Home | September 2024 Market News
Trends we are noticing are:
According to REINZ Chief Executive Jen Baird, while the market remains subdued, there is a noticeable rise in positivity and confidence that things will continue to improve as we approach the end of the year. Despite lingering challenges such as the cost of living, many believe that the downward trend of interest rates will lead to a gradual recovery as we move into 2025.
After the Reserve Bank reduced the OCR rate by 50 basis points to 4.75%, the market is expected to see more activity from those who are ready to buy, reinforcing the optimism in the market, and this will likely be reflected in the coming months’ property reports, adds Baird.
The national median price decreased 2.3% year-on-year, from $799,000 to $781,000, and increased 2.1% month-on-month from $765,000. For New Zealand, excluding Auckland, the median price decreased slightly by 0.7% year-on-year (only $5,000), from $700,000 to $695,000. The median price increased by 2.2% compared to August 2024, up from $680,000.
“The signs across the country are largely of stability with slight decreases year-on-year, and the median price increase of 2.1% compared to August a slight improvement. Even though we are seeing another year-on-year decrease, this is in line with what we expect this time of year so the market is doing what we would expect, another sign of stability,” said Baird
The total number of properties sold nationally decreased by 1.1% compared to September 2023, down from 5,881 to 5,816. Compared to August 2024, sales counts decreased by 3.3%, from 6,015 to 5,816. However, sales in New Zealand, excluding Auckland, increased by 4.5% year-on-year.
“Local salespeople around the country have noted an increase in buyers attending open homes, more so than the usual spring lift we see each year. With some regions now seeing an uplift in sales (7 out of 16 regions), buyer engagement is improving, with listings receiving more enquiries. These trends could lead to a more robust market in the coming months, particularly if expected improvements in market activity and reductions in interest rates eventuate,” added Baird.
Compared to September 2023
Compared to August 2024
The current median Days to Sell of 41 days is more than the 10-year average for September which is 35 days.
The median price for Canterbury increased 1.2% year-on-year to $688,000. “Most vendors were engaged and informed on current market expectations, while others saw the decline in interest rates as a sign that prices may increase.
Declining interest rates, job security and increasing positivity among vendors and buyers influenced market sentiment. Local salespeople are cautiously optimistic that the market will improve in early 2025, especially if interest rates continue to decline.”
– Jen Baird, REINZ CEO
National Median Price $781,000
Compared to August 2023 this has decreased by 2.3%
National Median Days to Sell 49
The total number of properties sold in New Zealand decreased by 1.1% compared to September 2023, from 5,881 to 5,816. Sales decreased by 3.3% month-on-month, from 6,015 to 5,816.
Nationally, seasonally adjusted figures show a sales increase of 2.4% compared to September 2023 and an increase of 0.4% compared to August 2024.
Listings nationally increased by 18.7% year-on-year from 7,812 to 9,276, continuing a trend since the start of 2024.
Information sourced from REINZ Real Estate Institute New Zealand
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