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!
New Zealand's median house price continued to show strong annual growth. Although the previous record median house price was not eclipsed, the market continues to exhibit strong competition. For example, the median days to sell were 15 days less than in June last year.
New Zealand's median house price rose 28.7% year-on-year to reach $820,000, up from $637,000. Bay of Plenty's median price is now $840,000, pulling ahead of the national median, up 31.3% annually. The Rotorua District's median house price was $587,500 in June, up a considerable 23.4% compared to last year.
Monthly prices were relatively flat across the country, up 0.3%, representing a slower growth rate compared to the same time last year where property prices increased 3.1% month-on-month. Bay of Plenty prices rose 2.4% compared to May 2021, supported by solid growth in the Western Bay of Plenty District. The Rotorua District slipped 1.3% when compared to REINZ's revised May 2021 median price. This is in line with a 0.6% drop last year and reflects the familiar sight of slower house price growth during the winter months. It remains a "wait and see" scenario to assess the impact of the LVR restrictions and the opportunity ahead for first home buyers to get on the property ladder.
Last month we highlighted the lack of inventory available. This dropped further in June, with only 13,861 properties available for sale. This is 33.3% (or 6,911) less than 12 months ago and a telling story of why we continue to see pressure on house prices throughout New Zealand.
Jen Baird, REINZ CEO, noted: "House price rises have continued to defy expectations with every region in the country seeing an uplift in median house prices when compared to the same time last year, and five regions seeing outright records in June."
"Those buyers hoping for a bargain over winter might be disappointed, and today's data really points to how important it is to address the housing supply issues we have," she continued.
Neville Falconer, REINZ Regional Director, commented on the Bay of Plenty: "New listings decreased annually by -15.7% to 467 – the lowest for a June month since records began. Median days to sell stayed at the same level as last month (31) but was the fastest for a June month since records began. New listings continue to attract a lot of interest as they come onto the market as overall inventory levels remains low, with only 7 weeks of total inventory available (726 properties). Prices remain above buyer expectations with competition for available properties continuing."
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 see how much your property has increased in value!