Trade Me Property Sales Director Gavin Lloyd said last month the national average asking price increased by 19 percent year-on-year. "Following eleven consecutive months of double-digit annual price growth, July's 19 percent jump is the largest increase on record.
Lloyd said looking across the regions, record average asking prices were seen in Auckland, Bay of Plenty, Canterbury, Hawke's Bay, Manawatu/Whanganui, Southland and Waikato.
Nationwide demand was down 16 percent year-on-year in July. "This is the third month in a row we saw a drop in demand when compared with the same month in 2020. However, July also marked a 26 percent decrease in supply when compared to the same month last year, meaning the market is still under pressure and as a result house prices are continuing to rise.
"Looking ahead, we're seeing no signs that prices will slow, especially with the Reserve Bank's announcement today that they will leave interest rates where they are for the time being."
Lloyd said nationwide, small houses (1-2 bedrooms), medium houses (3-4 bedrooms), and large houses (5+ bedrooms) saw their highest ever average asking price in July. "Small houses saw the largest year-on-year percentage increase of 27 per cent."
New Zealand's house prices hit new record highs in the last several months in a row despite the pandemic, while record low interest rates boosted demand for housing and credit. As the housing demand kept high, the supply touched low. In some regions, inventory levels were at lowest point ever. (1 U.S. dollar equals 1.45 New Zealand dollars)
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