Property Market Update - October 2022
North Auckland Median Price and Sales Numbers Impacted as Expected
It comes as no surprise that last month’s median prices throughout Auckland have suffered in the current market when compared with the same month last year.
It is important these comparisons are taken in context. Whilst these comparisons are down on a year ago many are still well ahead of pre-covid times. The November NZ Property Market Report produced by Valocity confirmed this – for Auckland they reported a 9.8% decline in prices since the peak in January this year, yet a 28.2% increase since pre-covid.
If you look back at the life cycle of the property market since 1981… following the Asian Financial Crisis in the late 90’s, sales volumes peaked in 2003 and then declined rapidly post 2008 GFC
Since 1981, the most rapid growth in prices has been between 2020 to 2022. Whilst this ‘boom’ was not only surprising given the impact of covid, it saw a significant increase in prices but did not see such a substantial increase in the volume of sales
“In the same month last year, there was confidence and urgency in the market, and we were relatively untouched by what has happened in 2022.” Harcourts Cooper & Co general manager Rob Carter says. “This year has seen rising interest rates, the soaring cost of living, property regulation, adverse global events, tightened lending criteria, macro-economic impacts and tax legislation, to name just a few.”
“However, the REINZ has indicated that increasing enquiries and a notable increase in the numbers of particularly first home buyers is being reported in the market, and we believe this augers very well for a more buoyant 2023.”
On the North Shore, the $1.199 million median price last month was down 18.2% on October last year. The 247 sales for the month equated to a 41.3% reduction, and it took 43 days to sell a property – down 10 days.
In Rodney, the $1.23 million median price was down 6.5%, and 147 sales resulted in a 30.3% reduction. It took 52 days to sell, up three days on October last year.
The Northwest saw a median price of $1 million, equating to a 10.9% decrease on October last year. The 260 sales were down 45.5%, but it took 45 days to sell – up nine days on 2021.
