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 8.2%, from $840,000 in May 2022 to $780,000 in May 2023. Bay of Plenty's median house price was $790,000, correlating with nationwide prices and an annual decrease of 13.2%. In May, the Rotorua District's median house price was $600,000, an 7.6% decrease compared to last year.

The median nationwide price excluding Auckland was down 2.1% from April to $685,000 in May. Nationally the month-on-month prices did not change across the country during May. Bay of Plenty's median house price was down 3.7% compared to April. The Rotorua District dipped slightly from $605,000 to $600,000.

Inventory levels continue to increase. The total number of properties for sale nationwide increased by 0.9% from May 2022 to 26,685 in May 2023. The Bay of Plenty has increased inventory by one week to 22 weeks since May 2022. More property is sold on the market, giving buyers more choice and more time to decide. The result is that there is less upward pressure on prices.

Jen Baird, REINZ CEO, noted: "Inventory levels look to have stabilized with only a slight increase in stock levels. We have seen low levels of property coming to market across the country for much of this year, and as sales volumes are back at more normal levels, we may be seeing the beginning of a shift in the balance of supply vs demand." 

Neville Falconer, REINZ Regional Director, says: "Across the region, buyers are reluctant to overpay and continue to feel uncertain about interest rates. Many buyers tend to wait out their options until after the election. Vendors are taking their time to adjust to realistic price expectations, especially those that purchased their property in the peak of the market". 

We hope you enjoyed this month's Property Report.

With so much movement in house prices, contact Key Real Estate, your Rotorua property specialist, to find your property value!