New Zealand's property market sees busiest January in four years - REINZ

February 18, 2020

Last month was the busiest January in four years, according to the Real Estate Institute.

The New Zealand property market has just had its busiest January in four years, traditionally one of the quieter months of the year according to REINZ. 

Latest figures from the Real Estate Institute of New Zealand show January was up 3.2 per cent on the same time last year.

The number of properties sold in New Zealand during that time, excluding Auckland, increased by 0.9%.

In the South Island, sales saw a decline with Tasman and Southland experiencing their largest decrease in sales for January.

Meanwhile sales in Auckland alone were the highest in four years for the month, which saw the number of properties sold in January increase by 9.7 per cent year-on-year from 1,180 to 1,295.

Median house prices across the country also increased by 11.8% in January to $615,000 up from $550,000 in January 2019 and seven regions saw new record median prices – the highest number in two months.

Bindi Norwell, chief executive at REINZ says much of the sales increase around the country is being driven by buyer confidence in the housing market. 

“Normally January is a quiet time of the year, and for a few regions that was definitely the case, however, overall the country had a strong start to the year with the most residential properties sold for the month of January in four years," says Ms Norwell.

That increase, Ms Norwell says, has been "underpinned by a relatively strong economy, good employment rates and the low interest rate environment".

Reinz figures show the change in media house prices over the year to January 2020.

Around the country, 10 out of 16 regions saw annual increases in the number of properties sold.

Ms Norwell says there were particularly strong uplifts in sales volumes in most of the middle of the North Island and the top of the South Island.

“Sales in Auckland were the highest for the month of January in four years, with particularly strong uplifts in sales volumes in North Shore City (+29.0 per cent), Waitakere City (+28.6 per cent) and Rodney District (+21.1 per cent),” she says.

Other areas around the country saw notable increases for the month including Nelson, up 42.6 per cent, Manawatu/Wanganui up 15.3 per cent and Bay of Plenty up 11.5 per cent. 

With all of the increases came decreases too. 

Regions with the largest decrease in annual sales during January included Tasman down 29.3 per cent, Southland down 27.2 per cent and Otago down 17.1 per cent. 

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