New Zealand’s median house price has continued to soar with Auckland’s median house price hitting $1 million in October.
The median house price across New Zealand has increased by 19.8 per cent from $605,000 in October last year to $725,000, according to Real Estate Institute of New Zealand (REINZ) data.
Bindi Norwell, REINZ's chief executive says October 2020’s house prices will go down in “housing history”.
“[This is] something no one anticipated or expected just six months after the entire country came out of lockdown.
“While this is a significant milestone, it raises serious questions around future affordability for Auckland residents wanting to get a foot on the property ladder.
“It also highlights just how important it is that legislation, such as the RMA, is re-addressed quickly by the current Government so it is fit for purpose to help support more houses being built at speed and at scale,” says Norwell.
It’s not just Auckland that’s seen a boom in housing prices.
Here’s a look at some of the numbers across the country:
• Gisborne with a 34.1% increase from $425,000 in October last year to $570,000 this October
• Marlborough with a 26.8% increase from $445,500 in October last year to $565,000 this October
• Otago with a 22.7% increase from $532,000 in October last year to $652,500 this October
• Wellington with a 20.8% increase from $650,000 in October last year to $785,000 this October
• Manawatu/Wanganui with a 17.5% increase from $400,000 in October last year to $470,000 this October
• Northland with a 16.5% increase from $515,000 in October last year to $600,000 this October
• Bay of Plenty with a 16.2% increase from $620,000 in October last year to $720,500 this October
• Waikato with a 15.9% increase from $565,000 in October last year to $655,000 this October
• Canterbury with a 9.7% increase from $465,000 in October last year to $510,000 this October.
Not only are house prices on the rise, so to are the number of property sales over the last year.
The number of homes sold in October across New Zealand had increased by 25 per cent from the same time last year. It’s the highest number of properties sold in 53 months.
“New Zealand’s housing market is extremely buoyant at the moment, with more than 8,800 properties sold around the country – that’s more than 283 properties sold every day in October,” says Norwell.
“The last time we saw sales volumes of this magnitude was back in May 2016 when the market was very strong, and prices were rising across many parts of the country.
“For two months in a row now, Auckland sales have been up more than 50 per cent when compared to the same time last year, highlighting just how busy the market is right now.
“With a 36.8 per cent uplift in new listings across Auckland in October, there’s a chance that November could be even busier.”