Housing stock has hit a record low, affecting all but one region in New Zealand. It comes as asking prices in Auckland reach record highs.
Figures released today by realestate.co.nz show Northland being the hardest hit, showing a 32.8 per cent drop in housing stock over the past year.
The only region unaffected is the Otago/Lakes region, which spiked a 9.1 per cent increase in properties.
Low property numbers are driving high prices, the data reveals, as Auckland asking prices tipped over the $1 million mark for the first time since records began.
Vanessa Taylor, spokesperson for realestate.co.nz, says that nationally demand is still outstripping supply with the total number of homes available for sale in September down 17 per cent on the same month in 2019.
“We’re continuing to see a housing shortage in New Zealand with 10 of 19 regions hitting record total stock lows. Demand also remains high with over 1.25 million users recorded on realestate.co.nz in September 2020,” Taylor says.
Reaching a record high, the average asking price in Auckland rose 9.5 per cent year on year in September 2020. The asking price in Auckland was $1,003,575 in September – up from $916,162 for the same period in 2019.
Climbing 2.2 per cent on August 2020, the average asking price in Auckland has been sitting above $950,000 since January this year. Vanessa says it will be interesting to see whether prices in the region hold or drop back to the mid to high $950,000 mark.
The national average asking price was up by 11.5 per cent year on year to $764,864, although prices were pegged back from their August highs.
“After a large jump in national asking prices in August, we’ve seen a 7.3 per cent decrease in September which suggests prices are now starting to normalise,” Taylor says.
Across the country house prices saw some of the biggest month on month increases in September, compared to the same time last year - the average asking price in Taranaki was up 20.4 per cent.
“The average house sale in Taranaki now asks over half a million dollars - close to $90,000 more than it did at the same time last year,” Taylor says.
“We are seeing prices being driven up by our regions at the moment – nearby Central North Island and Gisborne saw some of the biggest month on month increases in September with asking prices up 5.6 per cent (to $638,162) and 7.8 per cent (to $572,879) respectively,” she says.