Buyers’ market expands: Number of homes for sale doubles

Katherine George / Stuff

Buyers have more options and can take their time in the process.

New data from property listing website Realestate.co.nz indicates that, while many parts of the country are now a “buyers’ market”, the housing market shows no signs of declining.

Realestate.co.nz reports that the number of homes available for sale has steadily increased since the middle of last year.

There were 12,684 in the market in July last year. This had increased to 26,358 at the end of July this year.

Eleven regions, including Hawkes Bay, Nelson and Bay, Wellington, Bay of Plenty, Waikato, Central North Island, Manawatu/Wanganui, Wairarapa and Northland, had at least twice the housing stock this year than last.

Read more:
* ANZ’s 15% home price drop raises negative equity fears for recent buyers
* How to choose the best way to sell your home in a tough market
* Wellington buyer’s market for the first time in eight years

“During 2021, we saw record-low month-on-month housing stocks, which created challenges for buyers and increased urgency in the market,” said spokeswoman Vanessa Williams.

“But for the past few months, New Zealand has experienced housing stock levels not seen since 2019. This has created a stagnant and less urgent environment for buyers – allowing them to make decisions about their purchases, their offerings and the arrangements for necessary inspections. I’m getting time to think.”

Williams noted that Wellington, Auckland, Hawke’s Bay and Gisborne had become “buyers’ markets”, while Otago, Waikato, Manawatu/Whanganui, Nelson and Bay and the Bay of Plenty were showing signs of shifting in favor of buyers.

Read |  Big jump: Nifty records biggest monthly gain since November 2020

Hawkes Bay has seen the biggest increase in listings.

Auckland had 83% more listings than a year earlier, and Canterbury had 98.5% more listings.

material

Housing Minister Megan Woods and Environment Minister David Parker announced changes to a law that would allow landowners to build up to three storeys without resource consent. (first published October 2021)

“Many factors, including total housing stock, new listings and current sales rates, contribute to market sentiment. In recent years we have experienced high demand and lack of housing supply, pushing up prices and putting power in the hands of the seller,” she said.

“But the market has started to shift. We have seen a record number of consents from councils for the construction of new homes and buyer FOMO (fear of missing out) is reducing. scales are tipped; Buyers now have the edge. ,

But he said that instead of heading towards a “bubble burst” scenario, it looked like the market was flattening out.

“Because the market surprised us with record low stock and record high asking prices in 2020 and 2021, perhaps we are expecting a surprise. For example, some reports are suggesting that the market is swinging from extreme to extreme. But our data does not reflect that,” she said.

The national average asking price is now $942,961 from $1 million in January.

Taranaki and the central North Island saw the sharpest decline in demand prices, down 9.1% and 8.5% year-on-year, respectively.

“Although the housing stock is rising and buyers are choosing more carefully, the fact is that there are many Kiwis in the market, ready to buy homes. It is a Kiwi dream.

Read |  Stabilizing markets is top priority, says China's securities regulator chief

“Therefore, although sellers may need to adjust their sales strategy to meet a changing market, in most cases, if you market your property well, buyers will be ready and willing to make an offer. Will wait.”

Source link