The latest housing survey from Barfoot and Thompson found that the average price of a home in Auckland dropped nearly a full percentage point last August. In a report from radionz.co.nz, the median price now stands at NZ$821,079, which is below the pegged prices for May and June of this year.
Overall, this was the first decline recorded in the past six months. On the other hand, national values had increased 11.3 percent this year to August and is 29 percent higher compared to prices in 2007, according to the QV House Price Index.
According to Barfoot and Thompson Managing Director Peter Thompson, there was 'still pressure on the housing market' and the busy spring period together with the housing shortage was 'still boosting prices.' He also said there are factors 'pulling the other way too.'
He said, "To counter that we've got both Government and the Reserve Bank that are introducing new measures from either the 1st October or the 1st November. And I think people are a little bit unsure of how that's going to affect real estate moving forward, and maybe that's just people who are holding off making that extra purchase."
On the other hand, QV Home Value Northern Operations Manager Jan O'Donoghue was quoted in a report from nzherald.co.nz said, "QV stats show more than 2000 homes have been bought and sold more than once over the past 12 months. Often, nothing has been done to improve these properties at all and speculators are just on-selling it and taking the capital gain.
Wespac Chief Economist Dominick Stephens had noted that the other housing markets across New Zealand 'were evolving', as reported in stuff.co.nz. He said that while there is a slowdown in the rate of price increases in Auckland. He said, "These market changes are broadly in line with our expectations. Regional changes to the RBNZ's LVR (loan to value ratio) rules will boost housing markets in most of New Zealand, but will be a drag on the Auckland market."
