MARCH 2023 | MARKET UPDATE

The real estate market had a bumpy start to the year.  An already subdued market was further slowed by the traditional holiday period and long weekends – when the market usually starts to gain momentum in February it was confronted by the Auckland floods and then a week later Cyclone Gabrielle.

In March the market finally had an opportunity to settle into a trading rhythm and a significant increase in activity reported.  Here on the North Shore we saw sales volumes increase substantially… there were 294 sales up 78% when compared to February, yet still below long term averages.

The acceleration of population growth is a positive sign for the property market.  Data out last week showing an annual gain of 52,000 people – compared to a net annual migration loss of 20,000 a year ago.  That is a 1% boost to our population requiring some 19,000 extra houses.

As the market continues to navigate the economic head winds, a backlog of restrained transactions is building.  Again in March it was evident that the rate of decline in prices is continuing to slow with a 0.4% decrease in median sale price month on month for Auckland, compared to a 16.6% decline over the past year.

Auctions continue to be a successful and transparent method to transact in the current market.  In March we conducted 72 auctions, with 53% of them sold!

So whilst there is no denying the current economy is influencing market activity, in doing so it is also delivering opportunities for astute buyers & sellers.

It remains critical to be aligned with the best possible real estate advisors and I encourage you to reach out to one of the Harcourts Cooper & Co team