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 nationwide decreased by 5.9%, from $850,000 in August 2021 to $800,000 in August 2022. Bay of Plenty's median house price was $895,000, with an annual gain of 6.5%. This gain was mainly due to increases in the Whakatane District. In August Rotorua District's median house price was $675,000, an 8.9% increase compared to last year.
The median nationwide price excluding Auckland was down from $720,000 in July to $700,000 in August. Month on month prices showed a decrease in growth down 1.2% across the country during August. Bay of Plenty's median house price was up 4.1% compared to July. The Rotorua District increased by $40,000 or 6.3%.
Inventory levels continue to increase. The total number of properties for sale nationwide increased by 107.7% from August 2021 to 25,441. The Bay of Plenty has increased inventory by over 170.2% since August 2021.
Jen Baird, REINZ CEO, noted: "Since the peak in November 2021, we have seen median prices ease. In the last six months, the median price across New Zealand has decreased by 9.6%. Wellington has decreased 21.6% from $995,000 in February 2022 to $780,000 this month. These are the greatest six-month drops each has experienced since REINZ records began in 1992. That said, some real estate agents report increased open home attendance. And while owner occupiers remain a dominant force in the market, first home buyers are beginning to re-emerge. As sellers adjust their expectations to meet the market, now is a great time to consider upsizing or downsizing. Although affordability remains a challenge, relaxing the Credit Contracts and Consumer Finance Act (CCCFA) and the opportunity to negotiate attract savvy first home buyers."
Neville Falconer, REINZ Regional Director, says: "In Rotorua, buyers are waiting for easier access to finance and for prices in the region to ease. More sales were subject to conditions such as house sales in August. Attendance at open homes was inconsistent, and the most active buyer groups over the course of the month were owner occupiers and first home buyers. Rotorua salespeople say that the local election coming up in October may interrupt the region's usual spring lift in activity."
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!