The REINZ figures, released on Wednesday, show there were 716 more lifestyle property sales (+57.7 per cent) in New Zealand for the three months ended July 2020 than for the three months ended June 2020. Canterbury sales rose by 76 per cent in July compared to June.
"All regions throughout the country experienced a lift in sales in July compared to June, some more than others, the most significant increases occurring in Northland (+ 89 per cent), Auckland (+ 34 per cent), Canterbury (+ 76 per cent)," said REINZ rural spokesman Brian Peacocke.
He said there were 1956 lifestyle property sales in the three months ended July 2020, compared to 1933 lifestyle property sales for the three months ended July 2019 (+1.2 per cent), and 1240 lifestyle property sales for the three months ended June 2020.
Peacocke said 6892 lifestyle properties were sold in the year to July 2020, 41 (-0.6 per cent) less than were sold in the year to July 2019. The value of lifestyle properties sold was $5.81 billion for the year to July 2020.
The median price for all lifestyle properties sold in the three months to July 2020 was $735,500 and was $35,500 higher compared to the three months ended July 2019 (+5.1 per cent).
"Given the prevailing circumstances throughout the country currently, sales volumes for the three-month period ending July 2020 were totally unexpected and have jumped 62.6 per cent from the 3-month period ending May 2020," Peacocke said.
"Equally, the figures for the month of July 2020 alone at 913 sales compared to 197 for the month of May 2020 represent an amazing 463 per cent increase over that period, a graphic demonstration of the impact of the recent level 4 lockdown.
"Sustainability of such pent-up activity will be the test in months to come, but the market is currently back to the levels prevailing 12 months ago," he said.
Points of Interest around the country:
Upper North - strong results and an improved median price throughout the Far North, Whangarei and Kaipara districts; heavy trading at steady prices in the Auckland region, particularly in the Rodney and Franklin districts, with Manukau and Papakura also keeping their names to the fore
Central regions - healthy activity across the Waikato with July figures setting a benchmark compared to recent years; Waikato and Waipa districts competed strongly for line honours with the median price showing a modest gain; Bay of Plenty performed creditably with the Western District dominating; the median price increased by 5.2 per cent; Taranaki maintained par comfortably but was solid rather than spectacular, the constant median price confirming that situation
Eastern regions - flat results in Gisborne with the drop in median price balanced by the increase in Hawke’s Bay where sales activity strengthened solidly from previous months (6 in April to 36 in July); steady activity spread throughout the popular districts of the Wairarapa
Lower North Island - solid performances across the region with the lighter activity in the Wanganui and Rangitikei districts being balanced out by stronger, consistent levels of sales in the Manawatu and Horowhenua districts in particular; the median price improved in norther sector of the province but eased marginally in the Wellington area
Upper South Island - improving volumes in the top of the South, particularly Tasman, followed by good activity on the West Coast (6 sales in May, 18 in July); as mentioned, an excellent increase in sales results in Canterbury with Waimakariri, Selwyn and Timaru districts all featuring strongly; a modest and continuing improvement in the median price over recent years
Lower South Island - a good recovery in sales volumes (+ 40 per cent) from last month in Otago with Central Otago in particular leading that recovery, albeit some spectacular prices paid in the Queenstown/Lakes District; the median price showed improvement but has not recovered to the stronger levels of 2018 and 2019; consistently solid results in Southland as expected for the region, with steady activity in all districts; the median price maintained par, again reflecting the stable southern economy.
Seven regions recorded an increase in sales compared to July 2019 with Auckland (+38 sales) and Canterbury (+14 sales) observing the biggest increases. Otago recorded the most substantial decrease in sales (-32 sales) in the three months to July 2020 compared to the three months to July 2019. Compared to the three months to June 2020, all regions recorded an increase in sales.
Eleven regions saw the median price of lifestyle blocks increase between the three months ending July 2019 and the three months ending July 2020. The most notable examples were in Gisborne (+34 per cent), Canterbury (+21 per cent) and Northland (+15 per cent) and the most notable exceptions were West Coast (-26 per cent) and Hawke’s Bay (-22 per cent). The median number of days to sell for lifestyle properties was 25 days longer in the three months to July 2020 than in the three months to July 2019, sitting at 89 days. Compared to the three months ended June 2020 the median number of days to sell was 1 day longer. Gisborne recorded the shortest number of days to sell in July 2020 at 51 days, followed by Taranaki (66 days) and Manawatu/Wanganui (66 days). West Coast recorded the longest number of days to sell at 141 days, followed by Northland at 112 days and Canterbury at 104 days.
