Asking prices for all Auckland property types now over $500,000

The latest Trade Me Property Price Index shows that, for the first time, the average asking prices for all Auckland property types are now over $500,000.

Average apartment asking prices are $504,500 while the average unit asking price is $509,250 and the average townhouse asking price is $685,250.

Overall, with an increase of 16.9% since May 2014, Auckland’s average asking price is now $747,450.

Head of Trade Me Property Nigel Jeffries said that, at $565,000, the average asking price for a 1 or 2 bedroom home in Auckland is now higher than the average asking price for all homes across the country ($535,250)

Jefferies said that Auckland’s prices are continuing to surge and have yet to show any signs of slowing down. 

“Buyers have recently been looking at apartments and units as an option for starting on the property ladder, but anyone hoping to find themselves a property investment under $500,000 is going to find it increasingly difficult.”

Recent Reserve Bank and government attempts to dampen the market are yet to have an impact on asking prices, he added.

For example, it was the first time Auckland apartment asking prices have topped $500,000.

Jeffries said the “oft-maligned cousin” of the Auckland housing market has seen price expectations surge recently.

“Over the last year the average asking price for an Auckland apartment has risen a massive 27.8% ($114,050) to a record high of $504,500.

“In comparison, five years ago the average asking price for an Auckland apartment was $316,000.”

Although Auckland asking prices hit yet another record-setting serve, the national average asking price fell 0.8% month-on-month to $535,250.

Twelve regions saw their average asking prices increase, while three (Hawkes Bay, Manawatu/Wanganui and Otago) saw declines (of -3.1%, -1.3% and -0.2% respectively).

Jeffries said some interesting trends were evident in some of the regions.

Canterbury posted a new record average asking price of $469,600 in May. This was up 12.0% year-on-year and indicated a pick-up in pace, after a slight pause.

Meanwhile, Taranaki and Southland both showed strong growth in asking price expectation over the past year.

Southland was up 13.3% to $249,500 while Taranaki was up a hefty 23.2% to $304,250.