Median price outlook starting to stabilise?
Colliers’ quarterly market outlook survey asks residential property market participants if the median house price will stay the same, decrease, increase by less than 5%, or increase by more than 5% over the next 12 months across New Zealand.
Highlights of our June 2019 quarter Residential Property Market Outlook Survey:
- Expectations for the median price over the next 12 months look to have stabilised with a net positive* 16% recorded in the June 2019 quarter, up slightly from 15% recorded in the March 2019 quarter.
- This is the first result since March-18 quarter that the national net positive result has not decreased.
- The results also show that respondents expecting median prices to rise over the next 12 months still outweigh those who expect a decline.
- Ten of the 13 regions monitored recorded a higher net percentage result than the previous quarterly survey.
- Queenstown has taken out first place for the location respondents expect higher median sale prices over the next 12 months. Tauranga/Mt Maunganui remained in second place, while Wellington has held onto third place.
- Median price expectations in Rotorua overall saw the greatest improvement with a net positive 21% compared to the March quarter at 7.2%
- A lower proportion of respondents expect median prices to decrease over the next year in Auckland compared to the last survey.
- The survey was undertaken after the Government’s rejection of The Tax Working Group’s tax report. When asked if the rejection of the tax report will influence prices, 52% of respondents indicated “Yes”, 34% indicated “No” and the remaining 14% indicated “Not sure”.
- 84% of respondents who stated that prices would be influenced expect prices to increase.
- A total of 9,614 responses were utilised to construct this survey.