. While prices have certainly dropped since the peak highs seen in 2021, they now seem to be levelling out,” said Gavin Lloyd (pictured), sales director at Trade Me Property. “Buyers looking to take advantage of the market might find the time is now as we head into the summer months, where we tend to see an increase in demand.
“If we compare with September last year, the national average asking price is still down by 6.2 per cent. However, based on the trajectory we are seeing the market move, I would say cashed-up buyers are in a great position to make the most of these market conditions beforeprices really head north.”
Data imbuing positive outlook
The average asking price in Wellington City is up 1.4% on last year to $894,900 in September. In Auckland, prices went up 0.2%, and the average asking price for Auckland City is at $1,134,600.
“Wellington saw some of the biggest price increases at the peak of the market, so it makes sense that after a bit of a correction the prices are also heading back up,” said Lloyd. “At this stage it is far too early to say whether the general election will have any impact on the housing market in Wellington – especially given Wellington is the home of Government and the public service – but it will certainly be something to keep an eye on over the next few months.”
In Auckland, Wellington and Christchurch, prices are down across the board for apartments, townhouses and units. The biggest drop was seen in Christchurch apartment living, with the average asking price down 16.2% to $652,700.
“There are lots of benefits for picking a townhouse or apartment – particularly for younger and first-home buyers, so I am sure many potential buyers will be watching this trend in Christchurch,” said Lloyd.
Prices for smaller houses in Auckland are also down by 1%, and Wellington by 4% year-on-year.
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