Strong end to the winter property market
- By : Daniel Carney
- In : Residential Investment Property,Residential Investment Property Market Updates
- Comments : 0
As of September 1, we officially entered the bright and chirpy season of spring, despite the weather largely remaining moody and grey.
The same can't be said for the property investment market, however, which has certainly shown plenty of life. According to the Real Estate Institute of New Zealand (REINZ), every single region in our nation experienced growth in the 12 months to August 2015.
Astonishingly, there were almost 7,800 homes sold in August 2015 alone, which is an increase of more than 41 per cent from the same time last year. This is in addition to the national median price increasing by 10.7 per cent over the same time period.
However, it's when you separate the regions that it gets interesting. Residential investment property in Auckland is still paying large dividends, as dwelling values grew at almost twice the pace of the national average. Indeed, when you remove Auckland from the country's results, the growth in national median price falls to just 2.5 per cent.
It would appear that auctions are very popular at the moment too, as at 1,916, they were the highest volume of auctions for any August ever, and the second highest of all time.
REINZ Chief Executive Colleen Milne asserts that real estate in Hamilton appears to be experiencing a ripple effect from Auckland property investment.
"The presence of Auckland buyers in other regions is also becoming more noticeable, with a surge in Auckland investors buying in Dunedin and continued strong demand for properties in the Waikato and Bay of Plenty from Auckland buyers," she said.
Given that spring is commonly considered the selling season, one can only imagine what it will bring for residential investment property. If you would like to know more, you should seek property investment advice from an authorised financial adviser. With unique insights and experience, they can help you get a grasp on the property investment ladder.
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