Home News Housing market downturn spreads with price drops in 51% of suburbs

Housing market downturn spreads with price drops in 51% of suburbs

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Home prices have fallen in half of the country’s suburbs in the last three months, and that’s evidence of a widespread market downturn, real estate researchers say.

According to CoreLogic’s latest mapping analysis, prices have fallen by more than 1% in the 323 suburbs and less than 1% in another 163 suburbs.

In total, prices fell at 486, or 51% of the suburbs. This was almost double the three months before prices fell in the suburbs of 246.

Of these suburbs, 11 had a price drop of 5% or more, and another 29 had a price drop of 4% or more. These suburbs were located in all regions of the country, but in the final analysis, all the suburbs with the largest waterfalls were in the Auckland region.

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Auckland’s Pakuranga Heights showed the largest quarterly decline, with prices down 6.7% to a median of $ 1,302,250. On a dollar basis, it was down $ 93,750.

Auckland’s New Windsor, Rosedale, Waterview and Avondale, like Petone, Alice Town, Cannon’s Creek and Maori Bank in the Wellington region, had price drops of more than 5%.

Prices on the outskirts of Dunedin in Blockville and Glen have also fallen by more than 5%.

However, the biggest drop on a dollar basis was Auckland’s Point Chevalier, with a median of $ 104,400, or 4.6%.

Home prices at Point Chevalier in Auckland have fallen 4.6% since March, or $ 104,400.

David White / Staff

Home prices at Point Chevalier in Auckland have fallen 4.6% since March, or $ 104,400.

Kelvin Davidson, Chief Property Economist at CoreLogic, said the signs of market weakness were very clear, and it was worth noting that the recession was widespread and is now geographically widespread.

“There is no pattern in the type or price range of the suburbs affected. Price declines are occurring in suburbs that are considered to be more affordable and in more expensive suburbs.”

In Auckland, prices fell by at least 1% in 119 of the 206 suburbs, and by less than 1% in 36 suburbs. Prices have risen by at least 1% in just 24 suburbs.

This is also the case in Wellington, where 64 of the 97 suburbs fell by at least 1%, more than 50% of the Hamilton suburbs, and 45 of the 62 suburbs of Dunedin.

However, Christchurch has been more resilient in recent months, with only four of the 85 suburbs seeing prices fall by more than 1%. In contrast, there was a price increase of at least 1% in 31 suburbs.

Only two, Gatepa and Parkvale, on the outskirts of Tauranga, recorded price cuts of over 1%.

According to Davidson, prices have risen by at least 1% in nearly 300 suburbs since March, with some “patches.” Of those suburbs, 23 had an increase of more than 5%.

“Big profits of 5% or more tended to occur in small areas, including parts of Waikato, Far North, Southland, and Central Otago, but there were only a handful in the main center.”

Hahn Bay remains the most expensive suburb in the country.

Jason Doday / Staff

Hahn Bay remains the most expensive suburb in the country.

The biggest increase was at Waikato’s Tekauwata, where prices rose 8.5%, or $ 65,850 to $ 841,300.

Awanui in the far north, Mafell in New Plymouth, Oxford in Waikato, Ngal Awahia and Tuakau in Waikato all had price increases of more than 6.5%.

At the main center, prices for Auckland’s Willi and Hamilton’s Vierres Court and Baberstock rose 5.1%, 5.8% and 5.3%, respectively.

Although the market is regaining calm, Davidson said there are still only 96 suburbs nationwide with a median of less than $ 500,000. This is one tenth.

“This shows how much prices have risen in the last few years, but the current recession is so widespread that more suburbs may begin to return to that range. . “

He said a clearer picture of which suburbs were most affected would be revealed in the coming months.

Herne Bay has fallen 1.0% since March, but remained the country’s most expensive suburb with a median price of $ 3,726,300.

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