The Waikato is one of five regions to hit a new record median high as house prices across the country continue their steady march skywards, defying predictions of a cool down.
June year-on-year data from the Real Estate Institute of New Zealand shows million-dollar medians are now standard in greater Auckland – the city up 25 per cent from $920,000 in June 2020 to $1,150,000 June this year, while Manukau City ($1,070,000), Rodney District ($1,194,000) and Waitākere City ($1,065,000) have all reached new records.
But banging on the door are four other regions – including the Waikato, and within it several districts, also posting new median highs.
Median prices for residential property across the country increased by 28.7 per cent from $637,000 in June 2020 to $820,000 in June 2021, according to the data from REINZ.
Excluding Auckland, the number increased from $540,000 to $680,000.
The Waikato median – up 19.7 per cent – hit a new high of $736,000, compared to $615,000 June 2020.
High-flying districts within Waikato also reached new record medians: Matamata-Piako ($665,500), Taupō ($730,000), Waikato ($785,000) and Waitomo ($420,000).
While the percentage increase was the lowest of the four new regional record setters, Waikato medians over $700,000 largely topped the other fast climbers.
The REINZ figures showed Taranaki (up 41.5 per cent to $580,000), Marlborough (up 56 per cent to $705,000) and Southland (up 23.2 per cent to $420,000).
Manawatū/Whanganui, with a 35.6 per cent increase, equalled a previous high of $580,000.
Figures showed prices were continuing to defy expectations and the market was refusing to cool, REINZ chief executive Jen Baird said.
“Even the month-on-month data has shown a slight uplift [plus 0.3 per cent nationally], and more than half of the regions saw an uplift when compared to May,” she said.
Other take-home points Baird noted from the data were June 2021 seeing the highest number of residential properties sold nationally for that month in five years (though Auckland skewed a fall of 4 per cent for the rest of the country) and a shortage in supply.
“We’ve talked about FONFA [the fear of not finding anything] before, but with fewer than 14,000 properties available for sale, this is becoming a real issue across parts of the country – especially when houses are selling as quickly as they are,” she said.
In June, the median number of days to sell a property nationally decreased 15 days from 46 to 31 compared to June 2020, the lowest for the month since 2016.
Baird said agents around the country were still reporting high attendances at auctions and open homes, and that first-time buyers and investors were relatively active in the market.
While she conceded national growth had been driven by Auckland statistics, she said the market had not seen a normal winter slowdown.
“We would expect sales volumes to continue … for the next couple of months unless we see any significant changes in the underlying fundamentals.”
Credit: Stuff.co.nz
