House prices ease
National median house prices eased last month, but sales are continuing to recover from their April lows.
Wednesday, July 19th 2000, 12:00AM
by Paul McBeth
House prices are continuing to ease in most regions, with the June national median down $2,000 from May to $170,000 and the Auckland median down from $237,750 to $236,500.
However, the Wellington region was one area to buck the trend, with median house prices lifting from $185,000 in May to $190,000.
Real Estate Institute figures showed that sales volume recovered slightly last month. The total value of sales also rose, from $1,076,664,716 to $1,128,032,426.
REINZ President Max Oliver said that, after a very promising first quarter, the low April sales were "a great disappointment to many".
"Both May and June have seen an improvement from that point and, should the recent stability in mortgage interest rates continue, we believe the upturn in sales should be ongoing."
Stability in interest rates? In fact, there are few lenders that haven’t trimmed their fixed rates in recent weeks. One-year rates are currently sitting around 8.15 to 8.50 per cent, while five-year rates are as low as 8.40 per cent after breaching the 9 per cent mark earlier this year (see our rates table for details).
Economists are still expecting more heat in the floating mortgage rates this year, thanks to likely increases in the Reserve Bank’s Official Cash Rate, but no imminent changes.
Total dwellings: median prices
|
Region |
May 2000 |
June 2000 |
|
Northland |
$135,000 |
$153,000 |
|
Auckland |
$237,750 |
$236,500 |
|
Waikato/BOP/Gisborne |
$157,000 |
$160,000 |
|
Hawkes Bay |
$122,250 |
$115,000 |
|
Manawatu/Wanganui |
$100,000 |
$103,000 |
|
Taranaki |
$94,500 |
$118,000 |
|
Wellington |
$185,000 |
$190,000 |
|
Nelson/Marlborough |
$145,000 |
$140,000 |
|
Canterbury/Westland |
$146,000 |
$145,000 |
|
Otago |
$102,000 |
$95,000 |
|
Southland |
$75,000 |
$68,500 |
|
New Zealand total |
$172,000 |
$170,000 |