Property Market Update – October 2023
While a new government goes through the process of “finalising” its make-up and direction for the next three years (and possibly more), the real estate market continues to show signs of strengthening.
In summary, the growth is positive but measured.
The REINZ reports that October saw steady activity and although overall sales numbers suffered a slight decrease in volume (-2.5%) of sales month-on-month there was an 8% increase compared to October 2022. This year’s numbers could be attributed to an election month which historically slows the market noticeably. Despite this, the market appears to be moving quicker with “days to sell” year-on-year reducing nationally by 7 days and in Auckland days-to-sell is at 36 days. A reduction of 8 days. All are very strong indicators of increasing buyer pressure.
Again from the REINZ October report, Jan Baird comments:
“Local agents are reporting a lot more activity across buyer groups. They’re noticing more investors and first home buyers looking to secure properties sharing the market with vendors who are showing a willingness to be realistic with their price expectations. We can see signs of that in the median prices this month”
For Auckland, the median house price month-on-month was up 1.7% to $1,040,000 and the average days for a property to be on the market was down to 36 days. Our auction success continues to improve as we report a 60% clearance rate.
Overall we are in an improving market with reports of a growing business confidence, settled mortgage rates and a current increase in buyer demand.