No spring lift for property market: Realestate.co.nz

New data from realestate.co.nz shows new property listings across the country down by 12.2% in September on the same time the previous year, and the total housing for sale stock down 23%.

“Typically we can see trends around what happens during the different phases of a year, such as a slow-down in the winter months and a resurgence in spring, but 2016 is The Year of Unpredictability,” spokeswoman Vanessa Taylor said.

“Traditional seasonal behaviour is diminishing as sellers appear to be more focused on selling at a premium particularly in markets like Auckland, while buyers are considering all their options and properties are now taking a longer time to turn over.”

Auckland was the only region where total stock levels increased, by 4%.

While Auckland asking prices hit another all-time high at $933,435 (a 2.8% increase on the previous month), properties were spending longer on the market.

“With fewer new listings coming on to the market, it appears that sellers are looking to command higher prices,” Taylor said.

“If there were no new listings coming on to the Auckland market, all existing properties would now take 12 weeks to sell, which indicates a slow-down in activity.”

In September last year, if there were no new listings coming on to the Auckland market, all existing properties in Auckland would have taken 9.6 weeks to sell.

Taylor said it could be that buyer sentiment had shifted from a “must buy now at all cost” mentality to a more considered view of options, particularly with prices continuing to rise and a limited choice of properties for sale.

Waikato’s total housing stock level plunged 31.9% compared to the same month last year.

“Aucklanders have been active in the Waikato region for quite some time and have perhaps absorbed the first round of property offered by Waikato sellers who capitalised on the demand,” Taylor said.

New property listings coming on to the market in September in the Waikato fell by 20.1% compared to the same time last year and asking prices lifted by 3% on the previous month.

It was a similar picture in the Wellington region where new property listings fell 8.1% in September compared to the same time last year.

“However Wellington is an example of the unpredictable nature of the industry at this time, given that in August 2016 new listings increased by 36.8% compared to August 2015,” Taylor said.

Total housing stock in September 2016 was 37.7% lower than the same month the previous year. Property asking prices in Wellington rose 1.4% on the month before.

Asking prices in Canterbury and Otago fell by 2.5% and 1.7% respectively compared to the prior month. New listings were also down, 4.7% in Canterbury and 12.6% in Otago compared to 2015.