From the Real Estate Sector March 2022

From the real estate sector:

  • The rate of increase in house prices is slowing – 2.3% over the past 3 months end February compared to 6.1% for the 3 months ending January.
  • February on its own actually showed a drop of 1.0%
  • There are fewer buyers in the market due to it being harder to get credit and interest rates rising
  • Listings of new housing are falling rapidly due to delays in getting materials
  • It is taking longer to sell a house – now 42 days
  • Success rates of auctions are falling, open home attendance dwindling
  • Ukraine, Covid, inflation causing concern amongst buyers
  • Christchurch house values rose 0.7% last month – rolling 3 month avg. 4.8%
  • Sales across NZ fell by 32.8% compared to February 2021. 5,597 units / 8,324 units
  • Stock increased by 47% over the same period – 23,270 units / 15,829 units
  • 99.4% of properties sold in Christchurch in the last quarter of 2021 were sold for a profit. In 2019 this was only 90%

We came across this which may be of interest to you.

 Average weekly rent Q4 2021 $I year change $1 year change %
Whangarei5207817.7
North Shore642335.5
Central Auckland560173.1
Manakau618386.5
Hamilton490408.9
Tauranga5875811.0
Rotorua4977116.7
Hastings5087116.3
New Plymouth4575714.2
Palmerston North4877016.8
Kapiti5285511.6
Porirua63710319.2
Upper Hutt5788617.5
Lower Hutt5786412.5
Wellington612539.4
Nelson460255.7
Waimakariri4958520.7
Christchurch4534711.5
Selwyn5387315.8
Timaru382288.0
Queenstown Lakes62212224.3
Dunedin432-3-0.8
Invercargill373339.8
New Zealand527439.0

NOTE: These figures came from Tenancy Services and reflect rent changes for newly tenanted properties only. Hence the difference between this data and the comment by the NZPIF that rents increased slower than inflation.