The Edinburgh Realty eNewsletter

Yet another record high for Otago

The April 2017 median price across the Otago region – Central Otago, Clutha, Dunedin, Queenstown and Waitaki – rose by $43,000 (13%) compared to April 2016. At $381,000, the figure is yet another record high for the region.  

The latest Real Estate Institute of New Zealand (REINZ) statistics show Central Otago prices rose 25% over the past year – from $372,000, to $465,000. In Dunedin, there was a 10% lift, to $345,000.

The number of sales fell across the region, with 191 sales in Dunedin over April 2017, compared to 261 sales in April 2016. In Central, sales dropped from 56 to 37 over the same period.

Nationwide situation

Prices stabilised and sales volumes fell across New Zealand during April, as the market moved past the traditional March peak and into a typical cyclical April.

Along with Otago, Waikato and Wellington also hit new record high median prices during April.

REINZ Chief Executive Bindi Norwell says the April data shows the market is reasonably stable and the overall tone of the market remains broadly positive.

The number of properties available for sale continues to decline nationwide, with 1028 fewer houses for sale in April compared to 12 months ago.

House Price Index up 7.8%

The House Price Index indicates that activity nationwide, year-on-year, has lifted 7.8%.

The new index is already being used by the Reserve Bank and major banks. It provides a new level of detail and understanding of the true movements of housing values over time. It does this by analysing how prices in a market are influenced by a range of attributes – such as land area, floor area, number of bedrooms, etc – to create a single, more accurate measure of housing activity and trends over time.