$1.46 Trillion and growing…
Although challenging for most, 2020 has certainly been an interesting year for the New Zealand property market. Contrary to what many predicted, the market has rebounded from the Covid lockdown and we’re now seeing record prices and interest around the country.
The total market value of property in NZ is estimated to be over $1.46 Trillion (based upon the total sum of all HomesEstimates on homes.co.nz), up from $1.25 Trillion 12 months ago. In the last month alone, homes.co.nz estimates the total market value of New Zealand’s housing stock increased by $30 Billion. We’ve also seen an increased interest in property with the monthly visitors to our website up over 65% from this time last year.
For those lucky enough to own a home, most will be feeling a little more wealthy this year as homes.co.nz’s median HomesEstimate has increased right across the country. This metric however is based on homes.co.nz’s market estimates of the entire housing stock and may not indicate realised capital gain. Another interesting insight is comparing sales prices from a year ago to what is currently listed for sale on homes.co.nz today.
Although more modest than our HomesEstimate trends, the market’s increasing trend is clear. Homes currently on the market are both more expensive now and there are more million dollar properties in our main centres than a year ago.
The exception here is Christchurch, where properties that are currently listed valued slightly less than a year ago, but this is more likely an anomaly than indicative of any real trend. The other cities are more in line with expectations, almost half of Aucklanders selling at the moment will likely soon be ‘millionaires’ and Wellingtonians are not far behind, 39% of current listings have a HomesEstimate of more than $1M.
Let’s take a look at the most expensive transactions at the end of 2019 to what is for sale today:
294 Victoria Avenue in Remuera was one of the cities most expensive, selling for $8.7M in Nov 2019. The most expensive on the market today is just down the road at 60 Victoria Avenue, with a current HomesEstimate of $17.7M.
3 Maida Vale Road in Roseneath was the capital’s most expensive, selling for $4.92M in Nov 2019. The most expensive on the market today is the impressive 46 Hobson Street with a current HomesEstimate of $7.6M.
The 8000m2 property at 30 Merrin Street, Avonhead was the most expensive sale a year ago for $4.3M. The most expensive Christchurch property currently listed on homes.co.nz is 282 Papanui Road in Strowan with a HomesEstimate approaching $4M.
And check out the most expensive properties for sale in NZ’s other main centres below:
Monthly HomesEstimate Property Update
The homes.co.nz Monthly Property Update is generated using homes.co.nz’s December 2020 HomesEstimates, providing an up-to-date perspective on house values around New Zealand.
Trends in our Main Cities
The momentum of the property freight train continues with median HomesEstimates continuing to increase. The median HomesEstimate in Auckland has now reached and passed $1M. This is up over 15% from 12 months ago. Hamilton, Tauranga, Wellington and Dunedin are all experiencing double-digit growth and even Christchurch values are picking up with the median HomesEstimate up to $478K (up 7.5% p.a.)Except for Auckland, homes.co.nz’s median First Home Buyers HomesEstimate is growing faster than median values in all of NZ’s main centres. Despite this, Core Logic is reporting record numbers of First Home Buyers entering the market. However, it seems they are being forced to pay for the privilege, with many having to stretch well above the lower end of the market.
NZ’s First Home Buyer HomesEstimate
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.