QV says it’s still a buyer’s market with housing values down in September quarter

QV says the average value of NZ homes dropped almost $10,000 in Q3 with Auckland values down $38,000

The average value of New Zealand homes dropped almost $10,000 in the September quarter (Q3), Quotable Value (QV) says.

The QV House Price Index shows the average value of all dwellings throughout the country was $900,521 in Q3, down $9958 (-1.1%) from the June quarter (Q2).

The biggest decline was in the Auckland Region where the average dwelling value fell $38,346 (-2.5%).

Within the Auckland Region the biggest decline was in Manukau, where the average dwelling value declined by 3.3% in Q3.

The only district within the Auckland Region to post a gain in Q3 was Rodney where the average value of homes was up 1.3%.

All other main centres except Tauranga also posted falls in average dwelling values in Q3, with Hamilton -1.5%, Wellington City -0.8%, Christchurch -0.4% and Dunedin -0.2%.

The average value in Tauranga was unchanged from Q2.

Five provincial centres posted value gains in Q3 – centres – Gisborne +0.6%, Hastings +1.0%, New Plymouth +0.2%, Queenstown +1.8% and Invercargill +1.6%. See the full regional values in the table below.

“For now it remains a buyer’s market, however deposit requirements and the ability to service mortgages remain barriers for many first buyers,” QV spokesperson Andrea Rush said.

“Lower mortgage rates may encourage a modest rise in activity, but any rebound in prices in likely to remain constrained by the broader economic recession, cost of living pressures, rising unemployment and ongoing global uncertainty,” she said.