Auckland property price stall

The escalation of property prices in Auckland seems to have paused at least.

NZ Herald: Political fallout as property market hits the canvas

Just as QV data was confirming that the Auckland market is well and truly stalled, along come the Barfoot & Thompson statistics showing the average sales price in June dropped 3.1 per cent on the average for the previous three months, and was only 0.6 per cent higher than it was 12 months ago.

The Barfoot & Thompson data was revealing because it is an immediate and very clear snapshot of what’s happening on the ground in Auckland.

But most Aucklanders have been well aware of the change for a few months now.

To use a slightly unscientific term, the vibe had changed.

So this is at least a pause with one problem, but prices have flattened off at a very high level, and building rates are still lagging what is required to properly supply a growing market.

How will this affect the election?

It may take some pressure off National but only partly, major housing problems remain.

1 Comment

  1. PDB

     /  July 6, 2017

    I’ve got no sympathy at all for any house owner who has mortgaged themselves to the hilt and hit the wall when interest rates inevitably go up & house prices subside. Record low mortgage interest rates = pay down mortgage debt.