Residential auction activity continued to increase around the country last week as the market shifts into top gear as it heads towards the end of the year.
Interest.co.nz monitored 457 auctions around New Zealand over the week of 2-8 November, up from 428 the previous week.
Of those, 193 properties were sold under the hammer, giving an overall sales rate of 42%, down very slightly from 44% the previous week.
The sales rate appears to have settled in the low 40% range over the last few weeks.
There are now only six weeks left until the market grinds to a halt for the Christmas/New Year break, so anyone thinking of selling their property this year will need to get it ready for sale and listed in the next week or two, if they want a regular marketing campaign, otherwise they will have to wait until next year.
Details of the individual properties offered at all of the auctions monitored by interest.co.nz, including the selling prices of those that sold, can be viewed on our Residential Auction Results page.
The table below shows last week's auction results by district.
| Residential Auction Results | ||||
| at auctions monitored by interest.co.nz | ||||
| 2-8 November 2024 | ||||
| District | Total | Sold | % Sold | % of selling prices above or equal to rating valuation |
| Northland | 14 | 4 | 29% | 67% |
| Auckland Region | 316 | 135 | 43% | 31% |
| -Rodney | 15 | 6 | 40% | 80% |
| -North Shore | 70 | 36 | 51% | 48% |
| -Waitakere | 26 | 13 | 50% | 8% |
| -Central suburbs | 92 | 44 | 48% | 14% |
| -Manukau | 71 | 22 | 31% | 23% |
| -Papakura | 17 | 6 | 35% | 17% |
| -Franklin | 23 | 7 | 30% | 100% |
| -Waiheke Island | 2 | 1 | 50% | 100% |
| Coromandel | 9 | 4 | 44% | 50% |
| Waikato | 15 | 2 | 13% | 100% |
| Bay of Plenty | 27 | 12 | 44% | 92% |
| Gisborne | 7 | 4 | 57% | 50% |
| Taupo | 4 | 3 | 75% | 33% |
| Hawke's Bay | 5 | 2 | 40% | 100% |
| Taranaki | 1 | 0 | 0 | 0 |
| Manawatu | 8 | 1 | 13% | 0 |
| Marlborough | 6 | 2 | 33% | 0 |
| Canterbury | 45 | 24 | 53% | 63% |
| All of Aotearoa | 457 | 193 | 42% | 42% |
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33 Comments
Eh? There is no link between reserve and RV. You'd also have to allow for those with a reserve set above RV. Except if they don't make reserve you don't get to find out what it was set at.
And the link between RV and market value isn't exactly highly correlated either, one being a computer model with generally out of date general information about the property.
The lack of logic is appalling.
It's obvious that those still selling or even selling equal/above rating valuation tick many boxes, extensive reno being one. In 2021 such homes would have sold well above rating valuation and buyers had to wait in line. That's clearly not the case now.
Going forward, the signs of a healthy market is evidence of several consecutive months of exploding sales volumes, reduced days to sell, steady inventory reduction then eventually sustainable rising prices. We're still a ways from that point.
As reported elsewhere, business closures and general job insecurity is front and centre.
Are ASR's counted as sales? I've seen some dodgy things happening in the past months, a significant proportion of houses that were sitting on the market for months, are now sold for the RV or slightly above, but are all ASRs. Then several months later they don't appear as having been sold or are still ASRs. Could it be agents are using those to push prices up ("look that similar property sold for $$$, be quick , etc.")? After all, I guess they can always say those deals fell through in the end.
I have been tuning in to several streamed auctions per week in different markets. Anecdotally the trends I see is a few selling for what I would consider quite good (for the vendor) prices even when they are the only bidder which amazes me. I suspect these are the sorts of buyers who are buying with their heart & not their head and maybe don't want to lose their due diligence "investment". The other trend I see is properties being passed in even when they reach what I would consider a reasonable price for the vendor - lets say low side of market value range. I have inferred from this that many vendors & agents are unrealistic on price expectation perhaps because of real estate appraisals. Every agent I've spoken to in the last month enthusiastically believes the market has "turned". Yesterday for example I saw an auction (small Taranaki lifestyle block) where there was 1 bidder who came in at $400,000 to a snarky remark from auctioneer. My estimate of property value mid 500s CV490. Prices are a bit all over the place but on average around CV. Vendor bid at $500K!! They went out the back for a long conflab and property was passed in - auctioneer selling it by saying there was alot of conditional interest.
The other trend I see is properties being passed in even when they reach what I would consider a reasonable price for the vendor - lets say low side of market value range.
O course that assumes your judgement on what "market value" and "reasonable price" is valid. Obviously the vendor disagrees, they'll find out in a few weeks whether they can find a buyer at their estimate of market value.
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