The average house sale price for Auckland in December 2009 was similar to the highs of 2007, but real estate company Barfoot and Thompson expects prices to fall slightly in January before firming.Auckland's average sales for December, at $552,933, were th
The average house sale price for Auckland in December 2009 was similar to the highs of 2007, but real estate company Barfoot and Thompson expects prices to fall slightly in January before firming.
Auckland's average sales for December, at $552,933, were the highest in 24 months.
But rather than capital gain, buyers were looking for lifestyle and value for money, it said.
Managing director Peter Thompson said the company sold 648 properties in December – the highest for December in two years and 40.6% higher than the same month last year.
“Regardless of how you analyse the sales data, sellers are now achieving almost a similar price for property as they would have at the height of the 2007 property boom.
“Average monthly prices have now increased for the past three months, and the average monthly price for 2009 of $522,297 is 1.7% higher than that for 2008 and 3% down on that for 2007.”
However, although average monthly house sales were up 43% on those sold in 2008, they were yet to return to 2007 levels, he said. This year’s average, 782, was 14.5% down on the monthly average in 2007.
Despite the highest number of new listings in a December for two years, the company had the lowest number of properties on its books for a January month in two years, at 5431 and anticipated prices would fall slightly in January before firming, he said.
“While interest rates are comparatively low, buyers are conscious that rates are likely to rise in 2010, and given that prices rose each month for the last three months of 2009, rising interest rates are not seen as a deterrent.
“Buyers are balancing that with a quiet confidence in the economy and their job prospects.”
Average weekly rents fell for the second consecutive month and at $389 in December, were 3.5% below their peak in October.
The average weekly rent for 2009 was $388, the same as for 2008.
