Numbers of residential real estate sales climbed in June but prices slipped back and rents remained firm around the country, according to the latest Crockers market research report for June.
Monday, August 4th 2008, 11:02AM
by The Landlord
Although the numbers are up from last month, they’re still anaemic, says the report. Just 4,305 in June compared to 7,474 in the same period last year. The June national median price slipped $7,000 from $347,000 last year to $340,000 in June 2008. The average time to sell rose from 30 days last June to 51 this year.
A similar story was reflected in Auckland sales – 1,446 sales compared with 2,687 in June last year. The median price dropped $10,000 from $445,000 last June to $435,000 this year.
Despite evidence of unlucky sellers offloading homes to the rental market, nationwide rental prices remain firm in most areas. Three-bedroom rentals edged upwards by 6% to a national average of $340 a week from $320 last year. The two-bedroom rental market was also stable recording an average of $280 per week for the fifth consecutive month, while the Auckland average dipped $3 from $338 to $335 per week. Auckland rental returns fell from last month’s high of $445 to $436.
The report examines Auckland’s North Shore region to illustrate the substantial amount of variation within areas. In the three-bedroom market, rentals vary from an average of $530 a week in Devonport to $390 in Glenfield – a gap of 35%. The steep decline in median prices in the North Shore is reflected most strongly in Birkenhead and Devonport, although Devonport has recovered recently. Rising rentals are reflected in every North Shore suburb though returns are strongest in Glenfield and Birkenhead and weakest in Devonport. The average three-bedroom rental in Birkenhead rose 19% from $390 in 2007 to $465 last month.
