Regional markets start to show strength in April

News Release
12 May 2015
Regional markets start to show strength in April
Summary
7,234 dwellings sold in April 2015, up 27.6% on Apr
il 2014 and down 17.8% on March 2015
National median price of $455,000, up $22,750 on Ap
ril 2014 and down $20,000 on March 2015
A rise of 5.3% in the national median price in the
12 months to April 2015
The national median price, excluding Auckland, up $
3,000 compared to April 2014 and March 2015
A rise of 18% in Auckland’s median price, from $611
,500 to $720,000, between April 2014 and April 2015
REINZ, the most up to date source of real estate da
ta in New Zealand, announced today that there were
7,234 dwelling sales in
April 2015, up 27.6% on April 2014 and down 17.8% c
ompared to March.
The national median price was $455,000 for April, a
n increase of $22,750 or 5.3% compared to April 201
4 and a decrease of
$20,000 or 4.2% from March. Excluding the impact o
f the Auckland region, the national median price wa
s up $3,000 (+0.9%)
compared to April 2014 and to March, at $353,000.
Real Estate Institute of New Zealand (REINZ) Chief
Executive Colleen Milne says, “Auckland continues t
o dominate the real
estate market in terms of price movements, but we a
re starting to see some of the smaller regions show
improvements in the
number of sales being made and price increases. Re
gions such as Northland, Hawkes Bay and Central Ota
go Lakes, which
represent 7.5% of national sales, are seeing solid
gains in both price and sales volumes. Other region
s such as Waikato/Bay of
Plenty are seeing volume growth, while Otago and Ta
ranaki are seeing more price growth.”
“The strong price movements in Auckland, particular
ly on the North Shore and in Rodney, continue to be
driven by high demand
from all types of property buyers and from a lack o
f sufficient new supply – both new builds and listi
ngs of existing properties,”
Milne says. “New builds take time to be completed.
Meanwhile the very low level of new listings sugges
ts that potential vendors
are considering factors other than just price in ma
king the decision whether to sell their properties.
Sales Volumes
REINZ data shows there were 7,234 unconditional res
idential sales in April, a 27.6% increase on April
2014 and a decrease of
17.8% from March. On a seasonally adjusted basis th
e number of sales fell by 0.5% from March to April,
indicating that April
sales were about in line with what would normally b
e expected for this time of year.

Sales volumes excluding Auckland were down 12.8% co
mpared to March and up 29.4% compared to April 2014
, although on a
seasonally adjusted basis sales volumes excluding A
uckland were up 1.5% from March, indicating that sa
les outside of Auckland
were more robust than the national total.
Two regions recorded increased sales volume compare
d to March, with Northland recording the largest in
crease of 15.4%,
followed by Central Otago Lakes with 2.7%. Compared
to April 2014, all regions recorded increases in s
ales volume, with
Northland recording the largest of 67.8%, followed
by Waikato/Bay of Plenty with 53.2% and Central Ota
go Lakes with 41.1%.
Prices
The national median house price fell $20,000 (-4.2%
) compared to March, to $455,000. In comparison wi
th April 2014 the
median price increased by $22,750 (+5.3%), with eig
ht regions recording rises. Excluding the Auckland
region, the national
median price rose $3,000 (or 0.9%) compared to Apri
l 2014 and March, to $353,000. On a seasonally adj
usted basis the national
median house price rose 5.1% compared to April 2014
and fell 2.3% compared with March.

Seasonally
Adjusted
Median
Prices
Central Otago Lakes recorded the largest percentage
increase in median price compared to April 2014, a
t 18.2%, followed by
Auckland at 17.7% and Hawkes Bay at 13.4%. Compare
d to March, Hawkes Bay recorded the largest percent
age increase in
median price, at 10.9%, followed by Northland at 8.
2% and Southland at 8.1%.
The REINZ Stratified Housing Price Index, which adj
usts for some of the variations in the mix that can
affect the median price,
has been recalibrated and the new indices backdated
to January 2011. All HPI commentary is based on th
e recalibrated index.
The NZ House Price Index is 9.3% higher than in Apr
il 2014. The Auckland Index rose 18.9% compared to
April 2014, the
Christchurch Index fell 0.6% and the Wellington Ind
ex fell 2.8%.

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