The latest statistics of property sales and prices for Auckland over recent months have continued to show that prices are flat or falling slightly. The September report from the Real Estate Institute showed that across the wider Auckland region the median sales price for all properties was $850,000, no change from a year ago. The volume of sales at 1,616 was down 2.1%. These statistics represents all properties sold by licensed real estate salespeople and include apartments, units, townhouse and lifestyle properties. It is really important when assessing property statistics to examine categories of properties separately as I do for the Devonport market.
Analysing the market for just family homes shows the comparison between Devonport, the North Shore and the wider Auckland region in the chart below.
Over the past year the sales of just houses across Devonport totalled 171, a rise of 16% with a median price of $1,750,000 in September up very slightly on the same time last year. Compare that to the North Shore generally and you see that from a total of 2,933 house sales in the 12 months to September, volumes were down 9% and prices have eased back 3% to $1,110,000. Looking to the wider Auckland region, house sales over the past year have seen volume down 2% and prices ease 1% to a median price of $915,000.
Taking a view of the key stats for the Devonport market for September.
Across all property types, the most recent 3 months (July to September) has seen the local Devonport market with a total of 42 sales, with 54 new property listings hitting the market. This strong selection of new listings has gone some way to providing a greater purchase options for eager buyers in the market. Early indications based on the first weeks of October are showing a a strong rise in the availability of properties for sale and this is likely to continue as the market gets into full gear for Spring and Summer.
It is clear that the local market is what would best be described as stable, a state that is in the best interests of buyers and sellers; for whilst homeowners naturally love to see appreciating values the uncertainty this brings makes purchasing decisions more fraught and anxious. In today’s market the key metric is not sales price which is flat, but the volume of sales which proves that properties are selling. The key to these successful sales is not a function of a hot market, but well presented properties and a seller who is realistic to this new static property price market and who understands the different sales process with a greater focus on marketing and negotiation.
Whilst the majority of sales across Devonport are houses. One in five of all sales are units, townhouses and apartments. The market for units has been, as previously reported experiencing a significant slump over the past year. There are though, early signs of a pick-up in this sector with 22 sales of units over the past 12 months, which whilst down from the peak levels of 42 sales 18 months ago is an improvement on the bottom of the market 3 months ago with just 15 sales in the preceding 12 months. Prices for units though remain weak with a 13% year-on-year decline to $713,000.