1 00:00:00,080 --> 00:00:02,840 Speaker 1: Property sales are the highest in years, but the number 2 00:00:02,840 --> 00:00:05,920 Speaker 1: of unsold houses is also at a record high. Auckland 3 00:00:05,920 --> 00:00:08,360 Speaker 1: real Estate company Barfoot and Thompson said March was a 4 00:00:08,400 --> 00:00:12,600 Speaker 1: record month for house sales, the most since twenty twenty one. 5 00:00:13,480 --> 00:00:16,040 Speaker 1: But while listings and sales are up, Tony Alexander says, 6 00:00:16,040 --> 00:00:18,279 Speaker 1: the price they're selling for hasn't gotten any better. So 7 00:00:18,320 --> 00:00:20,560 Speaker 1: where does this leave us. Let's get a picture a 8 00:00:20,600 --> 00:00:24,239 Speaker 1: snapshot of the market. Resident economist at Opah's Partners Ed 9 00:00:24,320 --> 00:00:25,600 Speaker 1: McKnight's with me now ed. 10 00:00:25,880 --> 00:00:28,520 Speaker 2: Good evening, Great to talk to you, Ryan. 11 00:00:28,680 --> 00:00:32,360 Speaker 1: So what's behind, first of all, the behind the rising 12 00:00:32,440 --> 00:00:34,080 Speaker 1: number of unsold properties. 13 00:00:35,200 --> 00:00:37,320 Speaker 2: Yeah, we're seeing a lot of listings on the market. 14 00:00:37,360 --> 00:00:39,280 Speaker 2: Depending on what you look at than terms of the 15 00:00:39,360 --> 00:00:42,600 Speaker 2: data source, somewhere between thirty two thousand up to forty 16 00:00:42,720 --> 00:00:45,920 Speaker 2: thousand properties that are currently sitting there on the market. 17 00:00:46,159 --> 00:00:48,240 Speaker 2: There's a couple of things happening there. There are actually 18 00:00:48,280 --> 00:00:51,720 Speaker 2: more properties that are selling, but we're equally seeing a 19 00:00:51,720 --> 00:00:54,440 Speaker 2: lot of supply coming onto the market as well. And 20 00:00:54,480 --> 00:00:57,000 Speaker 2: then on top of that, those listings that are coming 21 00:00:57,040 --> 00:00:59,920 Speaker 2: to the market are also sitting around for a lot longer, 22 00:01:00,040 --> 00:01:02,720 Speaker 2: so we're seeing the days to sell a property. It's 23 00:01:02,800 --> 00:01:06,160 Speaker 2: up from about fifty five days, up from fifty one 24 00:01:06,240 --> 00:01:09,360 Speaker 2: days last year up to fifty four this year. So 25 00:01:09,440 --> 00:01:11,920 Speaker 2: it's not just about more listings, it's also that those 26 00:01:11,959 --> 00:01:14,080 Speaker 2: listings are sticking around, and. 27 00:01:14,000 --> 00:01:16,840 Speaker 1: Then that what the owners the vendors basically don't want 28 00:01:16,840 --> 00:01:18,600 Speaker 1: to drop the price, don't. They not willing to go 29 00:01:18,640 --> 00:01:20,640 Speaker 1: below a certain amount, so they're happy to sit there. 30 00:01:21,600 --> 00:01:23,480 Speaker 2: It's a bit of a game of who's going to 31 00:01:23,480 --> 00:01:27,160 Speaker 2: blink first? Are those sellers going to capitulate to what 32 00:01:27,280 --> 00:01:30,679 Speaker 2: the market is actually willing to offer. And it's quite 33 00:01:30,680 --> 00:01:33,800 Speaker 2: fascinating because I see this myself with friends who are 34 00:01:33,840 --> 00:01:37,400 Speaker 2: selling properties that they're saying, oh, my real estate agen says, 35 00:01:37,440 --> 00:01:39,560 Speaker 2: I could flick this property off, but i'd really have 36 00:01:39,680 --> 00:01:42,800 Speaker 2: to lower the price. Well, if that's market price, that's 37 00:01:42,840 --> 00:01:45,280 Speaker 2: the market price. You either decide to sell it or 38 00:01:45,319 --> 00:01:48,000 Speaker 2: you sit there on the market. Some sellers are saying, 39 00:01:48,240 --> 00:01:50,520 Speaker 2: you know what, maybe we'll just sit there on the market, 40 00:01:50,600 --> 00:01:52,040 Speaker 2: not take that listing off. Yeah. 41 00:01:52,120 --> 00:01:54,520 Speaker 1: I've heard a bit of that too, A lot of 42 00:01:54,560 --> 00:01:56,680 Speaker 1: talk that maybe where you know, at the bottom of 43 00:01:56,680 --> 00:01:58,160 Speaker 1: the curve was starting to come out of it, and 44 00:01:58,240 --> 00:02:02,120 Speaker 1: there's there's some low cost suburbs that are starting to 45 00:02:02,160 --> 00:02:04,639 Speaker 1: pick up, you know, two three, four percent in price. 46 00:02:04,720 --> 00:02:07,000 Speaker 1: Is that what is that happening or is that defigment 47 00:02:07,080 --> 00:02:08,320 Speaker 1: of people's imaginations. 48 00:02:09,040 --> 00:02:11,480 Speaker 2: Oh, that is happening. If we look at Inbicagol City, 49 00:02:11,480 --> 00:02:13,720 Speaker 2: where we've got some of the cheapest properties in the country. 50 00:02:13,760 --> 00:02:15,760 Speaker 2: I mean you can buy two or three houses down 51 00:02:15,800 --> 00:02:18,280 Speaker 2: there for the price of a single Auckland property. House 52 00:02:18,280 --> 00:02:21,320 Speaker 2: prices an Inbicagol up four percent year on year. Southland, 53 00:02:21,360 --> 00:02:23,359 Speaker 2: which is you know, just kind of surrounds in the 54 00:02:23,480 --> 00:02:26,080 Speaker 2: Caagol they are up six percent per year, and a 55 00:02:26,120 --> 00:02:28,280 Speaker 2: lot of the west coast of the South Island, where 56 00:02:28,280 --> 00:02:31,040 Speaker 2: again we've got properties that you can still buy for 57 00:02:31,040 --> 00:02:33,640 Speaker 2: three hundred thousand dollars, are seeing a bit of growth. 58 00:02:33,840 --> 00:02:37,160 Speaker 2: Of course, when those properties are a bit cheaper, a 59 00:02:37,280 --> 00:02:40,359 Speaker 2: four percent or a three percent might be ten grand 60 00:02:40,400 --> 00:02:43,560 Speaker 2: worth of growth, So it's not necessarily massive numbers, but 61 00:02:43,639 --> 00:02:45,480 Speaker 2: as a percentage, you're seeing a bit of an uptick. 62 00:02:45,680 --> 00:02:48,280 Speaker 2: Wherever house prices are a little bit more expensive, like 63 00:02:48,320 --> 00:02:50,639 Speaker 2: in christ Church, they are only kind of up one 64 00:02:50,680 --> 00:02:53,920 Speaker 2: percent year on year. Auckland's still losing a little bit 65 00:02:53,960 --> 00:02:56,359 Speaker 2: of ground house price is there down two percent year 66 00:02:56,440 --> 00:02:59,640 Speaker 2: on year, but it's kind of middling growth. Ryan. You know, 67 00:02:59,800 --> 00:03:02,639 Speaker 2: there's nothing spectacular happening at the moment, but it does 68 00:03:02,680 --> 00:03:04,560 Speaker 2: seem to be a bit of a recovery. Here's one 69 00:03:04,600 --> 00:03:09,160 Speaker 2: stat you might like. Over the last six months, we've 70 00:03:09,200 --> 00:03:12,920 Speaker 2: seen house prices go up seasonally adjusted house prices go 71 00:03:13,080 --> 00:03:16,400 Speaker 2: up five out of those six months. The six months 72 00:03:16,480 --> 00:03:20,080 Speaker 2: before that, house prices went down five out of those 73 00:03:20,120 --> 00:03:23,120 Speaker 2: six months. So we said what we say is a 74 00:03:23,160 --> 00:03:25,639 Speaker 2: bit of a tune there. But it's not like we're 75 00:03:25,680 --> 00:03:27,280 Speaker 2: going to go through a boom and we're going to 76 00:03:27,320 --> 00:03:29,639 Speaker 2: be up another ten percent over the next twelve months. 77 00:03:29,680 --> 00:03:32,200 Speaker 1: We're not taking off in rockets quite yet. I do 78 00:03:32,280 --> 00:03:34,560 Speaker 1: love a good house stat, Ed, Thank you very much. 79 00:03:34,720 --> 00:03:37,000 Speaker 1: Ed McKnight, Resident Economists That Open's partners. 80 00:03:37,600 --> 00:03:40,760 Speaker 2: For more from Heather Duplessy Allen Drive, listen live to 81 00:03:40,880 --> 00:03:43,880 Speaker 2: news talks. It'd be from four pm weekdays, or follow 82 00:03:43,920 --> 00:03:45,720 Speaker 2: the podcast on iHeartRadio.