Barfoot & Thompson managing director Peter Thompson said in his regular monthly assessment of the housing market this week: “Auckland house prices have not been undermined by Covid-19.
In the first full month of trading permitted after the Covid-19 restrictions were eased, Auckland house prices showed minimal change to pre-Covid prices, he said.
“What did change significantly was the number of homes sold. In May we sold 396 homes, about half the number we sold in the same month last year and around three-quarters of those we sold in April.
“However, the sales numbers do not show the full picture as they are for unconditional & commission-paid sales only. The pipeline of conditional & non-commission-paid sales from May is strong, and these sales will show up in June’s results.
“Prices were resilient to change.”
The average was down 1.6% from April & up 2% on May last year. The median was up 1.6% from April and up 7.5% on last May.
Nearly a third of sales were for over $1 million, another third for $750,000-1 million.
New listings were down compared to a year ago, but listings at the end of May were in line with figures for the previous 3 months.
“Overall, the Auckland market’s initial reaction to the Covid interruption has been uneventful. Sales are taking place but, given the extended nature of the transfer process, are not yet showing up in completed sales data, and prices are not under pressure.
“However, it will be another month before the market settles down and for a firmer indication of the future trading pattern to emerge.”
Attribution: Agency release.