Real estate in `great shape'
Monday 27 December 2004
Southland's real estate market showed no sign of slowing, with November one of the best months on record, an industry spokesman said.
By The LandlordThe median price for a residential property in Southland rose by more than $20,000 to $142,000 last month.
Real Estate Institute of New Zealand Southland branch spokesman Tony Jenkins said early results for December indicated it would be much of the same this month.
"I can see this market carrying on the way it is," he said.
"It's still very affordable buying."
With summer a traditionally strong period, Mr Jenkins said the market was in great shape.
However, he warned there was a shortage of good listings in the market.
Last month, 331 houses changed hands, up from 278 in October.
The good sales could be put down to a buoyant economy, Mr Jenkins said.
"This year would be one of the best," he said.
Read More - Opens in a new window
Commenting is closed
Periods of house price decline are rare and "short-lived", says economist Tony Alexander, amid forecasts of a drop of 10%-15% this year.
The Reserve Bank says the commercial property sector is vulnerable to the Covid-19 crisis. But PMG Funds' chief executive believes that while there’ll be short-term pain, the biggest long-term impact will be structural change.
Banks have not relaxed loan-to-value ratio limits for investors, despite the Reserve Bank's move to scrap LVR rules.