House market recovery?

Press, 29 June 1988, Page 3

House market recovery?

PA Wellington The market for urban properties improved last month for the first time since the sharemarket crash, according to the Real Estate Institute. The institute said yesterday that property sales recorded nationally were 5887, compared with 5107 in April, indicating a positive trend of more buyers entering the market. “Buyers are recognising that a combination of stable prices and reducing interest rates make this a particularly good time to be buying,” said the institute’s president, Mr Peter Cook.

In the last 12 months, house prices increased only 6.06 per cent, probably reflecting reduced inflationary expectations, said Mr Cook.

The average house price in Auckland in May was $152,637 and in Wellington the average was $134,181. These were the only areas where house prices exceeded the national average of $107,478. South Canterbury had the lowest average house price at $61,784. The price of home units, or residential flats, increased 10.95 per cent over the last 12 months.

Turnover in units recovered also last month with 806 being sold, 15 per cent higher than in April. Sales of units in Auckland and Wellington exceeded the national average of $109,942 while those in Waikato were slightly under the national average.

The institute issued the following figures on house and unit prices in May: Auckland: house $152,637, section $52,071, unit $136,165, total $147,576. Canterbury, West Coast: $90,962, $31,095, $81,315, $87,189. Gisborne: $64,310, N/A, $56,250, $62,804. Hawke’s Bay: $77,817,

$17,800, $73,233, $81,934. Manawatu: $82,657, $35,000, $87,214, $81,865. Nelson: $92,932, $57,579, $80,784, $86,074. Northland: $84,030, $27,096, $76,667, $77,722. Otago: $63,842, $27,260, $68,938, $463,450. South Canterbury: $61,784, N/A, $59,227, $61,518. Southland: $66,954, $43,938, $65,278, $68,052. Taranaki: $70,239, $14,667, $63,313, $70,390. Waikato: $97,019, $30,121, $102,315, $91,705. Wanganui: $61,824, N/A, $50,607, $64,295. Wellington: $134,181, $39,919, $110,061, $124,835. Average: $107,478, $39,409, $109,942, $105,880.