sign up log in
Want to go ad-free? Find out how, here.

Just over a third of properties sold under the hammer at the latest auctions

Property / news
Just over a third of properties sold under the hammer at the latest auctions
Auction flag

Residential property auction activity took a surprising tumble at the latest auctions with the number of properties auctioned, and the number selling under the hammer, both declining.

Interest.co.nz monitored 291 residential auctions around the country over the week of February 3-9.

Of those, 102 properties sold under the hammer giving an overall sales rate of 35%.

Those numbers were both down on the previous week (27 January - 2 February) when 315 properties were auctioned and 131 sold under the hammer, giving an overall sales rate of 42%.

The first week of February is an important one on the real estate calendar because it is the first week of the main summer selling season, which lasts at least until the end of March.

Significantly, the sales rate of 35% was slightly less than the sales rate for the equivalent week of last year (4-10 February 2023), when 37% of the properties offered sold under the hammer.

And the auctions at the beginning of last year marked the start of a sustained property slump.

The latest rather weak auction results come after two other sets of data which may suggest a fairly soft start to the summer selling season.

Firstly, Realestate.co.nz has reported high levels of stock for sale at the end of January, while Auckland's largest real estate agency, Barfoot & Thompson, has reported a slow start to the year.

The Real Estate Institute of NZ's January sales data is due out next Wednesday. That should give us a few more clues about how summer real estate trade is shaping up this year.

The table below shows the latest auction results in each district, and details of the individual properties offered at all of the auctions monitored, including  the prices of those that sold, are available on our Residential Auction Results page.

•You can have articles like this delivered directly to your inbox via our free Property Newsletter. We send it out 3-5 times a week with all of our property-related news, including auction results, interest rate movements and market commentary and analysis. To start receiving them, register here (it's free) and when approved you can select any of our free email newsletters.   

We welcome your comments below. If you are not already registered, please register to comment.

Remember we welcome robust, respectful and insightful debate. We don't welcome abusive or defamatory comments and will de-register those repeatedly making such comments. Our current comment policy is here.

42 Comments

Where are the early bird Spruikers?

Just crickets

The Central suburbs in AKL have the highest CVs, they lead the NZ Market Up/down, the fact that only 15% selling above CV is damning for the industry narrative of a recovery.

Prices down 10% in 2024.

Up
25

Ticket clipper volumes continue to stay low as well. Oh the humanity. 

It's not that people don't want to buy house, they just can't make the math work. Add in banks have legislation making directors liable for greed based lending.

🍿 

Up
19

The Central suburbs in AKL have the highest CVs

Utter nonsense, IT GUY.  You display sheer ignorance in making such a sweeping generalisation......

In fact, a good chunk of central Auckland has some of the lowest CVs across the entire Auckland region. It's over-represented by a large volume of small apartments which are often leaky and structurally suspect - with noisy plumbing and inhabitants - as well as dysfunctional body corporates. Ugly too. Values are destined to fall, in my view.

You've been hanging around here for long enough, IT GUY, so you should know better. Misleading/deceptive generalisations are unhelpful to robust dialogue.

TTP

Up
6

Misleading/deceptive generalisations are unhelpful to robust dialogue

!

(I can't seem to find a pot or kettle emoji...)

Up
27

This is specifically auction data though so wouldn't the vast majority be from high CV suburbs? I can't imagine many inner city apartments being sold at auction. I could be completely wrong though. 

Up
6

City sales holds auctions on Central city apartments. I cant say if they sell many

Up
0

A bit rich coming from the king of misleading/deceptive generalisations….

Up
6

IT GUY is one of the bigger sh1t stirrers, a rich guy with too much time on his grubby hands

Just jokes IT GUY

Up
0

Percentage of RV is not a great indicator as RVs are updated in differing areas all the time. I usually just look at the Auckland % RV data. Central suburbs and Manukau both had RVs last updated in 2021. To have 90 properties in these two areas sell and only somewhere between 11-15% of them achieve their 2021 RV suggests we are correcting back to precovid times. Not long til the REINZ HPI comes out, then we will really see.

Up
5

In Glendowie at the top Nov 2021 everything was selling for 15% OVER CV

Up
7

Friends have a house in south akl for sale, its a complete do up on a large section in a great street, lots of pre auction offers, the bottom end is doing ok.

Up
1

Demand is being sucked out of the economy at an increasing rate. Mostly due to renewal of mortgages at higher rates. Notice how many cars on sale at roadsides in Rodney since mid Jan. 
Rates we are now told will likely not fall til 2025

Deluded ideas that prices and or sales will rise before Sept at earliest. Market had its blow off top driven by silly rates and mortgage holidays. Now the doldrums I am afraid. A 40% rise in prices in 2 years has to be compensated for by below average market for 3 years minimum. Look at 2014-15 and then witness what happened 2017-20

Up
14

Telos are making the HUGE sales in dairy flat, bet they're not complaining 

Up
0

But but but.......the likely debt monkey, needle pushing suspects, TA, AC, SQUIŔEL rooster and TTP were all working in unison over the last few months attempting to suck in a new set of gullible housing Ponzi backers.........its all failing for them spectacularly now!

The radio waves and websites have been blaring their self serving, debt enslavement, yet failed messaging.

 

More egg dripping from their clown car driver faces is comming in 2024/2025/2026,  as home prices retreat yet another 20% in many areas,  to start, as they continue to move towards reasonable affordability.

2024 sales prices have been a shocker already,  as many homes are selling at significant losses.

This will continues as the cost of borrowed debt nooses are set to stay tightly elevated, likely higher and suffocating.

Up
21

The housing market is dead man walking.. the next storm will lay it to rest...

Please pray for those spruikers..

Up
17

No mention at all in the article or in the doomie gloomies comments of the fact this period included the Waitangi Day holiday, and for many a 4 day weekend as a probable reason why the number of Auctions were down.   

Up
6

True. The sales rate or the ever increasing housing stock are not affected by the holiday, though. Nor is the perspective of 'higher for longer'. Neither the insane price to income ratios, which have been at unsustainable levels well before 2015 (not a typo), but somehow we all pretend to have forgotten about that

Up
16

You reckon he'll get it?

Up
8

You have to be slow not to be able to understand percentages..

Up
14

50% of people have a below average I.Q.

What is the average number of arms that the global population has?

Up
1

2 😂

Up
0

Pretty sure Waitangi Day was at the same time last year

Up
4

China will certainly weigh in on the year ahead...Not sure National / Act / NZF  will be the musketeers many had hoped for ... problem I see with restructuring and cutting fat is it initially comes at a high cost and the returns tend to be far off .... Havent got a clue as to why you would drop the Auckland fuel tax other than maybe to replace it with tolling....but you would need to implement the latter swiftly...all in all...Does anybody actually know what they are doing.....lol .... Should we be spending millions pondering the Treaty again ? Isnt the lead up week to Waitangi day every year sufficient for that? Much bigger problems floating in the pool of despair from where I sit....lol  Uncertainty, possibly more than many NZers have felt in a very long time ... and without sound policy and direction....it will grind on . I dont think flipping houses to each other is gonna cut it ...this time round... Im thinking instead of building anything at all in Auckland the money would be better spent developing and attracting investment in the winterless North (the final frontier...lol) .... Aucklands 'full up mate'....throwing money into Auckland is full of complexities ... elsewhere less invasive on population and cheaper labour pool available..bonus is untapped potential including tourism... social ills should melt with large scale development....never mind carry on throwing money into the Auckland bucket that leaks like a sieve...    My 10 cents ... lol

Up
13

Over coffee this am I was discussing NZ with Mrs IT Guy, it seems to us all we do here is agriculture, forectry, fishing, building houses ......    we just make so little here now.

We have tourism though thats dependant on foreign economies...   and thats looking sad, anyway its a low $$ game and most get paid minimal while working for offshore owners.   We seem to be ok at selling delayed Aussie entry visas.   You just need to work here at $28 an hour for the qualifying period.

Having so little productive income house prices must fall as they can no longer be afforded by the next generation, my own kids want to goto Aussie ASAP so they will not be buyers.

 

Up
21

Hi IT GUY,

Suggest you follow the lead of your offspring.

TTP

Up
5

This slow market must be crimping your style super spruiker......   Have you had to return the range rover?

Up
21

If you still had your marbles, IT GUY, you'd recall I drive a Hillman Hunter.

TTP

Up
3

Tim you’re like Interests very own Tucker Carlson - don’t reckon you could even lie straight in bed at night eh  

Up
15

We dont even hire New Zealanders to work in the tourism industry, they're all immigrants, mostly those on working holiday visas or brought in under the Accredited Employer scheme to work for low wages because the unemployed dont want to clean hotel rooms or wait tables.

Up
1

re ... "We dont even hire New Zealanders to work in the tourism industry, they're all immigrants,..."

Did you make that up? If you believe it to be true - then prove it.

Up
0

Highest percentage of active buyers in the market right now are the FHB clients. However, they"ll stay away from auction properties. Time for RE to adjust to the market. 

Up
6

Tom Rawson, director and branch manager of Ray White Manukau, said falls would be a good thing because the 2021 rateable values were set very high.

“I think people have been seeing the rateable value at the moment as the top end of what the property could be worth rather than what it is worth.”

RVs that were too high can be a problem, he said, because they put potential buyers off from even looking at properties that might otherwise be within their reach.

 

There you have it, falls are a good thing.....    Spruikers have no shame, so another 20% will be a great thing, by then FHBers will be more active thus more commissions will occur.......

Up
18

Speaking of CVs. Why’s no one talking about this article? 

Many AKL suburbs about to be adjusted -10% or more down from their 2021 highs.

This is not going to bode well. 

‘Reality check’: The suburbs at risk of falling RVs‘

https://www.oneroof.co.nz/news/reality-check-the-suburbs-at-risk-of-fal…

Up
8

Who would have thought that Pt England, home of so many 501s could fall in price? that shooting would not have helped....... Maybe it could be renamed Glen Innes Heights?

WGTN gets proper F%4ked...

Not the the article clearly states falling CVs will probably not reduce your rates bill.......    who could have guessed

Up
4

Pt England average probably brought down a bit by all the townhouses 

Up
1

the article clearly states falling CVs will probably not reduce your rates bill.......    who could have guessed

Anybody that understand what RVs are, and how rates are set?

Up
2

Because RVs are noise, and were set at the peak of the bubble, its not really a surprise.

Up
5

This massive NZ bubble will deflate over 5 years imho......flatlining out at a 40% to 50% flop in 2026.

 

Up
6

Are you talking in gross or real terms? House prices averaging 500k in two years time would be an astounding result considering houses currently cost $3400/m2 to build minus land and consent.

Up
0

Real terms. $ losses plus inflation losses.

I laugh when supposedly knowledgeable economic types (property market skimming spruikers) say property is the best inflation hedge!

It has been totally awful over the last 3 years   just as it was over the 1970s/80s 

We are already down 20 to 30% given the real losses, where property has been the worst inflation hedge among most asset classes.

Up
7

It's not all bad news. Coatesville is up 37% in the last 4 years. I've bought land 200m from the Coatesville boundary, it's all go there. 

Who wants to get rich...anyone? Errr...no...I thought not. 

Up
0

Coatesville has done ok, around here in wainui/waitoki , good horse properties are selling above CV, life is short people with money still paying for lifestyle, shitboxes in the city, not so much.   central city suburbs been smacked hard though so what people thought was safe has not been, perhaps WFH helped as well....   

 

smaller 1H properties are not selling people want lifestle with options

 

 

 

Up
1