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Glimmer of hope for New Zealand real estate market

But the industry is viewing the news with caution as another report shows that the property slowdown has had a severe impact on real estate agents with 19% having left the industry in the past year.

The NZ Property Report, published by the Real Estate Institute, shows a sharp decrease in the number of properties listed for sale in the country in what it describes as an indication that the buyers' market of the last year may be turning in favour of sellers.

And a report from the Crockers Property Group shows stronger sales in March, especially in Auckland, aided by population growth and expats returning home.

Meanwhile Bank of New Zealand's chief economist Tony Alexander has told buyers that they shouldn't risk holding off in the expectation of lower prices.

Most analysts are warning against reading too much into the reports and say it is too early to confirm an upturn.

The Real Estate Institute report shows 10,453 properties were listed in April, a decrease of 21% from March and 34% from the same time last year. 'The New Zealand property market has been a buyer's market for 18 months. However, this is a significant drop in new listings,' said Alistair Helm, chief executive of realestate.co.nz.

Glenda Whitehead, Auckland valuer for QV Valuations, said the market was a happier place than it had been in the past 12 months. 'But it is too early to suggest a dynamic shift,' she added.

Further figures from the Real Estate Institute show that 19% of sales agents have dropped out in the past year, an estimated 4,000. However those that are still in the industry are expected to survive the downturn.

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