PHOTO: CoreLogic House Price Index
A few highlights:
- Nationwide values increased by a further 3.1% over April, with annual growth at 18.4% (up from 16.2% last month). HPI clearly illustrates the significant growth in the market since we exited Alert Level 3 lockdown status almost a year ago
- Other measures of market activity have become hugely important, especially monitoring mortgage related valuation activity. The flow of valuations in April provides some evidence that housing market activity has reduced. Recent valuation orders are down -11% compared to the previous six months.
- No evidence of a lift in owners exiting the market; new listings remained steady while the total number of properties listed for sale on Trade Me Property dropped over the month from 23,100 to 22,300. Such tight advertised supply levels are likely to keep some sense of urgency in the market as buyers compete for a relatively small pool of advertised properties.
- CoreLogic’s pre-listing measure which tracks appraisal volumes was down -6% on the levels over the last six months, which partly reflect the seasonal difference of vendors favouring to list property through spring and summer.
- Looking ahead, our expectation for future gains has been tempered, as the profitability of investment property has reduced. This will likely mean a slowing of the recent growth rate over the next few months.
Main Centres
Change in property values | Average Value | |||
Month | Quarter | Annual | ||
Auckland | 2.4% | 7.2% | 15.6% | $1,247,980 |
Hamilton | 4.1% | 9.4% | 20.5% | $759,110 |
Tauranga | 2.7% | 3.7% | 19.0% | $921,581 |
Wellington | 3.8% | 10.5% | 23.7% | $971,393 |
Christchurch | 3.3% | 6.9% | 15.1% | $594,577 |
Dunedin | 2.4% | 7.3% | 15.1% | $635,649 |
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