PHOTO: homes.co.nz
Trade Me has released its annual State of the Nation report surveying 2,198 Kiwi who searched for a property, job or vehicle on Trade Me in 2022.
The report produced some encouraging results that contrast with the current, somewhat pessimistic, view of the property market voiced in the media.
1. People still want to buy
Source: Trade Me State of the Nation Report 2023
Yes, the property market is slow and listing numbers are low but 21% of people said they plan to buy a house in the next 12 months. So, people are still transacting which means the market continues to move.
Source: Trade Me State of the Nation Report 2023
There are two main reasons why they’re motivated to buy:
- Trade Me found that 25% were upsizing: people are watching the prices coming down and seeing it as a good time to upsize and get a bargain.
- Trade Me found that 22% were moving somewhere else in Aotearoa: with the recent cost-of-living squeeze, people are finding life in the city too expensive and opting for a cheaper lifestyle in the regions. This is, of course, made easier in a world where workplace flexibility is much more commonplace, allowing people to take their jobs with them.
2. People think now is a good time to buy
Source: Trade Me State of the Nation Report 2023
In the study, 38% of homeowners and 55% of investors felt now was good time to buy. With prices dropping back down after the 2021 peak, affordability has risen and people are more confident about finding a new home at a reasonable price.
3. The 2021 market wasn’t ‘normal’
Source: Trade Me State of the Nation Report 2023
Source: Trade Me State of the Nation Report 2023
It’s true that this year has been off to a slow start in the property market – but 20 years of Trade Me ‘days on site’ data helps bring some perspective to this. In 2021, we experienced the hottest property market on record with the median number of days on site (before selling) dropping to just 28 days in March and November. This was an abnormal year, with houses flying out the door, while 2022 was more ‘normal’ sitting on an average of 58 days on site.
This information is not intended as a complete guide, as it doesn’t consider your individual needs or financial situation. Homes.co.nz accepts no responsibility or liability for any inaccuracies or omissions in the content. Always obtain independent legal advice before buying or selling property.
Monthly Property Update
April 2023
The homes.co.nz Monthly Property Update is generated using homes.co.nz’s April 2023 HomesEstimates, providing an up-to-date perspective on house values around New Zealand.
Trends in our Main Cities
We’re certainly seeing the median HomesEstimate level out across the nation. Christchurch is bucking the downward trend with a 1.5% HomesEstimate increase in April compared to March.
How do we calculate these figures?
The homes.co.nz Monthly Property Update is generated using homes.co.nz’s monthly HomesEstimates and provides an up-to-date perspective on house values around New Zealand. By valuing the entire housing stock, the homes.co.nz Monthly Property Update can compare median values from month to month in a consistent and reliable way. Our HomesEstimates are calculated for almost every home in New Zealand by an algorithm that identifies the relationships between sales prices and the features of a property.
Established in 2013, homes.co.nz is NZ’s first free property information portal eager to share free property information to New Zealanders.
NZ’s First Home Buyer HomesEstimate
The “First Home Buyer HomesEstimate” is homes.co.nz’s estimate of what a typical first home may cost. It is calculated to be the lower quartile HomesEstimate in a town.
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