Monthly Market Update | November 2019
Confidence climbing heading towards Christmas
Rising levels of confidence in the North Shore market is evident. The volume of sales increased again in November to 346, up 8.8% since the same time last year. Despite increased volumes, the median price reduced from $1,050,000 in November 2018 to $985,000 in November 2019.
A combination of low interest rates & shortage of listings continues to assist with fuelling the market. Median days to sell reduced to just 35. When aligned with owners prepared to meet the market with well-presented & well-marketed properties, generally achieving successful sales. In November our Cooper & Co Auction success rate was 69%.
Indicators suggest the market will remain strong heading in 2020, although it will typically experience a conservative period surrounding the election in the second half of the year.
Best wishes for a Merry Christmas & a happy & prosperous 2020!
Monthly Market Update | October 2019
A resurgence of energy & activity for the North Shore and North West market
The built-up demand as a result of the shortage of listings has been producing some remarkable results across all sectors of the market.
A favourable combination of market factors is fuelling the confidence of buyers. The cancellation of capital gains tax combined with tumbling interest rates has assisted with reigniting the market.
Sales volumes remain low when compared to long term averages with 318 North Shore sales in October.
For now, prices are holding steady, yet many are predicting rises on the horizon.
It is going to be a busy run of sales through to the end of the year presenting opportunities for buyers & sellers.
– Robert Carter
Spring enthusiasm despite supressed volumes
There has been a notable ‘bounce in the step’ of the North Shore market with good properties commanding strong interest. Stories of multiple offers, competitive bidding, increased auction success rates & quick sales frequenting the real estate airwaves.
However, sales volumes remain suppressed. Whilst in September both the New Zealand & Auckland market saw volume increases from last year, the North Shore market volumes remain at some of the lowest this century as presented on the graph below, with just 242 sales.
The pendulum of market forces is swinging favourably for the real estate market with low interest rates, abolished capital gains tax, housing shortage, and increased buyer confidence. There is also growing acceptance of recent changes to legislation with the Overseas Investment Act, Brightline Test change, Anti-money laundering & Residential Tenancies Act.
The North Shore median price has remained stable at $990,000 in September.
All in all, a solid start to Spring, key indicators pointing towards a stable market with momentum building despite the lack of availability of quality listings restricting sales volumes.
A market of two halves
Robert Carter – General Manger
The ‘tug of war’ between market forces remains, yet evidently, the surge of momentum strengthens entering the Spring market.
Determination & confidence from buyers is resulting in some outstanding sales with a notable increase in auction success rates & auctions brought forward.
However, sales volumes remain suppressed due to the lack of listings. With 260 North Shore sales in August, it was the second lowest August volumes this century, just ahead of 2008 during the Global Financial Crisis.
The North Shore median price has tracked upward consistently, albeit minimally for the past 5 months to reach $999,000 in August.
Although there has been a reduction in sales, the activity & confidence in the market is undoubtedly increasing entering the Spring market. Days on the market remain relatively consistent at 44, prices creeping upwards, buyer confidence increasing along with Auction success rates all providing reassurance around the current market. The shortage of current listings providing an opportune time to list and stand out with less competition in the market.