House sales plummet to new lows after shift in market sentiment

Date 14 Mar 2022

More properties on the market and subdued buyer demand mean sales activity has declined to levels not seen in years, the Real Estate Institute says.

There were 5597 sales nationwide in February, a 32.8 per cent fall from 8324 last February, according to the institute’s latest figures.

While there was a 48.8 per cent increase from January, seasonally adjusted figures show sales declined by 3.2 per cent between January to February.

Sales numbers were down in all regions, and at 3856 the sales count for New Zealand excluding Auckland was the lowest in a February month since 2011.

In Auckland, sales fell by 40.2 per cent annually, from 2912 in February 2021 to 1741 last month. That was the lowest February sales count since 2019.

Sales in West Coast, Taranaki and Manawatu/ Whanganui were also down by over 40 per cent, at 55.6 per cent, 41.3 per cent, and 40.1 per cent respectively.

Wellington had 29.9 per cent fewer sales year-on-year, while Canterbury had 26.6 fewer.

Real Estate Institute chief executive Jen Baird said February was a slower month for sales than expected as the supply and demand scale was tipping.

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House sales plummet to new lows after shift in market sentiment