Overall demand for property in Queenstown has strengthened, but this has not yet translated into improved sales, with many prospective buyers still lacking the confidence to make decisions, the Real Estate Institute of New Zealand (REINZ) says.
The Wakatipu real estate sales report for December 2011 and the year prepared by REINZ spokesman Kelvin Collins said a two-tier market had evolved, with desirable property generally receiving multiple offers, reflecting increased values.
However, buyers are being hard on standard property, where there is a surplus of listings.
Mr Collins said a feature for the year was 66 properties selling for over $1 million, compared with 44 the previous year.
"December 2011 recorded 34 dwelling sales, compared with 39 dwelling sales for November 2011 and 40 for December 2010.
"December 2011 recorded seven section sales, compared with seven section sales for November 2011 and 12 for December 2010.
"The combined value of dwellings plus section sales for December 2011 was $24,516,000 and very similar to the value of sales in November 2011.
"The median sale price of dwellings for December 2011 was $565,000. This is an anomaly and reflects the limited sales activity of standard houses."
Last year, 455 residential properties sold, up 4% from 2010 sales of 436. The median price for 2011 was $520,000, up 5% on $496,000 in 2010.
Total sales value in 2011 was $285,930,000, compared with $260,064,000 in 2010.
Section sales for 2011 came to 127 at a median price of $265,000, similar to 2010's 121 sales at a median price of $271,000.
