NORTHLAND PROPERTY MARKET UPDATE ON RESULTS FOR JUNE 2021
In a SNAPSHOT : Volume is UP on the prior year, median price is well UP, and good properties continue to sell quickly with the overall selling days sitting at 37 days.
Our market continues to be under pressure from more buyers than we have properties to sell. Investors continue to be less active since changes to tax and brightline rule changes were announced. This is providing first home buyers with a greater opportunity to get into the market, but they are struggling to find the right properties for their needs and budget.
So again the overall biggest issue we face is a lack of stock to sell with our inventory levels at the lowest they have ever been. Despite it being a good time to sell, sellers seem to be holding back as they too see a lack of properties to buy that will meet their needs.
NATIONAL OVERVIEW: (by REINZ)
Median prices for residential property across New Zealand increased by 28.7% from $637,000 in June 2020 to $820,000 in June 2021, according to the latest data from the Real Estate Institute of New Zealand (REINZ).
NATIONAL MARKET KEY INDICATORS:
NORTHLAND OVERVIEW: (by REINZ)
“In June, the Northland region saw a 32.6% increase in median house prices, reaching $700,000 when compared to the same time last year in part a result in the significant uplift in properties sold for over the $750,000 mark. Additionally, the Far North District saw a new record median house price of $730,000. Sales volumes increased 16.1% from June last year representing the busiest June month in 5 years.
Stock levels continue to fall as we head into the winter months, with new listings down -24.9% annually and overall inventory down -47.7% year-on-year. Auctions continue to be a popular method of sale with 27.2% of properties sold under the hammer. However, there are fewer numbers of people attending auctions which may be due to less buyers being in a cash position to bid or an increase in the number of conditional offers. The REINZ House Price Index for Northland increased 26.0% to a new record level of 3,841”. Jen Baird REINZ CEO
SUMMARY OVERVIEW AND DETAILED STATISTICS:
We now look set to endure a winter of low stock to sell making it hard for people to find the property that meets their needs. We have lots of listings lining up for Spring but again some of these will depend on what they see being available to buy unless our stock levels grow before then.
We are encouraging people to list their properties even if we need to include a clause that they need to find a property to buy before they will go unconditional. Typically, this gives them between 10-30 days to find a property.
This is especially so for those looking for a lifestyle property as these are in even shorter supply right now.
We also continue to see a good number of Aucklanders and returning Kiwis still looking to buy property with land in Northland.
If you want to sell your property, please give us a call as now is a good time to be talking and looking at the best method of taking your property to the market.
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