Welcome to Key Real Estate's monthly Property Report. We'll look at properties for sale in Rotorua, the Bay of Plenty and across the country. Check out the house price highlights below!

Median prices for residential property decreased by 12.2%, from $900,000 in December 2021 to $790,000 in December 2022. Bay of Plenty's median house price was $875,000, correlating with nationwide prices and an annual decrease of 5.1%. In December, the Rotorua District's median house price was $565,000, a 19.3% decrease compared to last year.

The median nationwide price excluding Auckland was down from $710,000 in November to $700,000 in December. Month on month prices showed a decrease in growth, down 2.2% across the country during December. Bay of Plenty's median house price was up 2.3% compared to November. The Rotorua District decreased by $105,000 or 15.7%.

Inventory levels continue to increase. The total number of properties for sale nationwide increased by 55.3% from December 2021 to 26057. The Bay of Plenty has decreased inventory by 26.3% since December 2021. Higher numbers of properties for sale mean more opportunities and choices for buyers. Buyers are taking more time to decide and including more due diligence when making offers resulting in a lengthier sale process.

Jen Baird, REINZ CEO, noted: “With interest rates rising and banks stress testing at 8.1-8.5%, buyers’ ability to secure finance and service a mortgage remains a key driver to buyers taking their time. As a result, properties are spending longer on the market with 40 being the median days to sell, 11 days longer compared to December 2021. Again, cheaper prices coupled with more choice for buyers means sellers have to be realistic about their price and timing expectations.” 

We hope you enjoyed this month's Property Report. With so much movement in house prices, contact Key Real Estate, your Rotorua property specialists, to find your property value!