The overall sales rate at the auctions monitored by interest.co.nz improved very slightly to 30% last week (28 May - 3 June), up from 27% the previous week.
The main movers were Canterbury where the sales rate rose to 55% from 39% the previous week and Bay of Plenty which increased to 28% from 22%.
The sales rate over the total Auckland region dipped slightly to 23% from 25% the previous week.
There remain big variations in the sales rates within the Auckland region, with the market very sluggish for Manukau and Waitakere properties, which had sales rates of 11% and 17% respectively, while things were a bit perkier on the North Shore where exactly half of the properties offered were sold under the hammer.
The table below gives the full district-by-district sales breakdown, while details of the individual properties offered at all of the auctions monitored by interest.co.nz, and the results achieved including selling prices, are available on our Residential Auction Results page.
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51 Comments
Not a good time to want to offload a Manurewa $1 million dollar shitebox then.......
Though paradoxically, it may be the best time for the next 5 years.
5 years?
Man, this end of the world thing is taking like, forever.
you need to think in geological timescales mate.
Eons even, remember when you could not give them away for $280k....
I remember they were 90k. As my advisor in the 90s said, one day an Auckland house will cost one million. Gee how right he was, nobody could see it of course
https://www.barfoot.co.nz/property/residential/manukau-city/mangere/house/832347
Some lucky vendor offloaded this Mangere beauty for $950K today.
Haha, what a "lucky" buyer, he probably thinks with 634 square meters land, he can build 6 terrace houses and sells them for 6 millions. What a "bargain"!
Bet they were disappointed given the Homes estimate of $1.4mil. Time to rejig the algorithm...
Crazy price
I went to that house about 5 years ago to pickup a trademe trade, young guy was holding it as an investment, would have got out ok even at 900ks would have done better last Nov....
Property Speculation is a tough game, just imagine all the people over NZ who be a bit better off with extra 600k in hand, going to impact peoples retirements etc etc and economy BIG TIME, massive mental change to make.
When I think of a million dollar house this doesn't come to mind..
My relatives living in San Fran and LA find New Zealand house prices and value for money absolutely bonkers. That's saying something.
Having been to both San Fransisco and LA, that's probably more to do with an assumption they believe they're in the greatest country on earth, and everywhere else is third world.
Prices there, even for shit boxes, make NZ look tame.
Pa1nter ....see my comment below....of course there are expensive properties in every major city on earth.
But for a run of the mill, say 4 bdm, 2 bths properties in a good area I know well ( very close to Washington DC) for the equivalent price of a cold, damp, south facing Mt Roskill sh*tbox ......have a look ...... https://www.zillow.com/homedetails/7604-Urbanik-Dr-Hanover-MD-21076/627…
America has a lot more cities to choose from, of wildly varying costs.
At the moment, you can buy a nice near new 3 bedroom with a pool in a number of better climates for under a hundred grand. But you wouldn't want to be a local there.
Yeah full of great housing I loved all the bars over the windows.
Where ?
Papakura?
Having been to SF and LA myself multiple times, I can't agree. Even having a look around on Zillow makes for some pretty sobering consideration of Auckland prices (and Auckland apartments). Yes, their highest high is far higher than Auckland, but that's just the very most expensive stuff.
Haha RS .....don't let the facts get in the way of a good story ! ..... had rental property in MD, 10 miles from The Whitehouse from 2012 to 2020 ....was getting 14.5% gross return on one property and 12.5% on the other. Wouldn't touch property in Auckland with a barge pole !
The greed here with residential property investing just spins me out ! .....the sheeple are all sucked in by those "great BBQ stories" of years previously, the media, banks etc etc
Time for some reality here in this NZ market .......finally.
Yeah, true... The thing that weirded them out most was the million dollar small townhouses out in the far reaches of Auckland. That really didn't compare well to CA.
Depends what part of CA. CAs version of Otara is kinda affordable, but their versions of Sandringham or Mt Albert are up there. Then their Herne Bay and Mission Bay is to the moon.
Yes, true - however you should a Californian a 2 bedroom townhouse in paddocks 35 km from Auckland city going for $1 million (e.g. Milldale) and they find that sobering. Because there are very decent suburbs within smaller distances of downtown SF or LA where people get far more for their money. The top end is obviously going to be far higher, because of the money there.
Possible V shape recovery ? It's working for TD rates 🤣
You just never know, we are living a funny world.
Who would’ve thought before March 2020? Now they’ve decide to live with covid as infinite lockdowns were costing livelihoods, they might decide to live with high inflation because high interest rate will also causing too much pain and not going to stop inflation.
Do you purposefully ignore the VERY different covid situation today vs March 2020?
90+% of pop being vaccinated and a much less lethal variant being the dominant one now has nothing to with it, I'm sure...
That's exactly how I think it's going to pan out. Rates will rise to a point that is "sustainable" and then stop. Everyone will then just have to suck up inflation from there on.
Are agents starting to rain in Vendors sky-high expectations, or could this be a result of more houses listing as PBN? (or a bit of both?!)
Yes and yes. And 'rein'.
https://www.barfoot.co.nz/property/residential/north-shore-city/glenfield/house/830139
https://www.barfoot.co.nz/auctions-live/sessions
This was passed in at $920K this morning. Looks good money to me. Vendors are obviously not lowering their expectations. I wouldn't pay that kind of money for this property.
insane, who would pay that much. you can get better, in a better location around there. equally why wouldn't the vendor take it - looks like they paid ~700k 3 years ago for the place and they still expect more than the rv
edit: it's listed at $989k now, so they want $950k. Is the risk of not getting it at $920k worth it?
85 m2 "3 br" house on 364 m2 section in a "hmm" part of town. Definitely worth a million bucks, no?
Nowdays no one actually plans to pay off their mortgage.
The opposite really. Interest only was easy peasy for decades, could see the banks really clamping down on that 5 years or so ago.
And we wonder why people are planning to leave
Homes.co.nz had it at 1.1M in October.
Now has fallen back down to "only" a lousy $960k.
Still could be quite a way to fall though now that people are waking up to much of Auckland actually being quite undesirable.
Here's what you can still get for the same amount of money across the ditch as an upgrade from Glenfield.
https://www.realestate.com.au/buy/property-house-between-900000-950000-…
I cant believe it was worth $700k three years ago. Property like that should be $600K especially now that Auckland is no longer a desirable place to live.
Why do the agents opt to hide its sale price from 2019...?
Coz thats what its now worth.......
If the specu crowd had to choose, would they perfer a land/capital gains tax, or for asset prices to drop significantly under the burden of debt.
'Degen' is short for degenerate and is used in the crypto space to describe those taking risks using leverage on assets with questionable value.
Now that Tony Alexander has described the behavior in the NZ property market as similar to the crypto markets, I guess that auctions are where the degens gather.
Yes he finally stated that prices were speculative, and had little to do with income. He added that the herd (the great unwashed) mentality had turned away from free capital gains and that talk was now of capital losses. The herd was bolting for the exit in fright and could not be turned easily.
Popcorn...
Vendor who are dropping their expectation are sensible as they too know that dropping 10% or even 15% today is better than a fall that can be in future.
Same thing hapened in Stock market, those few who offloaded with minimum fall are lucky as those holding are facing heavy losss and may now have to hold for feeeewwww years and that too to minimze loss.
"Same thing hapened in Stock market, those few who offloaded with minimum fall are lucky as those holding are facing heavy losss and may now have to hold for feeeewwww years and that too to minimze loss."
Nope. Not lucky at all, if they did that they are morons who don't know how to invest properly.
Lucky or not ..stupid or not .do not know but as of now avoided much bigger loss.
Avoided a paper loss by banking a real loss.
more prop the RE ponzi up headlines -- auction sales rate slightly up .....hmmmm only 62 sales in a week total - where is teh May 2021 figures for total sales at auction - which from memory was running close to 500 a week ? Better headline might have been total sales at auction TANK
30% of nothing is still nothing.
Greg When is interest.co.nz getting an app?
I know the CV is based on some sort of formula and therefore subject to 'error' but I seem to discern that most that sell at auction at the moment do so above their 2022 CV. You'd think, given when the CV was calculated, that those who sell would be below CV. It could be that people only choose to sell above CV "anchoring effect" and therefore the bias.
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