While property prices were up for the three months that ended in February, property prices did grow at a slower pace than they have in the previous three months.
In February, statistics available show that residential property values moved up 7.7% over the previous three months. This is down from the 8.9% growth that house prices saw increase for the three months ending 31 January. The average price that houses sold in February was Z $393,240 which is up from Z $390,636.
The property market, as required by Quotable Value ZN is fairly subdued.
According to Blue Hancock a spokesman from QV, as reported by the New Zealand Herald, "Banks have lifted their mortgage rates, properties are staying on the market for longer, and the volume of sales is really dropping. There are less active buyer and sellers in the market, with those keen to sell having to accept lower offers."
Hamilton was the largest area to see a growth drop in this period. Property price growth dropped there from 8.3% to just 6.1%.
While the housing market has not stopped growing in terms of house values, many investors take note of the length of time property sells as being a good indication of the future house sales market.
