Dec. 11 (BusinessDesk) – The median house price in New Zealand set a new record for a second straight month, reaching $383,250 in the strongest sales volume in five years.
Sales rose 24 percent to 7,454 in November from a year earlier and were 12.3 percent up on October, according to the Real Estate Institute. The median price climbed 4.3 percent from the same month last year.
Auckland’s median house price rose 1.9% from October to a new record median price of $540,000. Otago’s median price rose 7.5 percent to a record $258,000 and in Canterbury/Westland the median price matched its record $345,000 last reached in August.
“Housing turnover has picked up steadily over the past year, as confidence has returned to the housing market underpinned by expectations of low interest rates and gradually improving household confidence,” said Jane Turner, economist at ASB. “Demand continues to outstrip supply, and is placing upward pressure on house prices. “
The REINZ Stratified House Price Index, which adjusts for the proportion of higher or lower-value homes sold, rose 7.3% from November 2011 to a record high 3,544.4.
The national median days to sell fell to 32 to 33 days in October.
Across New Zealand the total value of residential sales, including sections was $3.62 billion in November, compared to $3.15 billion in October, and $2.67 billion in November 2011.